Open Enrollment 2008-2009

Open Enrollment Announcement Letter

Open Enrollment Brochure

Dependent Eligibility and Audit

Employee Benefits Handbook 2008-2009

Note: Current medical coverage will carry forward to UnitedHealthcare/PacifiCare. You don’t need to submit paperwork unless you want to make changes to your medical or dental coverage. Forms must be submitted to your Departmental Benefits Representative no later than May 23, 2008.

 

Medical Plans

2008-2009 Medical Carrier – UnitedHealthcare/PacifiCare

UnitedHealthcare/PacifiCare will have
the following three plans available:

• Health Maintenance Organization (HMO) - Group Number EA600
PacifiCare Signature Value® Direct
   HMO Plan Benefits
   HMO Pharmacy (RX) Benefits - Rx Custom Plan Code: 12P18
   HMO Vision Benefits
   HMO Behavioral Health Benefits
   HMO Evidence of Coverage

• Preferred Provider Organization (PPO) - Group Number 00014745
PacifiCare Signature Elite SM
   PPO Plan Benefits    
   PPO Pharmacy (RX) Benefits - Rx Custom Plan Code: 4P1
   PPO Vision Benefits
   PPO Behavioral Health Benefits
   PPO Certificate of Coverage

• High Deductible Health Plan (HDHP) – Health Savings Account (HSA) qualified - Group Number 00014745.
PacifiCare Signature Elite SM
   HDHP Plan Benefits
   HDHP Vision Benefits
   HDHP Behavioral Health Benefits
   HDHP - Rx Custom Plan Code: 4OP
   HDHP Certificate of Coverage

Preventive Care Services Listing and Guidelines

Medicare “Part D” important information: If any of your dependents are or will be Medicare eligible during the next year, please review information regarding Medicare “Part D” and the potential for future penalties before enrolling in the HDHP/HSA.

If you enroll in the HDHP, in order for you to take full advantage of the HSA tax savings there are certain requirements that must be met. Please review HSA requirements to ensure eligibility. Basic HSA information.

Continuity of Care - If you are undergoing treatment with a provider that is not contracted with UnitedHealthcare/ PacifiCare, please complete the Continuity of Care Form. Once completed, you may fax the form to 1-888-361-0514. You may also make a telephonic Continuity of Care request by calling 1-800-944-1211, option 2.

Brief Medical Comparison Summary 2008-2009

Medical Rates 2008-2009

Pre-Enrollment Customer Service Number for general questions about plan options (available May 1, 2008):

HMO Plan: 800-347-8600; TDHI: 800-360-1797 - when prompted say "Open Enrollment"

PPO and HDHP Plan: 866-316-9776; TDHI: 866-816-2018 - when prompted say "Prospective Member"

www.pacificareandyou.com/pima

Medical Benefits PowerPoint Presentation

Dental Plans

The details of the dental plans offered by Pima County in 2008-2009 will remain the same with slight premium increases.

Brief Dental Comparison Summary 2008-2009

Dental Rates 2008-2009

Life Insurance

Life Insurance Information

Life Insurance Premium Calculator (Excel Spreadsheet)

Life Insurance Enrollment Form

All increases to life insurance are subject to approval and require an Evidence of Insurability (EOI).

Health Savings Accounts

Current HSAs
If you currently have an HSA with JPMorgan/Chase, your account will automatically transfer to a direct employer HSA (not affiliated with any medical carrier) with new account numbers, debit cards and deposit slips. If you want to use checks, you will need to order new checks after you receive your debit card. If you have established an investment account, you will need to liquidate that account before the account transfer can take place. There will no longer be Automatic Claim Forwarding. Your current HSA contribution will continue.  If you wish to change your HSA amount, please complete a new HSA Payroll Authorization form.

New HSAs
If you wish to enroll in the HDHP, you must open an HSA. You must submit an Insurance Enrollment Form and an HSA Payroll Authorization form. Also, you must open an HSA. Important: If you already have an HSA with JPMorgan/Chase, please do not complete a new application as your account will be transferred automatically.

Note: If you are an employee of Pima Association of Governments, Superintendent of Schools, Metro Water, Marana Water District or Southwest Fair Commission, you must contact your HR department for HSA instructions.

Basic HSA Information

An HSA is a tax favored savings account. Employers and employees may deposit funds into the account with a combined maximum that is regulated by the Internal Revenue Service.  In order to open an HSA you must be enrolled in a qualified HDHP medical plan.

2008 Annual Combined Maximum Contributions are:

• Employee Only . . . . . . . . . . . . . . . . . . .$2,900
• Employee plus dependent coverage . . . . .$5,800
• Catch up provision for those over 55. . . . .$  900

In addition to paying the full premium cost for all levels of coverage in the HDHP and the HSA Administrative fees, Pima County will contribute funds each pay period to your HSA as follows:

• Employee Only . . . . . . . . . . . . . . . . . . . $38.46
• Employee plus dependent coverage . . . . . $76.92

Since the IRS maximums are total amounts, you will want to factor in the County contribution when determining your contribution amount. The management of the HSA, including distributions, and additional related funding is the responsibility of the employee.

The funds once deposited belong to you, not the County. That means the funds can roll over from year to year if they are not spent and the funds will continue to be available to you even after your employment at Pima County ends. Please note, monies in the HSA will remain tax-free as long as they are used to pay for qualified medical expenses (including dental, vision, over the counter drugs, etc.).

These funds are invested and earnings are also tax free. If funds are withdrawn for non-medical expenses, those monies are subject to a 10 percent penalty as well as income tax.

In order to be eligible for an HSA, the employee must:

• be enrolled in a qualified high deductible health plan.
• have no other medical coverage (certain exceptions apply).
• not be enrolled in Medicare.
• not be claimed as a dependent on someone else's tax return.
• not be enrolled in a Flexible Spending Account — except a "Limited Purpose" FSA. (A Limited Purpose FSA may only be used for dental or vision expenses, not covered by the health plan).

HSA/FSA comparison

Since HSAs are the property of the employee (the taxpayer) it is your responsibility to manage funding amounts. There are several options available for funding your HSA, (lump sum payment, bi-weekly payroll deduction, transfers from IRA, etc.) Pima County will deposit amounts based on your enrollment level and your payroll deduction authorization. You will need to manage all other details. In order to prevent tax consequences, it will be your responsibility to ensure that payment requests are for qualified medical expenses. Typically, HSA administrators (JP Morgan/Chase) don't scrutinize claims to ensure compliance. It is the taxpayer's responsibility. If you wish to enroll in the HSA, you will need to complete the HSA application and the HSA Payroll Deduction Form in addition to the Insurance Enrollment Form.

Department of Treasury HSA FAQs

Chase HSA FAQs

Chase HSA Qualified Medical Expenses

HSA Application (for new HDHP enrollees only)

HSA Payroll Deduction Form

Flexible Spending Accounts

Flexible Benefits effective July, 01, 2008
Pima County’s Flexible Spending Account is administered by Application Software Inc. (ASI). Current plan year claims must be incurred by June 30, 2008 and submitted no later than September 30, 2008.

If you enroll in the HDHP/HSA, you will be eligible for a Limited Purpose Flexible Savings Account only. Only dental or vision expenses that are not covered by the health plan are reimbursable under a Limited Purpose FSA.

ASI web page www.asiflex.com

Administrative fees 2008-2009:
Section 125 - $1.26 per pay period
Section 132 - $1.26 per pay period

Section 125, Health and Dependent Care:

Summary Plan Description (SPD)

Worksheet

125 Enrollment Form

Direct Deposit Form

Section 132, Pre-tax Parking and Transit:

Transportation Reimbursement Arrangement (TRA)

132 Parking (paid for through payroll deduction)

If you park in a lot that is paid for through payroll deduction, you have the option for your parking deductions to be taken on a pre-tax basis, which will require no reimbursement or administrative fee. Please contact the Payroll department if you wish to switch your deduction from post-tax to pre-tax.

132 Parking (not paid for through payroll deduction)

If you park in a lot that is not paid for through payroll deduction, and you wish to take advantage of the tax savings, you will need to complete the 132 enrollment form and submit claims to ASI for reimbursement. You will be responsible for a bi-weekly $1.26 administrative fee that will be deducted from your paycheck.

132 Enrollment Form

Direct Deposit Form

Additional Open Enrollment Benefits

Prepaid Legal - slight rate increase

Employee Only..........$7.38
Family .....................$9.54

AFLAC

Domestic Partners

Deferred Compensation -- 457

Supplemental Retirement Savings Plan (SRSP) -- 401(a)

College Savings Plan - 529

With the exception of Flexible Spending Accounts and Travel Reimbursement Arrangements, all enrollments will carry forward into the new plan year.  Open Enrollment is the only time you can make changes without a family status change.