Transcript Document

2014 Employee Benefits
Open Enrollment
October 14 – November 1
1
Great News for 2014!
• New plans
• More choices
• 0% increase for medical,
dental and vision
• Opportunity to
decrease medical
premium expenses
• Personalized enrollment
help for everyone
2
Mountain Top View
Heading into our third year of our high deductible health
plans, we can unequivocally say that our three fold strategy
is working!
• Goal #1: To beat down health care trend to stabilize
premium costs for the company and for our employees
even in the midst of healthcare reform
– Healthcare trend increases for high deductible health plans averages 6 –
8%, PPO increases range 8 – 12% and HMO increases range from 12 – 15%
• Salient Results: We have averaged a 1.7% increase per
year over the three years even when healthcare reform
was adding costs into our plans
• 0% increase at 1st anniversary
• 5% increase at 2nd anniversary
• 0% increase at 3rd anniversary
3
Mountain Top View (continued)
• Goal #2: Provide an opportunity for our employees to
begin saving for future retiree health expenses using
Health Savings Accounts (HSAs)
– Salient’s contribution to employees’ HSA accounts is on
the “high side” of industry averages
• Average is $500/$1,000
• Salient contributes $750/$1,500
• Salient Results:
– Employees’ account balances have steadily increased
• PEACE OF MIND – accumulated savings can be built up to
offset any potential out-of-pocket expenses in a given year
• SAVINGS FOR THE FUTURE – with the increased account
balances, employees are putting money away that can be used
for future expenses (retiree healthcare or COBRA)
4
Mountain Top View (continued)
• Goal #3: Provide high-quality insurance plans which offer
choice along with both short- and long-term protections
• Salient Results:
– Salient’s coinsurance after the deductible is met and underlying
insurance plan is on the “high” side of industry averages.
• Industry average is 80%/60% ; Salient’s plan is 90%70%
• Robust insurance protections
– Adding third medical plan for 2014 to offer additional choice,
lower premiums and provide simplicity
• Lowest premiums for employees! Salient is paying an additional 10% towards
premiums for the Value Plan
• Once deductible is met, eligible expenses are paid at 100% for remainder of
year
• As HSA balances have grown, employees have opportunity to “afford” higher
deductible
5
Ground-level View
• It’s all about personal
choice
– Adding third medical plan
– Raised deductible and outof-pocket in Standard Plan
with a resulting 7% drop in
premium costs
– Adding additional
voluntary insurance plans
to help protect against
deductible expenses
• Engage me!
– New wellness program
with easy to use tools
– Improved pricing tools on
Cigna site to predict
healthcare costs
– Open Enrollment road
show
– Concierge benefit
enrollment experience
6
What’s Not Changing in 2014?
• Our commitment to your health and well being
• Our continued belief in the value of consumerism
• Providing you a full complement of products and
services
• Premiums for medical, dental, vision
• Benefit partners for medical, dental, vision, life, and
disability
7
What’s New in 2014?
New Benefit
Description
Addition of new medical plan
(Once deductible is met, all
covered expenses paid at 100%)
Value Plan
In Network Deductible & OOP -- $3,750/$7,500
Out of Network Deductible & OOP -- $7,500/$15,000
Lowest premiums and highest company contribution
Accidental Death &
Dismemberment Insurance
Insurance that pays in the event of an accidental death or
loss of limb, eyesight, etc.
24-Hour Accident Insurance
Serves as supplement to medical plan and pays regardless of
other coverage; Helps minimize out-of-pocket expenses due
to accidents (dislocations, fractures, burns, concussions,
etc.)
Critical Illness Insurance
Protects against serious health problems such as stroke,
heart attack or cancer; Benefit pays a lump sum upon first
diagnosis of a covered condition
8
What’s Changing in 2014?
Current Benefit
New Benefit
High Premium/Low Deductible
Low Premium/High Deductible
Name Change to Premium Plan
Name Change to Standard Plan
Low Premium/High Deductible
In Network Deductible -- $2,000/$4,000
Out of Network Deductible -- $4,000/$8,000
In Network Out of Pocket -- $4,000/$8,000
Out of Network Out of Pocket -- $8,000/$16,000
Standard Plan
In Network Deductible -- $2,500/$5,000
Out of Network Deductible -- $5,000/$10,000
In Network Out of Pocket -- $5,000/$10,000
Out of Network Out of Pocket -- $10,000/$20,000
Premiums decreased by 7%
Short-term Disability Plan
Same benefit but moving to new set of rates based on
age
WageWorks for FSA/HRA/Transit/COBRA
New Partner – Flores & Associates
Enhanced services
Chase Bank for HSA Accounts
New Partner – HSA Bank for HSA Accounts
Transfer information at OE appointments
HSA Company Contributions
$750/$1,500 per year
Extra $187.50 or $375 for wellness award
HSA Company Contributions
$562.50/$1,125 per year
Extra $187.50 or $375 for wellness award
Limeade Wellness Program
MotivateMe! Wellness Program
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2014 Contribution Limits
Contribution Type
Annual Limit for 2014
401(k)
$17,500
401(k) Age 50+
$17,500 + $5,500 Catch-up
Healthcare Flexible Spending Account*
$2,500
Limited Purpose Flexible Spending Account*
$2,500
Dependent Care Flexible Spending Account*
$5,000
Health Savings Account*:
Participation in Wellness Program
Employee Only: $2,550
Family (2 or more): $5,050
Health Savings Account*:
Non-Participation in Wellness Program
Employee Only: $2,737.50
Family (2 or more): $5,425.00
*You must make your contribution election through a Benefit Educator if you want to contribute to any of
these accounts.
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2014 Benefit Partners
Benefit
Partner
401(k)
Transamerica Retirement Services
Medical
Cigna Healthcare
Pharmacy
Express Scripts
Dental
United Concordia
Vision
Vision Service Plan
Life, Disability, Supp Life and Supp AD&D
MetLife
Health Reimbursement Accounts, Flexible Spending
Accounts, Commuter and COBRA
Flores & Associates
Health Savings Accounts
HSA Bank
Accident and Critical Care Insurance
UNUM
11
Health Care Reform
How it Impacts All of Us
• The Patient Protection and Affordable Care Act
requires Salient to:
– Cap healthcare FSA contributions at $2,500
– Display the value of your health insurance benefits on your
W-2
– Provide a Summary of Benefits and Coverage (SBC) prior to
open enrollment
– Provide the Health Insurance Marketplace Coverage
Options notice by October 1
– New fees added into premium rates
12
Our Medical Plan
Dares to Be Different
Optimizes both employer and
employee costs today and into the
future
– Medical cost escalation
– Tax optimization
– Retiree health savings
13
A Plan For Today and Tomorrow
Health Savings
Account
⁺
High Deductible
Health Plan
Helps Pay
Deductible
Excellent
Insurance
Protection
Tax
Deductible
Deposits
Safety Net
For Big
Medical
Bills
Limited Purpose
Flexible Spending
Account
Can be
paired with
HDHP and
used for
dental and
vision
expenses
Tax Free
Growth
Tax Free
Medical,
Dental and
Vision Care
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A Great Plan In Sickness
• Absolute out-of-pocket
maximum per year
– Drugs and medical
expenses combined
• Health Savings Account to
offset deductible expense
• Best in class medical and Rx
provider
• Freedom to choose
network or non-network
providers
15
And a Great Plan In Health
• Superb insurance coverage
at affordable premium rates
• 100% preventive care
benefit for whole family
• Absolute yearly out-ofpocket maximum costs
• Employer provided Health
Savings Account that is
always yours – now and into
the future.
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Value Plan Details
• One and Done
– Deductible and Out of
Pocket are the exact
same
– After satisfying
deductible, expenses are
paid at 100% for rest of
year
• HSA Wellness Contribution
for employee +
spouse/partner
• Lowest premium plan
– Rates more highly
subsidized by Salient
(81% for employee only
and 69% for employee +
other)
• Same excellent medical and
Rx coverage
17
The Tax Man Cometh
• Important tax rules governing
all pre-tax accounts
• Understand the rules and apply
them to your best advantage
• There are many options –
spend time during your
enrollment session discussing
how to optimize your tax
savings.
18
Health Savings Accounts
• Salient will contribute
– Up to $750 for employee
– Up to $1,500 for
employee + 1 or more
– Wellness contribution
only for the Value Plan
• Opportunity for you to save
taxes while setting aside
money to pay for deductible
and out of pocket expenses
• Must not be covered under
any other health insurance
plan (spouse/partner, VA,
Tricare, COBRA, retiree plan,
Medicare, etc.)
• Triple Tax Protected
• Portable – always yours
• Can be used for medical, Rx,
dental and vision expenses
• May be combined with a
Limited Purpose FSA for
additional tax savings
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Benefit Accounts
Health Savings Account (HSA)
Health Reimbursement Account (HRA)
Eligibility: Must be enrolled in CIGNA domestic plan and must
not have any other insurance (TRICARE, VA, Spousal Plan,
Retiree, etc.)
Eligibility: Must be enrolled in CIGNA domestic plan. May have
additional health coverage outside of Salient.
Salient contributes to Premium and Standard Plans:
$750/$1,500 if wellness activities completed
$562.50/$1,125 if wellness activities are not completed
Employee May Contribute:
$2,550/$5,050 if wellness activities completed
$2,737.50/$5,425 if wellness activities not completed
Salient contributes to Premium & Standard Plans:
$750/$1,500 if wellness activities completed
$562.50/$1,125 if wellness activities are not completed
Salient contributes to Value Plan:
$187.50/$375 if wellness activities completed
Employee May Contribute:
$3,112.50/$6,175.00 if wellness activities completed
$3,300.00/6,550.00 if wellness activities not completed
Salient contributes to Value Plan:
$187.50/$375 if wellness activities completed
IRS Pretax Limit for 2014 for all contributions:
$3,300 – Employee Only
$6,550 – Employee + One or More
Limited to Employer Contributions Only
Balance rolls from year to year and portable upon leaving.
Balance rolls from year to year. Balance upon termination
from plan is forfeited to Salient.
Can be used for medical, Rx, dental or vision expenses
Can be used for medical, Rx, dental or vision expenses
All of these accounts are subject to IRS rules and regulations. This chart is intended for summary purposes only.
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Which Plans Work Together
Salient Medical Plan Election
Eligible for HSA or
HRA
Eligible for General FSA
or Limited FSA
Premium Plan
(high premium/low deductible)
HSA
Limited FSA
Standard Plan
(low premium/high Deductible)
HSA
Limited FSA
Value Plan
(lower premium/higher deductible
HSA
Limited FSA
Decline Salient Medical Insurance
Neither
General FSA
HRA
General FSA
Any Salient Medical Plan and
Medical Plan with another provider
(TRICARE, spouse’s plan)
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Pharmacy: Express Scripts
• Prescriptions are part of the high deductible plan
– Preventive drugs are not subject to the deductible
– All other drugs are subject to deductible and out of pocket
limits
– Very large national network of pharmacies
• Once deductible is met (e.g. $1,500 for employee only or $3,000
for family) employee pays 20% of cost up to max. per below
Retail Prescription
Mail Order Prescription
Generic
Max of $30
Generic
Max of $75
Formulary
Max of $60
Formulary
Max of $150
Non-Formulary
Max of $100
Non-Formulary
Max of $250
22
TRICARE Supplement
• If you are enrolled in DEERS and TRICARE, you may elect to
participate in the TRICARE Supplement on a pre-tax basis
– Supplement provides coverage for out-of-pocket expenses associated
with TRICARE Prime or Standard or Extra coverage
– For more information please visit:
http://www.asicorporation.com/faq_corporate.html
• You may supplement TRICARE through Salient’s CIGNA high
deductible health plan
– No HSA, but can have a HRA (Health Reimbursement Account) with a
company contribution
– May elect to have a FSA to pay for additional medical, dental or vision
expenses
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UCCI PPO Dental Plan
• Strong network across the U.S.
• Same Coverage for In- or Out-of-Network Provider
• Preventive Services- covered at 100% (includes
cleanings, exams, x-rays)
• Basic Services - covered at 80%
• Major Services - covered at 50%
• Orthodontia - covered at 50%, lifetime maximum
benefit of $2000.00; coverage available for adults
and children
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UCCI PPO Dental Plan
• Plan Year Deductible
- Individual $50
- Family $150
• Annual Maximum - $2000 per member
• Dental deductible plan year currently runs April 1
through March 31
• 2014 will be a short plan (April 1 through December
31)
• Beginning 2015, the dental deductible will run
calendar year (January 1 through December 31)
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Vision Service Plan (VSP)
• Employee paid vision plan, offered through VSP
• Largest vision network in the nation
• Benefits from a VSP Participating Provider:
– Routine Vision Exams: $10 copay, every 12 months
– Lenses: $25 copay, every 12 months
– Frames: $25 copay, every 24 months
– Contact Lens (in lieu of frames and spectacle lenses): No
copay, every 12 months – maximum benefit $130.00
annually
• Reimbursable benefits vary for non-participating providers
Note: VSP guarantees service from VSP doctors only. When you see a VSP provider, you’ll get the most out of
your benefit and have a lower out-of-pocket cost.
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Life and Disability Plans
Name of Plan
Benefit Details
Basic Life
1 x base salary up to $100k; company paid core benefit
Basic AD&D
1 x base salary up to $100k; company paid core benefit
Voluntary Life
EE - Up to 5 x base salary to maximum of $500,000; $160k
guarantee issue at hire
SP - Benefit available up to $250,000; guarantee issue $25,000
CH - Maximum guarantee issue $10,000
Voluntary AD&D
EE – Lesser of 10x annual salary or $500,000
EE + SP – 50% of Employee amount
EE + SP + CH – Spouse 40% of employee amount, each child, 10% of
employee amount
EE + Child(ren) – each child 15% of employee amount
Voluntary Short-term
Disability
60% of base salary capped at $2,500 weekly maximum benefit
Long-term Disability
40% of base salary capped at $10,000 monthly maximum; company
paid core benefit
Voluntary Buy-up to LTD
Additional 20% on top of company-paid 40%; total of 60% of base
salary capped at $10,000 monthly maximum
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Voluntary STD
Current STD Plan
2014 STD Plan
• Salient’s rates are coming
off a three year rate
guarantee based on a very
low average age and very
favorable experience
• Salient STD premium was a
single premium for
everyone
• ATS employees remained on
age-banded premium rates
• High utilization rates for
both groups
• STD Plan moving to age
banded rates for everyone
• Keeping same 7 day waiting
period
• Rates are increasing for
everyone
– Less impact to ATS
employees
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Accident Insurance
• Protects against a wide
range of accidents including
dislocations, fractures,
burns, concussions etc.
• Coverage for employee,
spouse and/or
dependent(s)
• Scheduled lump sum payout
based on type of accident
• Pays regardless of other
insurance
• Minimizes high deductible
exposure due to accidents
• No health questions
• Fully portable
29
Critical Care Insurance
• Protects against serious health problems such as stroke, heart
attack or cancer
• Lump sum benefit paid upon first diagnosis of a covered
condition
• Coverage available for employee, spouse or dependent(s)
• Fully portable
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Work-Life Benefits
31
Building Your Retirement Account
• The convenience and
automated features offered by
Salient’s plan make it easier
for you to save -- you may
hardly miss the additional
savings going toward your
future
• By saving your own money,
you build a larger retirement
account, you receive the
company’s matching
contribution and you save
Federal, State and FICA taxes
32
401(k)
Eligibility
Must be 21 or older and meet the 30 day waiting period
Participation begins the first of the month following the 30-day
waiting period
Enroll at sfs.trsretire.com or 1-800-755-5801
Automatic
Enrollment
All new employees automatically enrolled at 3% contribution rate
after 90 days of employment.
Beginning January 1, 2014, contributions will auto increases each
November 1 by 1% until 6% is reached
You may opt out of auto enrollment at sfs.trsretire.com
Maximum
Contribution
$17,500 Employees who reach age 50 before the end of the calendar
year may contribute an additional $5,500 – Max contribution of
$23,000
Elective
Deferral
You may contribution 0% - 100% of pre-tax payroll deductions up to
annual limit
Employer
Match
50% of up to 6% of your eligible contributions
Partner
Transamerica Retirement Services
33
Flores Qualified Transportation
Expense Account
• Participation via pre-tax payroll deductions – reduce your taxable income
now
• There is no annual enrollment period, so you can enroll anytime.
– Change your contribution to your transit and/or parking account(s) on a
monthly basis.
– Unlike other pre-tax programs, there is no need to worry about spending
your account balance by the end of the year. Any leftover dollars are
automatically rolled over into the next plan year for your use. No
Forfeitures!
• Qualified Commuting Expenses – tax free (subject to 2014 approval)
– Transit and vanpool expenses up to $245 per month ($2,940 per year)
and
– Qualified parking expenses up to $245 per month ($2,940 per year)
34
CIGNA Employee Assistance Program
• Provided at no cost to you
• Variety of services
including:
– Personal relationship
management;
– Financial planning;
– Career management
– Legal consultation
– Child/Eldercare referrals
– Stress Management
Call 1-877-622-4327 or log into
www.cignabehavioral.com
Employer ID: Salient
35
Motivate Me!
For 2014 Salient has partnered
with Cigna’s Motivate Me!
Program to provide an
interactive, exciting Wellness
Program.
Salient is committed to
providing comprehensive,
affordable benefits and helping
sustain and improve the overall
health and well-being or you and
your family. Salient Wellness is
designed to fit into your
everyday schedule and lifestyle.
More information coming soon!
36
Motivano Shopping Discounts
Motivano offers Salient employees access to
exclusive discounts from thousands of top
brands.
• Apparel (e.g. Aeropostale, Banana
Republic, Eddie Bauer, DSW, etc.)
• Beauty & Fragrance (e.g. Sephora,
Elizabeth Arden, Walgreens, etc.)
• Computers & Electronics (e.g. Dell, Apple,
TurboTax, Sony, etc.)
• Health & Wellness (e.g. Camping World,
Gold’s Gym, GNC, WeightWatchers, etc.)
• Automotive (e.g. Advance Auto Parts, Avis
Rental Cars, Liberty Mutual, etc.)
• Home, Garden, Pets (e.g. Pet Insurance,
Home Insurance, Brookstone, Ace
Hardware, etc.)
Save on everyday purchases:
https://intranet.salientfed.com/Main
/AppPages/Home.aspx
Click on Salient Employee Discounts
37
Employee Leisure Discount Programs
• Employees can take advantage of
discounts and special offers to
popular theme parks and
entertainment attractions
nationwide.
• Discounts are available for:
– Walt Disney World Resort
– Universal Studios
– SeaWorld
– Six Flags
– Cirque du Soleil - Las Vegas and
New York City performances
– Movie Tickets
• Company Code: Salient
38
Open Enrollment Basics
• Open Enrollment begins
October 14 and ends of
November 1
• Only time during the year
you can make changes
unless you have an IRS
qualifying event
• All employees must enroll
either through the call
center or through a
benefit educator
• 2013 benefit elections
will not carry forward to
2014
• Current benefit elections
are available via NuView
https://hr.salientfed.com
• Forms are available at
www.salientfed.com/ben
efits-2
39
What Am I Required to Do?
• All employees must make their 2014 elections through a
benefit educator
• Insurance elections and spending account benefits from 2013
will not rollover into 2014
• You must have an IRS qualifying event to make benefit
changes after open enrollment
• If hired on or after October 14, 2013 you will have the
opportunity to enroll for the 2013 and 2014 plan year
40
How Do I Enroll in Benefits?
• Enroll by phone through a benefit educator
• Enroll with an on-site benefit educator (at
selected sites)
• Schedule your appointment at:
www.enrollappointments.com/salient
41
We’re Here to Help You
Insurance Provider Support:
•
•
Detailed questions regarding type of
coverage or level of coverage may
be best directed to the insurance
provider
Refer to Insurer Contact information
chart on slide 43.
Salient Human Resources
Support:
•
•
•
•
Questions on how to enroll
Open Enrollment Hotline Number:
800-823-7290
7:00 A.M. EDT to 7:00 P.M. PDT
E-mail:
[email protected]
42
Vendor Contact Information
Insurance Provider
Customer
Service
Web Address
Medical – CIGNA Healthcare
800-401-4041
www.mycigna.com – Current Cigna
Participants
www.mycignaplans.com – New
2014 Cigna Participants
Rx – Express Scripts
800-711-0917
www.express-scripts.com
Dental – United Concordia (UCCI)
800-332-0366
www.ucci.com
Vision – VSP
800-877-7195
www.vsp.com
Tricare Supplement – ASI
Corporation (administrator)
800-950-0105
www.asicorptricaresupp.com
FSA Accounts – Flores & Associates
1-800-532-3327
www.flores247.com
401(k) – Transamerica Retirement
Solutions
800-755-5801
sfs.trsretire.com
43
Final Questions?
44