An independent licensee of the Blue Cross and Blue Shield Association Meredith College 2013 Renewal & Enhancements Andrea Rossbach 10/11/2012.

An independent licensee of the Blue Cross and Blue Shield Association

Meredith College2013 Renewal & Enhancements

Andrea Rossbach 10/11/2012

What has changed for 2013?Benefit HSA PPO 123

In-network Out-of-network In-network Out-of-network

Deductible IndividualFamily

$2,500$5,000

$5,000$10,000

$500$1000

$1,000$3,000

Coinsurance 80% 50% 90% level 270% level 3

60% level 260% level 3

Coinsurance MaxIndividualFamily

$4,000$7,500

$8,000$15,000

$2,000$4000

$4,000$12,000

Office Visit Copays In-network:Deductible applies to sick100% preventative benefit

In-network:$20 Primary CareDeductible applies to specialist100% preventative

Prescription Drugs

(Note: The coverage level for tier 4 specialty drugs will not change in 2013 However, for in-network coverage, please use a participating specialty pharmacy.)

In-network:Deductible Applies

In-network: Tier 1: $4Tier 2: $30Tier 3: $45

Your 2013 Medical Plans: How They Compare

Medical Plan OptionHSA

(In-network)PPO

(In-network)

CopaymentsNone. You pay

100% for services until you meet your

deductible.

$20 for non-preventive Level 1 services

Also pay $250 copay on inpatient hospital.

Preventive CareServices received from an in-network provider in an office-based, outpatient or ambulatory surgical setting or urgent care center are now covered at 100%. For a list of covered preventive care services refer to www.bcbsnc.com/preventive. Some restrictions may apply.

Covered at 100% (before deductible)

Covered at 100% (before deductible)

Plan Year Deductible$2,500 Individual

$5,000 Family$500 Individual$1000 Family

Family Aggregate Deductible

Yes No

Your 2012 Medical Plans: How They Compare Medical Plan

OptionHSA (In-network) PPO (In-network)

Coinsurance(after you meet your deductible)

Services covered at 80% (you pay 20%) after deductible

Level 2 services covered at 90% (you pay10%) after deductible (and if

applicable, $250 copay per admission)

Level 3 services covered at 70% (you pay 30%) after deductible

Out-of-Pocket Maximum(includes deductibles)

$4000 Individual$7500 Family

(Once met, covered services paid at 100% for rest of plan year.)

Not applicable

Coinsurance Maximum (does not include deductibles)

Not applicable

$2,000 Individual$4,000 Family

(Once met, still pay copays for primary care doctor visits and prescription drugs)

Health Savings Account (HSA)

Yes No

What is Blue Options HSASM? • High Deductible PPO Health Plan

– Similar to a traditional PPO, except:• High deductible (required by the

federal government)1

• No co-payments

High Deductible PPO Plan

You pay 100%

Until you meet your deductible

Then you pay a 20% of the cost: coinsurance

1 Blue Options HSA plans, deductible and out-of-pocket maximum amounts are subject to change year to year in order to comply with IRS requirements. For the most up-to-date requirement information, see www.irs.gov.

What is Blue Options HSASM? • Health Savings Account (HSA)

– Tax-free savings account for qualified medical expenses

– Administered by BNY Mellon1

Health Savings Account (HSA)*

(for medical expenses)

Contribute money tax-

free

Use money to pay for medical expenses tax-

free2

Earn interest over time tax-free

1 BCBSNC does not administer your HSA and is not affiliated with your HSA custodian or administrator.  Your HSA custodian is The Bank of New York Mellon.2 Withdrawals are tax-free only if used for qualified medical expenses. See irs.gov for specific regulations.

Similar to Traditional PPO Plans:+ Choice of doctors

+ Large Blue OptionsSM

network of providers

+ Out-of-network benefits option1

+ Access to specialists with no referrals2

+ Provider discounts = big savings

+ Nationwide, worldwide coverage3

+ Preventive4

services at no charge

1 When you see an out-of-network provider, you may pay more out of pocket. 2 Referrals may be needed for mental health and substance abuse services. 3 Blue Cross and Blue Shield Association Internal Data, 2007: www.bcbs.com/news/press/facts/bluecard.html (Accessed September 2008)4 Preventive care services received from an in-network provider in an office-based, outpatient or ambulatory surgical setting or urgent care center are now covered at 100%.

For a list of covered preventive care services refer to www.bcbsnc.com/preventive. Some restrictions may apply.

For a list of covered preventive care services: www.bcbsnc.com/preventive.

Different from Traditional PPO Plans • High Deductible

– Required by federal government

• Family aggregate deductible– Single deductible for all covered family members

• No co-payments for services– You pay 100% until you meet your deductible

• Pay for care with HSA– Pre-taxed funds

For guidance, visit www.irs.gov, publication 502

1 When you see an out-of-network provider, you may pay more out of pocket. 2 Referrals may be needed for mental health and substance abuse services. 3 Blue Cross and Blue Shield Association Internal Data, 2007: www.bcbs.com/news/press/facts/bluecard.html (Accessed September 2008)4 Preventive care services received from an in-network provider in an office-based, outpatient or ambulatory surgical setting or urgent care center are now covered at 100%.

For a list of covered preventive care services refer to www.bcbsnc.com/preventive. Some restrictions may apply.

How does Blue Options HSASM work?

• You pay 100% of your health care & prescription drug expenses

• Exception: In-network preventive care2 is covered at 100%, without paying your deductible first

+ You pay 20% of your health care expenses, including prescriptions

Before you reach your deductible1

After you reach your out-of-pocket maximum1

Of $4000 employee/$7500 family+ BCBSNC pays 100% of all covered expenses for

the rest of the plan year

1 Blue Options HSA plans, deductible and out-of-pocket maximum amounts are subject to change year to year in order to comply with IRS requirements. For the most up-to-date requirement information, see www.irs.gov.

2 Preventive care services received from an in-network provider in an office-based, outpatient or ambulatory surgical setting or urgent care center are now covered at 100%. For a list of covered preventive care services refer to www.bcbsnc.com/preventive. Some restrictions may apply.

After you reach your deductible1

Deductible: $2,500 employee/ $5,000 family

How the HSA Works

You, your employer, or anyone can contribute to

the HSA – tax-free!

When you use your HSA to pay for qualified medical

expenses, the money comes out tax-free1!

HSA checkbook and debit card from

Mellon

Use for medical expenses at

doctor’s office, pharmacy, etc.

If you don’t use your HSA money, you don’t lose it!

The fund grows - tax-free!

1 Withdrawals are tax free only if used for qualified medical expenses. Specific regulations and a list of qualified medical expenses can be found in IRS publication 502, available at www.irs.gov.

2013 Annual Contribution Limits: $3,250 individual $6,450 family $1,000 per year catch-up contribution

(55 or older by 12/31/13)

Pharmacy Benefits

* For a 30-day supply** There is a $50 minimum and $100 maximum per 30-day supply.

Pharmacy HSA PPO

Tier 1: Generic Deductible $4 Copay

Tier 2: Preferred Brand

Deductible $30 Copay

Tier 3: Brand Deductible $45 Copay

Tier 4: Specialty Brand Deductible 25% Coinsurance

Health Care Cost Estimator Tool

Look at costs on 56 procedures

Find Blue Distinction Centers and make informed decisions on health care costs.

https://www.brainshark.com/bcbsnc/costtransparency

A friendly reminder Blue Points will discontinue 12/31/2012 for Meredith Employees. Please cash in your points by 12/30/2012

New Wellness Program:Healthy Outcomes

Achiever ACredit Tracking – 6 months

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Healthy Outcomes groups will be defaulted to this plan option. Groups that are not Healthy Outcomes groups may choose this plan as well if they wish.

Program Activity Credit Value Annual Max

Award Credits Process

Health Assessment (required) 40 40 Auto

Healthy Living Programs 20 40 Auto Healthy Living Conversations 10 30 Auto Online Monthly Seminars 5 30 Auto 1 on 1 Health Coaching Interaction 40 40 Various

Preventive Care Adherence with 4 services within USPSTF Guidelines

50 50 Claims / Form

Custom Activity 25 25 Form / File Health Challenges 25 100 AutoTotal Opportunity 355

Program 5 Goal: 125 Credits

Employee portal

Personalized messaging

Dashboard incentive status and activity tracking

Top three program recommendations prominently displayed

Tools and media Weight, nutrition,

exercise, pain

Multiple health programs and trackers Calculators Planners and guides

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Welcome screen

Employee portalWellness overview

Displays program overview

Informs member how to achieve their goals

Describes each program activity

Shows credit value of each activity

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Private and confidential• Health Assessment responses are confidential• Results are not used to determine

insurance rates or eligibility for coverage• Get a personal health report you can print• Access programs to improve your specific risk conditions

Why should you participate?• Helps you get healthier• Meredith college is giving $20

per month to the HSA fund or $20 towards premium to members on the PPO beginning 1/1/2014

• Helps your company control health care costs, which is good for everyone, last year there was a savings but we need to increase participation

Questions???