Medical Mutual Services(MMS)/FlexSave Flexible Spending Program

1. Medical Mutual Services(MMS)/FlexSave Flexible Spending Program

2. Medical Mutual Services/ FlexSave • Wholly owned by Medical Mutual of Ohio • Medical Mutual Services—TPA background • FlexSave has been administering Flexible Spending Programs for over two decades • Backed by full financial and operational resources of Medical Mutual Slide 2

3. OverviewHighlights of Flex Program • Dedicated Customer Service Staff • Employer and Employee Education System (“Take Care” plan) • Processing Commitments • Claims paid daily • Integrated debit card • Dedicated 800# & email address for enhanced support • IVR for account information available 24 / 7 • Efficient Operations • Debit Card/Automatic Rollover • Effective Communication • Comprehensive Employer Website • Comprehensive Employee Website Slide 3

4. Dedicated Customer Service • All service and processing in Strongsville location • Checks are sent from MMO downtown Cleveland • 6 Customer Service Representatives to handle participant inquiries • Call volume monitored weekly Slide 4

5. Product Offerings/Account Options • Flexible Spending Account (FSA) • Health Reimbursement Arrangement (HRA) • Dependent Care • Adoption • Transportation • Parking Slide 5

6. Account/Claims Funding Options • Rapid Claims Service • Daily Disbursements • Contributions pulled electronically on payday • Placed into a claims funding account at MMO • Reimbursement sent out within 48 hours by check or direct deposit • Weekly Accounting Service (Not offered if Debit Card is chosen) • Client maintains account and contributions • Reimbursements made from that account weekly • Reconciliation of account Slide 6

7. Disbursement Options • Debit Card • Direct Deposit • Check Slide 7

8. Employer Web SiteEflexonline.com • Benefits, claim linkage, co-pays, and compliance • Enrollment • Eligibility • Reports • Forms www.eFlexOnline.com Slide 8

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16. Employee Web SiteMyflexonline.com • View Account • Activate Card • Validate Card Swipes • Order additional cards • Repay Non-Qualified Expenses • Internet Claims Entry www.MyFlexOnline.com Slide 16

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26. Flexible Spending Debit Card • How to order • Where can it be used • Debit Card Substantiation • MyFlexOnline Card Management • Effective Communication Slide 26

27. How to Order Debit Card • Upon Enrollment—Employer Choice • FlexSave can order cards for all • Can allow employees to make decision • Employer Can order Cards • MyFlexOnline—Employee has ability to order initial card or additional card(s) • EflexOnline—Employer Can Order Card Slide 27

28. Easy Access to Balances • Debit Card can be in your hands prior to plan year start • Debit Card is activated on first use • Debit Card will keep balances for HCA, DCA, and P/T • Debit Card will access funds from both plan years during the 2.5 month extension Slide 28

29. New IRS Rules and IIAS Where Can Card Be Used? • Any Flex Eligible Location deemed by the IRS • Historically by Merchant Category Code (MCC) • IRS Rules and Information Inventory Approval System (IIAS): • Identifies product sku level at POS to determine eligibility • 1/1/08 all grocery and discount retailers must have IIAS in place to accept cards • 1/1/09 all pharmacy/drug retailers must have IIAS in place to accept cards (many are already there) Slide 29

30. Minimizing Debit Card SubstantiationWhen is it required? • Auto-substantiation (No Receipt Required): • Matches a co-pay or multiple of co-pays • Is a recurring transaction that has already been substantiated • Occurs at an IIAS location—“NO RECEIPT RETAILERS” (listing on myflexonline) • Our strategy is to be as liberal as the law allows and react and communicate quickly and effectively Slide 30

31. Suggestions To Reduce Substantiation Requests • Make sure we have co-pays provided for every benefit type through any carrier • MyFlexOnline communicates the substantiation needs effectively • Active member of ECFC—promote product with treasury and IRS. Focus on substantiation and IIAS; 2.5 month ext previously Slide 31

32. Debit Card SubstantiationHow is it Communicated? • Email • Hard Copy Letters sent to Participants at the beginning of each month • MyFlexOnline.com lists amount due and allows you to not only see the debit card swipes that require substantiation, but also walks the participant through the process of repayment. Slide 32

33. MyFlexOnline Participant Card Management • Debit Card Tab • Order Initial Card(s) • Order Additional Card(s) • Review Payments • View Amount Owed • Dispute Card Swipe • View “NO RECEIPT RETAILERS”--listing of retailers already active and the projected dates for many other retailers Slide 33

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38. Education System“Take Care” • Everything about Flex is participation • More Participants = More savings for the employer and more employees realizing savings from using a benefit • FlexSave has an education system called “Take Care” that educates the employees in how they can save Slide 38

39. Educational Website Mytakecareplan.com • Educational Video Link • How you save • Which expenses qualify • How it works • Take home pay comparison with and without the plan • Why you can’t lose • Dispelling Myths • More FAQs • Worksheet • Interactive Calculator Slide 39

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41. Employer & Employee Education System Once an employer selects the Take Care plan, employee communication tools are provided Slide 41

42. Employee Communication Employees are presented with a five-minute video CD explaining the Take Care plan This presentation is also accessible on the Mytakecareplan.com educational website Slide 42

43. Employee Communication Posters feature a variety of savings and direct employees to the Web site Slide 43

44. Employee Communication Payroll stuffers target a variety of benefits and direct employees to the Web site Slide 44

45. Employee Communication At open enrollment, employees are given a brochure outlining Take Care Slide 45

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