March 2009
UNC Asheville
Employee Benefits ROUNDUP
State Health Plan Update
Executive Administrator for the State Health Plan Jack Walker appeared before the Joint Committee on Employee Hospital and Medical Benefits of the NC General Assembly on February 19th and presented several alternatives to solve the significant health plan shortfall.
While no firm decisions have been made regarding the health plan, key points outlined in the proposal included:
- A $250 million cash infusion from the state's "rainy day" fund to cover 2008-2009 expenses;
- A 7.3% increase in premiums annually for the next two years;
- The elimination of the Plus (90/10) coverage plan;
- An increase in copays and coinsurance maximums;
- Expanded pharmaceutical options;
- Removal of the subsidized eye exam benefit effective January 1, 2010;
- A plan to progressively link coverage level to a person’s weight or smoking habits
If the proposal is approved by the General Assembly, the $1.2 billion deficit projected over the next biennium would be reduced to $350 million, which would be funded from General Funds.
Walker also said the proposal reflects higher claims generally paid for enrollees who smoke or are obese. According to Walker, enrollees that smoke generate an average of $2000 more per year in claims while obese members have an average $2400 more in claims per year. If the proposal is approved, employees and dependents who smoke would be moved to the Basic (70/30) coverage plan beginning the 2010 plan year and those with a Body Mass Index (BMI) of over 40 would see their coverage possibly drop to the Basic plan in 2011. The following year, the BMI maximum would be reduced to 35 to retain Standard (80/20) coverage. Typically, a BMI over 30 is considered obese while those with a BMI over 35 are regarded as severely obese. Employees can learn more about their BMI and access a BMI calculator via the Centers for Disease Control website.
In an effort to focus on wellness rather than a punitive measures, if the proposal is approved the SHP anticipates rolling out a variety of accessible wellness initiatives focusing on smoking cessation and weight loss by the end of 2009.
The bill still has to go before various members of the General Assembly. To remain solvent, the cash infusion into the SHP would have to happen by April. The complete proposal to the Joint Committee and all other updates can be found on the State Health Plan’s website at www.shpnc.org
457 and 401(k) plan
changes are right on
track.
Keep updated about the changes by visiting Prudential's dedicated
website
$4 Generic Cholesterol-Lowering Prescriptions
The State Health Plan is introducing a pilot program for cholesterol-lowering medication.
Beginning April 1, the new copay for all generic cholesterol-lowering medications will be $4 for a 1-month supply or $10 for a 3-month supply. The lower copays will apply at any retail pharmacy of your choice in the State Health Plan network and Medco by Mail.
According to State Health Plan data, the high cost of prescriptions can be a barrier to taking cholesterol medications regularly, as prescribed. To address the cost barrier, this pilot program will lower the cost of all generic cholesterol-lowering medications including:
|
Generic Medication |
Equiva NaName Brand |
|
Cholestyramine/sucrose |
Generic for Questran® |
|
Cholestyramine/aspartame |
Generic for Questran Light® |
|
Colestipol 1g tablets & 5g packets |
Generic for Colestid® |
|
Fenofibrate |
Generic for Tricor® |
|
Gemfibrozil |
Generic for Lopid® |
|
Lovastatin |
Generic for Mevacor® |
|
Pravastatin |
Generic for Pravachol® |
|
Simvastatin |
Generic for Zocor® |
For more information, visit the State Health Plan website for the program's flyer or visit the FAQ page.
Spotlight ON:
Using Your NC Flex Debit Card
What is this I see about new technology for my Flexible Spending Account debit card?
Welcome to the world of IIAS technology!
Using the NC Flex Healthcare Flexible Spending Account (FSA) debit card has become even easier with participating pharmacies and retail outlets.
The Internal Revenue Service will now allow for the instant approval of over-the-counter flexible spending account debit card purchases using a new Inventory Information Approval System (IIAS). IIAS is a point-of-sale technology that allows for instant approval of debit card transactions from your Health Care FSA.
As of July 1, NC Flex FSA participants cannot use their card at pharmacies, discount store, department stores and supermarkets that do not participate even if they have used their card at these stores prior to July 1.
For example, if FSA participants have been purchasing prescriptions at a pharmacy using the NC Flex Debit card during 2008, on July 1, 2009 if the store has not made the change to IIAS technology, the NC Flex card will be declined at the point of purchase. The employee then has an option of transferring the prescription to a pharmacy that has the IIAS system in place so they can use their NC Flex card or using another form of payment and then submitting a paper claim to NC Flex for repayment.
The NC Flex program has an updated list of retail and pharmacy stores in your area utilizing the IIAS technology on their site under the forms window in the FSA column under ‘compliant stores’.
The IIAS technology takes NC Flex another step forward toward automating purchases without paper documentation. At this time, copays for office visits and prescription drugs generally do not require documentation as well as eligible dental expenses through the NC Flex Dental Plan (administered by United Concordia) and now, over-the-counter items purchased in stores with IIAS technology.
Treasures Abound with UNC Asheville
The Human Resource Department will be hosting a Benefits Fair on Wednesday, March 25th, from 10 a.m. until 2 p.m. in the lobby of Lipinski Auditorium.
The fair is designed to inform employees about benefit options through face-to-face interaction with vendors. Learn more about retirement options, various financial resources, supplemental disability insurance information and other benefit opportunities.
Watch your e-mail for upcoming information and reminders about the fair or contact Amy Owenby at 250.2357 or via email at aowenby@unca.edu