OPEN ENROLLMENT MAY 1 – MAY 25

1. OPEN ENROLLMENTMAY 1 – MAY 25 Health Insurance Changes and Flexible Reimbursement Accounts

2. COVA Care, COVA Connect & COVA HDHP Plans Changes and Review of Benefits

3. Slight Premium Increase this Year Federal Early Retiree Reimbursement Program (ERRP) funds will pay part of the premium subsidy

4. COVA Connect Now Available in this Area Optima Health is plan administrator for medical, prescription and behavioral health. Delta Dental is plan administrator for dental plan.

5. Enhanced Vision Coverage The annual vision benefit will be changed to once every 12 months from once every 24 months

6. Introduction of Diabetes Management Pilot Program For participants in disease management program who meet certain requirements, the plan will pay 100% of the cost of diabetes drugs in Tier 1 and Tier 2 and certain diabetic supplies at no cost

7. Applied Behavior Analysis (ABA) for Autism Spectrum Disorder Covered for children ages 2 through 6 ($35,000 annual limit on services)

8. IV and Infused Chemotherapy Subject to Deductible You must meet $225/$450 deductible, then pay 20% coinsurance after deductible

9. Plan Administrators for COVA Care • Medical, Vision and Hearing • Anthem Blue Cross/Blue Shield • Behavioral Health and Employee Assistance Program (EAP) • ValueOptions, Inc. • Dental Coverage • Delta Dental Plan of VA - Premiere • Prescription Drug • Medco Health Solutions

10. Plan Administrators for COVA Connect • Medical, Vision and Hearing, Behavioral Health and Employee Assistance (EAP) and Prescription Drug • Optima Health • Dental Coverage • Delta Dental Plan of VA - Premiere

11. Plan Administrator of COVA HDHP • Anthem Blue Cross/Blue Shield will administer medical, behavioral health and EAP, prescription drug and dental benefits

12. Coverage Review

13. Coverage Review

14. Coverage Review

15. Coverage Review

16. Coverage Review

17. Deductible Review • COVA Care/COVA Connect • $225/single; $450/family • Diagnostic lab, tests, shots, x-rays • Major/Medical, i.e., ambulance, medical equipment, diabetic supplies • COVA HDHP • $1,750/single; $3,500/family • Applies to medical, behavioral health and prescription drug • Entire $3,500 family deductible must be met before the plan pays for any one family member, even if that person has met the individual deductible

18. What You Need To Know About COVA HDHP • Eligible to participate in a Health Savings Account (HSA) • You may contribute $2,850/individual or $5,650 if you cover others in a full calendar year • You may not be enrolled in both a Medical Reimbursement Account and an HSA

19. Before You Enroll in COVA HDHP…. • Review the total expenses you expect to incur under the plan • In case of a catastrophic medical expense during the plan year, will you be able to pay your full deductible amount and the coinsurance all at one time • Consider the out-of-pocket expense limit is higher than under COVA. You will be liable for more costs before the plan pays

20. Basic COVA Care Monthly Premiums

21. Additional COVA Care/COVA Connect Coverage Options Premiums

22. COVA HDHP Monthly Premiums

23. Open Enrollment Choices • Review available health plans • Additional coverage options • Carefully review medical expenses • Change membership • Remove ineligible dependents • Waive coverage • Employees who waive coverage may not enroll outside of Open Enrollment without a qualifying mid-year event

24. EligibleDependents • Legally married spouse as recognized in the State of Virginia • Natural and adopted children, stepchildren, and children placed for adoption may be covered to the end of the year in which he/she turns age 26 • Other children when the unmarried children in the court-ordered sole, permanent custody of the employee reside full-time with the employee and the employee provides more than half of the dependent’s support (custody must have been awarded prior to the child’s 18th birthday) • Incapacitated dependents ages 26+ if unmarried, reside full-time with the employee (or the other natural/adoptive parent) and the employee provides more than half of the dependent’s support

25. RequiredDocumentation Needed to Add Eligible Dependents • Spouse: photocopy of marriage certificate and photocopy of 2011 federal tax return that shows the dependent listed as “spouse” • Natural or adopted child: photocopy of birth certificate showing employee’s name or in the case of adoption, photocopy of a legal pre-adoptive or adoptive agreement • Stepchild: photocopy of birth certificate (or adoption agreement) showing the name of the employee’s spouse and photocopy of marriage certificate showing the employee and parent’s name and photocopy of 2011 federal tax return that shows the dependent’s parent’s name listed as “spouse” • Other female or male child: photocopy of birth certificate and photocopy of the final court order with presiding judge’s signature • Other female or male child (exception): photocopy of the other child’s birth certificate showing the name of the minor child as the parent of the child and photocopy of the final court order with presiding judge’s signature

26. Outside of Open Enrollment, you may only make changes to your health insurance with Qualifying Mid-Year Events

27. Qualifying Mid-Year Events • Changes in marital status • Marriage • Divorce • Death of spouse • Changes affecting family members • Birth, adoption, placement for adoption • Covered child loses eligibility • Permanent custody of child • Gains/loses eligibility for Medicare/Medicaid (within 60 days) • Spouse/child begins/ends employment • Spouse/child begins/ends leave without pay

28. Qualifying Mid-Year Events • Changes affecting family members • Death of covered child • Dept. of Social Services order to cover child • Spouse/child switched from full-time to part-time employment or vice versa • Changes due to special circumstances • Annual enrollment/change allowed under another employer’s plan • Special enrollment under HIPPA • Court has required another party cover your child • Permanently moves in/out of plan’s service area (plan change only)

29. How Do I Enroll? • Employee Direct • www.dhrm.virginia.gov and click on the EmployeeDirect link • Complete enrollment form in Human Resources

30. Log-in Process for EmployeeDirect • Users may go to EmployeeDirect and click on “Frequently Asked Questions” and “Getting Started” for helpful login information • Users who forget their Username, Password, or Answers to Challenge Questions need to know the following information to complete their login: • ID number on your health insurance card • Date of birth • Last four digits of SSN# • Email address

31. Flexible Reimbursement Accounts Changes and Review of Benefits

32. Change in Maximum Medical FRA Contribution Due to federal health reform, the maximum contribution will be $2,500 beginning plan year July 1, 2012 – June 30, 2013 (change from current $5,000)

33. Plan Administrator Name Change Starting July 1st, administration of FRA’s will move to a new system supported by WageWorks, Inc.

34. New Medical FRA VISA Payment Cards All participants will receive new WageWorks Health Care Cards

35. WageWorks Health Care Card • You will automatically receive two VISA cards when you enroll in a medical FRA. It is your decision whether or not to activate and use your card. Filing paper claims for reimbursement is still an option • There are certain IRS rules to follow regarding the validation of claims expenses. In certain cases, you must complete an FRA Claim Form, attach supporting documents, and send it to WageWorks. Your card will be deactivated if you fail to take this step • No more paying up front and requesting reimbursement • Immediate access to medical FRA funds • Instant approval of many medical, dental, vision and prescription expenses

36. FRA Plan Review • Pre-taxed accounts available to offset costs for medical or dependent care expenses • For dependent care accounts, you pay up front for expense; complete and submit reimbursement form; receive reimbursement from pre-taxed account • For medical reimbursement accounts, you may use the WageWorks Health Care Card to debit your account balance or you pay up front for expense; complete and submit reimbursement form; receive reimbursement from pre-taxed account • “Use it or lose it” • Fiscal year expenses (July 1 – June 30) • Changes can only be made with mid-year qualifying events • $3.67/month administrative fee

37. Medical Reimbursement Accounts • Minimum - $10/pay period • Maximum - $2,500/year • Covers employee, employee’s spouse and eligible dependents • Eligible expenses include co-payments, co-insurances, deductibles, dental and vision care expenses

38. Orthodontia • Documentation • Bill, receipt-name, date of service, cost • Letter of medical need • Patient’s contract of treatment • Extended plan • Initial down payment, with balance spread out under a payment plan • Full contract amount paid monthly by coupon • Full payment amount paid entirely up front (reimbursement must occur during the plan year in which braces are first installed)

39. Dependent Care Accounts • Minimum - $10/pay period • Maximum – up to $5,000 (based on tax filing status) • Covers eligible dependents under age 13 and elderly parents who reside in your household more than 8 hrs./day • Eligible expenses include babysitter and daycare costs, elderly daycare costs, summer camps, etc.

40. IRS Limitations • Based on calendar year for tax purposes • Based on tax filing status • Carefully evaluate the amount you set aside to ensure you remain within the IRS limits • Any amount over the allowed IRS limit is subject to taxes

41. Reimbursement • Medical – may be reimbursed as expenses occur • Dependent care – payroll contribution must be received and posted before you can be reimbursed • Checks are issued within five working days once complete reimbursement request is received

42. How Do I Enroll? • Employee Direct • www.dhrm.virginia.gov and click on the EmployeeDirect link • Complete enrollment form in Human Resources

43. Log-in Process for EmployeeDirect • Users may go to EmployeeDirect and click on “Frequently Asked Questions” and “Getting Started” for helpful login information • Users who forget their Username, Password, or Answers to Challenge Questions need to know the following information to complete their login: • ID number on your health insurance card • Date of birth • Last four digits of SSN# • Email address

44. Reminder • Enrollment in your Flexible Reimbursement Accounts must be done each year, even if your total contribution for the new plan year remains the same

45. Questions