At last month’s inaugural meeting, the System Employee Benefits Advisory Committee (SEBAC) voted to look into two agenda items, formed subcommittees to solicit proposals from insurance companies, received an update from the wellness subcommittee, and elected officers.
The first agenda item dealt with prepaid legal and/or identity theft plans. Ellen Gerescher, employee benefits manager for System Human Resources, said that identity theft plans cost $12/month on average, and that price can jump to $26/month when combined with prepaid legal services. Gerescher also noted that prepaid legal services are typically provided via telephone rather than face to face, and that such services are available through Answer Financial, the A&M System’s current Internet financial services provider.
Also prompting discussion was whether the A&M Care plans could provide certain basic diabetic supplies, such as test strips and syringes, at no or reduced costs to plan participants. The reason for this change would be to encourage people to more properly monitor their diabetes, which can have expensive and serious complications if not controlled. Gerescher estimated that this enhancement would benefit about 500 of the 33,000 A&M Care participants.
Gerescher agreed to research both issues further and report back to SEBAC at its February meeting.
SEBAC also formed subcommittees to solicit and review proposals from insurance companies for the following A&M System benefit programs:
Each company’s proposal will include information such as premiums, types of services covered, level of benefits paid for those services, and size of network, if applicable. Later this year, subcommittees will review proposal responses and view finalist presentations. System Human Resources will then present recommendations to upper management with the A&M System. The companies that are selected will begin providing services to the A&M System next Sept. 1.
Bryan Pope updated SEBAC on the wellness committee’s plan to promote the Texas Cooperative Extension’s Walk Across Texas fitness program throughout the A&M System. The program, which has been in place for six years and is now held annually in almost every Texas county, encourages people to form teams and log their physical activity for a designated eight-week period. Pope said the committee’s goal is to increase participation from employees and retirees at all A&M System universities, institutions and agencies.
Finally, SEBAC elected officers for the coming year. Greg Richmond, human resources officer for the Texas Transportation Institute, was elected chair, and Nancy Granovsky, professor and extension family economics specialist for Texas Cooperative Extension, was elected vice chair. Both have served several terms on SEBAC.
Look for more information about these issues in future issues of Systemwide. If you have questions about this information, contact your SEBAC representative.
Total Compensation Statements for the 2006 fiscal year will be distributed either electronically or by mail to all A&M System employees in early November.
This letter, which each employee receives every fall, not only shows how much the A&M System gives you in the form of a paycheck, but it shows how much both you and the A&M System contribute toward your insurance benefits, retirement plans and other employment-related programs.
If you have questions about your statement, or if the information on your statement is incorrect, contact your Human Resources or payroll office. You can also view your Total Compensation Statements for the previous fiscal years (back to 2003) through the payroll screen of HRConnect (sso.tamu.edu).
It’s now been one year since Health Care Spending Account debit cards were first issued to plan participants. If you re-enrolled in a Health Care Spending Account this year, keep the following tips in mind regarding your debit cards:
Scott & White Urgent Care in College Station has changed its name and business hours. It’s now called Scott & White TodayCare, and it closes at 5 p.m. seven days a week. Previously, it was open until 7 p.m. on weekdays.
The following vision care providers are no longer in Superior Vision’s network: LensCrafters, Pearle Vision, JCPenney Optical, Sears Optical and Target Optical. For a list of alternative retail chain locations or all providers in the network, visit www.superiorvision.com or contact Superior Vision’s customer service at (800) 507-3800.
Rules for loans and hardship withdrawals differ for each type of retirement plan. Texas state law prohibits distributions, including loans and hardship withdrawals, under the Optional Retirement Program (ORP) until a participant retires, dies, reaches age 70½ or terminates employment with all Texas public institutions of higher education. The Tax-Deferred Account (TDA) program and the Texa$aver Deferred Compensation Plan (DCP) do allow loans and hardship withdrawals regardless of the participant's employment status. However, not all TDA vendors offer loans. For more information, contact your vendor representative.
Optional Retirement Program (ORP) and Tax-Deferred Account (TDA) vendor representatives are allowed to make sales presentations regarding ORP or TDA investment products to individual employees on A&M System premises only at an employee's request (subject to the approval of the employee's supervisor). Vendor representatives may not make unrequested visits or telephone calls or send unrequested mailings or e-mail messages to A&M System employees at their offices. If you encounter a problem with a company or vendor representative who has violated these solicitation rules, please contact your Human Resources office.
Effective Jan. 1, 2006, the maximum contribution limit for participants under the Tax-Deferred Account Program (TDA) and the Texa$aver Deferred Compensation Plan (DCP) will increase from $14,000 to $15,000 for each plan. In addition, the catch-up contribution limit for each plan for participants who are 50 and older will increase from $4,000 to $5,000.
A chart listing the calendar-year contribution limits through 2006 is available online. The 2005–06 Total Compensation Statements, which employees will receive soon (see related article), will list each employee's maximum TDA and/or DCP contribution limits for 2005 and 2006.
If you wish to change your monthly TDA contribution limit for the 2006 calendar year, complete the TDA Salary Reduction Agreement/Change of Vendor Form (PDF) and submit it to your Human Resources or Payroll office. Please contact your Human Resources or Payroll office for deadline dates to ensure that your change will take effect on the first pay date of 2006.
If you wish to change your monthly DCP contribution amount, contact CitiStreet, the DCP plan administrator, at (800) 634-5091 by 3 p.m. on Nov. 30. This will ensure that the change takes effect on the first pay date in 2006.
State law requires that Optional Retirement Program (ORP) contributions be sent to ORP vendors within three business days of the funds' legal availability (pay date) and that ORP participants be notified each year of vendors that are unable to receive these contributions by electronic funds transfer. All currently active vendors receive funds electronically on the first business day of each month and are required to credit the contributions to participants' accounts within one day of receipt. The following is a list of inactive vendors who do not currently receive ORP contributions electronically:
I’ve read a lot of information regarding the Medicare Part D prescription drug program. What can you tell me about this program and how it compares to the prescription drug coverage offered through my A&M System health plan?
With Medicare Part D becoming available this January, people who are eligible for Medicare will begin receiving a lot of information about the plan from Medicare and from some prescription drug companies approved by Medicare to offer the Part D program. When deciding whether the plan is right for you, keep in mind that, in most cases, the A&M System health plans will provide a better prescription drug benefit than you will receive from Medicare Part D.
To begin with, Medicare Part D has a monthly premium of approximately $32. This is separate from the regular Medicare Part B premium of $78.20 per month. With an A&M System health plan, you do not pay a separate premium for prescription drug coverage. Medicare Part D also has a $250 deductible, while none of the A&M System plans currently has more than a $50 prescription drug deductible.
If you choose to enroll in Medicare Part D, your A&M System health premiums will not decrease, and you will not be able to use your A&M System plan’s drug benefits, including the drug copayments.
The A&M System has completed an actuarial study, as required by Medicare, confirming that its health plans provide prescription drug coverage that is equal to or better than Medicare Part D. This means you will not have to pay a penalty if you defer enrollment in Part D now but later decide to enroll.
For more information, including a comparison chart explaining how Medicare Part D works compared to your current A&M System health plans’ prescription drug benefits, visit the benefits website. If you have questions about Medicare Part D or your A&M System health coverage, contact your Human Resources office.