Retiree Benefits

hello welcome to the retiree benefits session presented by the office of total rewards my name is Jen and today my colleague Julie and I will be discussing what it means to be eligible to retire Stephanie to take and the benefits that are offered to you as a retiree for the first half of the presentation we will we will be going over eligibility to retire service credit and other benefits the second half of this presentation will be geared towards Medicare Advantage plans so if that does not apply to you it is not required that you stay please consider staying for the whole presentation if you are nearing 65 or your spouse is over 65 there are different levels that make you eligible for retiree benefits you are a 3r if you work full or part-time faculty or staff and you were age 55 or over with 10 or more years of service on January 1st 1996 or age 50 with 10 or more years of service on Jan on June 1st 1996 you are at the 4 hour level if you are full or part-time faculty or staff you were hired or rehired prior to January 1st 1996 in a benefits eligible position and you are at least age 55 with 10 or more years of service at the time of retirement you are a 5 are if you are full or part-time faculty or staff you were hired or rehired after January 1st 1996 in a benefits eligible position and you are at least 60 years of age with 10 or more years of service at the time of retirement please be informed that you must have 5 consecutive years of service in a benefits eligible position leading up to retirement so what if you’re not eligible to retire it will become a voluntary separation from the University if you do not meet the requirements to be considered retired this means you will not be eligible for retiree benefits and will not receive a contribution amount please keep in mind that you do not have that you do have other options outside of the University and on the open marketplace for benefits if you have prior service time at the University of Rochester or another higher education institution you are able to receive service credit you must have worked in an in a benefits eligible position in order for that time to count please note teaching hospitals are not counted as prior service credit you may find the service credit forms on our website that’s listed on the screen so the topics for today will include retiree health care dental care life insurance and tuition benefits so what happens to your health care once you retire for those under age 65 you will continue on the same plan offered under the active benefits your PPO plan or your HSA eligible plan the rates will change from the current active premium you are at for Medicare eligible retirees your health care will change to a special form that supplements or coordinates with Medicare these plans are listed on the screen under the medical L chair of algebra retirees section Julie will be speaking on the more specific Medicare Advantage plan options later on in the presentation but we are going to touch on some areas that you will need to know about Medicare such as Medicare eligibility parts of Medicare Medicare enrollment period and when enrollment is necessary for you individuals that are currently eligible for Medicare are 65 or older who paid Medicare taxes for at least 10 years who are under 65 with certain disabilities or any age with end-stage renal disease this slide shows the composition of Medicare and where different services

fall into that Part A is the hospital insurance that helps you covers hospital stays skilled nursing or hospice care Part B is the medical aspect that helps cover doctors services outpatient care and other medical services you must you still must continue to pay your Part B premium if you enroll in a Medicare Advantage plan Part D is the prescription drug segment which helps cover the cost of many outpatient prescription drugs if you enroll in a Medicare eligible plan the Part D is included in that now we are at Part C which includes Parts A and B and sometimes Part D along with other added benefits now we will touch on enrollment periods for Medicare there are two periods you need to be aware of the initial enrollment period and the special enrollment period the initial enrollment period known as your IEP occurs when you are retiring at age 65 or you are already retired and are nearing 65 the initial enrollment period is a total of seven months which is three months turning 65 your birthday month and three months after turning 65 you must apply within the three months prior in order if in order for it to be effective the month you turn age 65 the special enrollment period takes place when you are still working in retire past age 65 passed your IEP this can also occur if you are already Medicare eligible due to a disability you will need to apply three months prior to the first of the month following retirement date the paperwork will be completed by you and the office of total rewards for this special enrollment the chart on the screen shows us a timeline of enrolling in Medicare during the initial enrollment period and then when the coverage goes into effect based on that if you sign up for Part A and/or Part B during the one to three months before you turn 65 the coverage starts the month you turn 65 if you sign up in the month you turn 65 your coverage will start one month after if you sign up one month after you turn 65 your coverage will begin two months after lastly if you sign up two months after you turn 65 your coverage will begin three months after Medicare is necessary when you have already retired in our turning 65 in in which you would enroll during your initial enrollment period another instance when Medicare is necessary is when you have worked past age 65 and decide to retire later this is when the special enrollment period would be utilized please note it is not necessary to enroll in Medicare if you’re turning 65 and continue to work in an active benefits eligible position it is also important to know that if you are contributing pre-tax dollars to an HSA account do not enroll in any parts of Medicare you should delay enrollment until you stop contributing for at least six months the IRS considers this double dipping if you are contributing pre-tax dollars when HSA and are also enrolled in Medicare there is a 6-month look-back by the IRS not going back farther than your initial month of eligibility now we will speak to the facilitating of the plans including billing cycles premiums and contribution amounts as well as other benefits all of the Medicare eligible plans offered by the University of Rochester either supplement or coordinate with Medicare Parts A and B they also offer prescription drug coverage which is the Medicare Part D component or credit credible coverage credible credible prescription drug coverage to Medicare Part D since the plans are Medicare eligible plans you are required to enroll in Medicare Parts A and B in order to obtain those benefit plans if you are enrolled in a retiree health care plan through the University of Rochester you and the University share the cost of the healthcare plan coverage the university bills quarterly for the premiums the billing goes backwards for the coverage you have received for example when you receive a bill in March it is for the months of January February and March your cost depends on the plan you’ve selected in

your retiree level which is what we went over in the beginning of the presentation you may go to our website to see the premiums based on your retiree level now I will discuss contribution amounts the contribution amount is the money that the University of Rochester gives towards your healthcare plan this contribution amount does not go toward dental contribution amounts differ based on your retiree level for three our retirees the contributions are already built into the healthcare premiums it is at a flat rate where for ours the contribution is based on a point system the points are made up of age plus your years of service the contribution amount increases once you turn 65 these contribution amounts are locked in at the time you retire for five our retirees your contribution amount depends on your years of service at the University and does not change under any circumstances this contribution amount is locked in at the time you tighter so here’s an example this is a four hour retiree that is under age 65 and has the 85 points which is the maximum for sickle plans the retiree would receive $83.33 as a contribution amount per month toward towards your healthcare plan if they were on the family plan they would receive one hundred sixty six dollars and 67 cents for the contribution of mouth please note that the contribution is halved for part-time employees once the for our retiree turned 65 the contribution amount increases the contributions are shown here for single plans plans where both spouses are Medicare eligible and also the contribution amount where there is a couple split plan where one spouse is not Medicare eligible and one is Medicare eligible in order to calculate your total monthly cost you will take the healthcare premium and subtract your contribution amount the example here is for a four-hour retiree with 85 points and is Medicare eligible as well as their spouse they have chosen to be on the preferred gold standard plan the premium is five hundred sixty dollars in 10 cents – the $415 and four cent contribution amount which results in the $145 and six cent per month rate now we are going to take a look at a contribution amount for a five hour a five hour who has 17 years of service and who retired at the age of 65 or older the contribution amount would be one hundred seventy two dollars and seventy one cents a five-hour with 17 years of service who retires between ages 60 and 64 is 86 dollars and 36 cents please note that for five our retirees the contribution does not change once it is locked in when you retire and it will not increase when you turn age 65 for dental insurance retirees remain eligible for coverage you have the options of either the traditional plan or medallion plan as well as single or family coverage the dental insurance is built quarterly by the University and the cost varies based on your retiree level you can find the dental rates listed by retiree level on our website now we will discuss your life insurance benefits and how they are affected once you retire while employed in a part-time or full-time position of the university you are covered by the University paid basic life insurance that coverage terminates at the time of retirement you may be eligible for certain coverage to continue depending on retiree level for the employee paid optional life insurance coverage you may elect to continue this coverage if you wish to do so and you would pay the premium directly to secure you you will be charged the same rate as the active coverage however it can increase based on your age bracket or change along with university group rates you may change your beneficiary for your life insurance at any point in time you may log in through H RMS and click on secure in life on the home page or you may go directly to life benefits comm and log in with the user ID and password your user your username is you are plus the employee number Play ID number and your

password to be your 8-digit date of birth plus the last four digits of your social security number retirement to be a great time to go back to school once you retire you remain eligible for tuition benefits for courses at the U of R as a non job related benefit full-time faculty and staff are eligible for 70% tuition waiver for two courses per semester or quarter part-time staff are eligible for 70% of one course per semester or quarter dependent children remain eligible for tuition benefits when you retire as a retiree you remain eligible for your benefits extras as well these benefits include group auto and home insurance which have Hiatt legal pant plants and VSP vision care you may go to your benefits extras comm and click on the option for retirees once you have retired you will still have access to some of the facilities here at the University of Rochester you may obtain a retiree ID in order to access the facilities these include University Libraries University Health Services employee pharmacy athletic facilities and mill yura dining so as a recap here are the important things you should pay attention to if you plan on reducing time it is recommended that you retire while full-time before transitioning to a part-time or timeĆ­s reported position if you do return part-time retirees and their dependents will have part-time active benefits even if you are nearing 65 or past age 65 it is important to note the retiree and their dependents do not need to sign up for Medicare until the retiree / employee stops working in a benefits eligible position if you do plan to return to work time is reported please contact the office of total rewards for benefit eligibility if you do retire and do not return to work in turn 6 five at a later date you will sign up for Medicare on your own during your initial enrollment period meetings should be scheduled no earlier than three months prior to retirement for those 65 and older employees were hiring under 65 are those planning on returning to work should plan to meet with us one to two months prior so where do you begin we recommend visiting our website follow the retirement checklist and make sure to set aside time to do some research this is your new journey so it is important to be informed and plan ahead you may also sign up for one of our retiree support groups that is offered also you may email retiree benefits at the email address listed on the screen with any additional questions with regards to a timeline you will want to contact retiree benefits three months prior to retiring and decide before that meeting what you want to do especially whether you plan on returning to work or not you will then meet with your retiree benefits the retiree benefits team turn your paperwork in three months prior to your retirement date and then start your journey please remember to stay connected with you of our for updates now my colleague Julie will discuss the different Medicare plan eligible plans available to you of our employee and you of our retirees aged 65 or over if this this does not apply to you you complete please feel free to exit the session you hello everyone my name is Julie I will now be discussing the five Medicare eligible health care plans listed here on the screen that are offered at the University of Rochester first the university complimentary care with major

medical this plan is a Medicare supplemental plan this provides coverage to retirees residing anywhere in the world and is not limited to a network of providers when on this plan preventive care is not covered outside of the United States the medical deductible for this plan is a hundred and twenty nine dollars per person and the medical out-of-pocket maximum is three hundred dollars per person here is a list of covered services and what you pay towards those services for primary care office visits special office visits and Urgent Care 80% is covered after the major medical deductible is met all the other services listed here are covered in full 100% is covered for skilled nursing facility for days one through 120 and additional days are covered at 80% after major medical deductible physical speech and occupational therapy is covered at 80% after major medical deductible when on this plan routine eye exams and routine hearing exams are not covered for the prescription drug coverage there is a deductible of eight hundred and forty six dollars per person the coinsurance is 20% the out of pocket maximum for the prescription drug coverage is $1,700 per person now I will discuss the MVP health care plans offered here so how does a Medicare Advantage plan work it takes place of Medicare your medical care and prescription drugs will be covered by MVP however the preferred gold a HMO POS with the University major medical has the prescription drug coverage through Aetna or Exelis with a Medicare Advantage plan referrals are not required you will use your MVP ID card for services and prescriptions so you can put your Medicare card away in a safe place as you will not need it if you’re on these plans these plans are easy to use and virtually no claim forms are necessary in order to be enrolled in a Medicare Advantage plan you must be signed up for Medicare Parts A and B you will continue to pay your Part B premium separately as well the enrollment in a Medicare Advantage plan is individual and there are no family or two-person contracts also these plans do have residency requirements in order to be enrolled in them and the coverage by MVP travels with you emergency care is covered around the clock and around the world wherever you are you only pay you’re in network you are covered info is hospitalized for urgently needed care you are covered worldwide as well you will only need to pay your in network copay all of the MVP plans have zero annual deductibles however the plans do have a $4,000 annual out-of-pocket protection once the out-of-pocket maximum has been met the plan pays a hundred percent for covered benefits for the rest of the calendar year the odda pocket maximum excludes monthly premium Part D prescription drug costs acupuncture eyewear expenses hearing aid expenses in major medical expenses and the preferred gold HML POS with major medical now the preferred gold HMO POS with the university major medical plan first I will explain the terms HMO and POS HML stands for health maintenance organization it is a Medicare Advantage plan or doctors hospitals other health care professionals provide services for a set amount of money usually members must get care from the providers in the plan except for emergency care for POS it stands for point of service this is where members can choose to get services from non contracted providers there is a dollar limit and some services require

prior approval in this instance you pay thirty percent coinsurance MVP pays up to five thousand dollar maximum this plan has a residency requirement of the counties in orange on the slide here in order to be eligible for the preferred gold HTML POS with major medical plan you must have a permanent address in the area shaded in orange on this slide here you will see the covered services and then the co-pays you would pay for those services on the right-hand side under the preferred gold HML POS with major medical under this plan the prescription coverage is a eight hundred and forty six dollar deductible per person there is the 20% coinsurance and the $1,700 out-of-pocket maximum for major medical coverage there is a hundred and twenty nine dollar deductible per person and a 300 dollar out-of-pocket maximum for major medical items they include durable medical equipment acupuncture skilled nursing facility diabetic equipment and supplies now I will discuss the preferred gold standard HMO POS with MVP Part D prescription drug plan this plan is similar to the previous in the way that is a health maintenance organization with point of service to be enrolled in the preferred gold standard HMO POS with Part D drug coverage you must reside in New York State or Vermont excluding New York counties Nassau Suffolk and Westchester on this slide you will see the covered services under this plan and the corresponding co-pays on the right here you will see additional covered services and what you would pay towards those services remember emergency room care and Urgent Care are considered in-network no matter where you are in the world now I will discuss the Part D prescription drug coverage on this plan here you will see the co-pays on the left for the different tiered drugs this plan has the coverage gap or what is also known as the doughnut hole this means that once you have hit four thousand and twenty dollars within a calendar year you will then pay 25% for generic drugs 25% from Medicare contracted brand-name drugs and a hundred percent of the drug costs for none Medicare contracted brand-name drugs you will continue to pay $0 for Tier one drugs the total drug cost includes your copay Plus what MVP pays for example if you pay $10 towards the drug an MVP pays ninety for your prescription your total drug cost would equal $100 please be aware this is not a deductible that you want to meet this is a penalty so when deciding on a plan you will want to write out your total drug costs for the year and see if this plan makes sense for you then once you hit six thousand three hundred and fifty dollars in out-of-pocket costs within the year you are now in the catastrophic catastrophic coverage stage meaning your cost for prescriptions is reduced to five percent or three dollars and sixty cents for generics or $8.95 for all other drugs whichever is greater now I will talk about the gold anywhere PPO with the MVP Part D prescription drug plan so what does ppl stand for PPO is a preferred provider organization this provides flexibility to choose doctors hospitals healthcare professionals that have a contract with MVP or providers provides non contracted with MVP for an additional cost the gold anywhere PPO with MVP Part D prescription drug plan has the residency requirement of New York State in Vermont excluding Nassau

Suffolk and Westchester Counties services covered under this plan are listed here with the corresponding co-pays for in-network and out-of-network both emergency visits and urgent care visits are all still considered at the in-network regardless of where you are in the world this slide shows more of the covered services along with the in-network and out-of-network costs here you will see the coverage for the Part D portion of the plan the left shows the co-pays for the corresponding tiers this plan does not have the coverage gap or doughnut hole so even if you do reach the four thousand and twenty dollars in total drug cost you’ll continue to pay the co-pays listed now I will discuss the USA Care PPO with MVP Part D prescription drug plan this plan provides coverage to retirees residing anywhere in the United States or Puerto Rico members of this plan can choose to see doctors hospitals and other health care professionals that have a contract with Medicare there is not unlimited network for this plan again you will see the covered services listed under the USA care PPO with MVP Part D prescription drug plan and what you would pay for those services this is the Part D prescription drug portion of the plan the co-pays are listed on the left and the different tiers of the drugs associated on the right this plan does not have the coverage gap or doughnut hole so again even if you reach the $4,000 four thousand twenty dollars in total drug costs you will continue to pay the co-pays listed above all MVP plans provide our allowance hearing aid allowance truhearing discount and the preventive services listed on the slide here you are not limited to CVS pharmacies for MVP plans and you may fill your prescriptions at hundreds of participating pharmacies locally in nationwide however if you do use CBS MVP members receive an MVP CBS extra care card that provides 20% discount on items not covered through the basic CVS loyalty card when enrolled in these plans you are able to use electronic office visits through American well you can use your electronic device for consultation on general non-emergent issues when you cannot see your regular doctor the primary care physician and mental health specialty copay still apply for these electronic visits while on an MEP plan you may utilize SilverSneakers fitness program which is a no-cost fitness center membership at any SilverSneakers location nationwide you also could be eligible to receive a wellness reward which is $100 giftcard for completing your annual visits so we definitely encourage you to browse our website and check out all the information on there you will find this site WWH STD you slash total rewards and click on retiree benefits thank you for watching you