Minutes

April 9, 2013

Guild Office

PARTICIPANTS:

James Bradley, Local 99; Manny Pangel, Organizer SEIU Local 99; Susan Carleo, President-Valley; Annie G. Reed, Teamsters; Velma Butler, AFT1521A; Stacey Allen, Health Benefits; Galen Bullock, SEIU 721; Leila Menzies, Business Services; Amy Roberts, AFT 1521; Ken Takeda, VP Admin/Mgmt; Don Sparks, Faculty-Pierce; Susan Aminoff, Retiree; Jim Adams, BTC; Art Brickman, IBEW #45; Gary Delaney, WFIS; ; Kristin Yokoyama, WFIS; Terri Mendez, WFIS; Krystie Dascoli, WFIS; Armida Ornelas, Faculty Guild; Joanne Waddell, AFT

  1. Call to Order
  2. Approval of Agendas

A.March 12, 2013 – approved

B.April 9, 2013 - approved

  1. Approval of Minutes

A.February 12, 2013 – approved

B.March 12, 2013 - motion to approve with changes/edits. See Notes

  1. Public Comments – A concern was raised about privacy/HIPAA in regard to telephone conversations between member and pharmacist. It appears that CVS Caremark is able to listen to conversations without the members consent. Let Jeremy know.
  2. Health Benefit Unit Report

A.CalPERSErrorwith STRS Retirees Premiums – Collection notices were sent out to retirees.There is a lack of reconciliation between STRS and CalPERS. How can we avoid this from happening again? Leila will go back to CalPERS to inquire.Keep on agenda for update. Blue Shield member’s address appearsto be an issue too. What zip codes belong to which plans?Regarding Kaiser, there are errors based on wrong zip codes, such as Kaiser zip codes outside 50 miles limit.

B.Dependent Eligibility Verification Project – Everyone should have received their letter from CalPERS regarding Amnesty. Members have until the end of June to remove ineligible dependents. Member must now include documentation/verification of dependents or they will be removed/deleted. CalPERS hasrefined the domestic partner definition; they are not eligible. Ineligible dependents must buy a separate plan.Employer has no obligation to offer benefits to DPs at this time.

  1. Communications Committee Update

A.Adjuncts Enrollment Process/Communication Piece& Meeting Update – we recently learned from CalPERS that our current Open-Enrollment for Adjuncts has been handled incorrectly. Annual Enrollment for Adjuncts should only be offered like all other members based on their eligibility. To becoming eligible, one must experience a life event. CalPERS enrollment is based on calendar year (January through February). Uncertainty was a concern using current system. With the change, an adjunct would enroll knowing the actual rates. There are pros and cons using the calendar year. Deductions would need to be reviewed such as a 4 month deduction for theFall and 6 months for the Spring. Cons under current system include the “Catch-Up” calculations. FAQs will be included in a memo/newsletter. There will be more information to follow at next meeting.

B.Spring Newsletter/Bulletin – refer to handout. Move bottom right logo to center top and use larger font; make “Health Benefits” title font smaller. Change “patient” picture to an “adult”. See edits to Dependent Verification Updates Essential. (Move last paragraph and add white color title). On 3rd page, Horizon Health, change to: Employee Assistance Program (EAP) through Horizon Health, and make that change throughout paragraph. Add ADP customer service number on page 1 (last sentence in blue section). Back cover picture - change? Page 1 Mustard: What, Why, How approach? A motion to approve newsletter was made once edits are made. Send changes to Armida, Electronically to all EEs, then hard copy mailer to home addresses to RETIREES.

C.Website Update– District has been involved in upgrading their website. We were suppose to go live last Monday but will go LIVE next Monday, 4/15. Frustrations were shared based on past meetings which include enhancements/edits to site, but due to time constraints, website cannot be updated as discussed. The site will include minimum changes vs. the edits that were discussed in the last communications meetings. Perhaps ask Dr. Barrera to see what we can do in order to give the committee a voice.

  1. Request For Proposals (RFP’s) Status

A.Basic & Voluntary Life Insurance, Accidental Death & Dismemberment– Update. 12 respondents gave a proposal to WFIS, and now WFIS is reviewing the results. Next step is to meet with subcommittee to review for a 1/1/2014 effective date. (Velma, Ken, Armida, Leila)

B.Voluntary Benefits – Krystie Dascoli: products are state filed; commissions are built into the plans. WFIS can provide additional services. Product, fit, and carriers are all considered for each client’s needs.

  1. Short Term Disability handout – (Unum, AFLAC, Colonial, Transamerica). Rates are based on census data provided. Level rates (same rate at enrollment through end of plan). 7 day sick/7 day injury/3 or 6 month benefits duration). Pays on top of benefit, it is not an offset. Benefit amount can be adjusted based on needs. No medical questions asked. Pre-existing condition clause was explained, minimum participation was reviewed as well. MGI – modified guaranteed issue. Outside Enrollment Firms WFIS uses does not include commissions, their role is to assist/educate the member, not to SELL. If you have a current plan, the enroller will review the current plan vs. the proposed plans/rates/differences. “Issue age” means you have to purchase it. Offered to ACTIVES but can still use plan once retired. Claims paying data was requested. WFIS services include claims servicing. Typical delays for delayed payment are due to needs from Physician, Employee, and Employer. Individual vs. Group Chasse was explained – rates are based on either Group offering discount basis or Individual offering rates. ER picks one carrier (Unum and Colonial offer all benefits that LACCD is looking for). But Transamerica has a good Life and LTC. Unum has a rider for Alcohol, N/A for AFLAC, and rider for Colonial, included in Transamerica.
  2. Long Term Care – (Transamerica, Unum, Colonial). As WFIS consultant, does not recommend this type of plan as it is not a stable product at this time. Can the active employee enroll their retired spouse?
  3. Permanent Life – ((Transamerica, Unum, Colonial). Transamerica is the strongest offering under this offering. Universal vs. Whole Life (universal is like a variable plan) Where whole life makes more sense if you want stability. Each line of coverage was reviewed. Transamerica offers a high Guarantee Issue overall. Have to be actively at work to be eligible. Can WFIS compare these plans to CalPERS plans? The Pros and Cons can be reviewed in detail. Extension of Benefits and the Buy-Up Provision is superior overall. Term Life is lower priced, but as you get older the price increases. Permanent Life is lower if purchased at a younger age and remains at same rates for life.
  4. Hospital Indemnity Plan – (a buffer plan, if you have a plan with a high deductible, HSA plan) If you are hospitalized, you receive the benefits listed. (Unum vs. Colonial) Krystie walked the group through each line of benefit. Rates reflect per week. This plan must be sold with a major medical plan. Enroller will cater to group’s needs to successfully communicate the benefits.
  5. Pet Insurance vs. Pet Discount - Discount program is the better program. What about the medications? Retiree offering would be excluded. No claim forms. Discount Card is used, using network. Pet Assure network is bigger but United has a bigger discount. Direct Bill vs. Payroll deducted? WFIS will follow up.
  6. WellCard–discount card for listed services for active employees. No fee to client. Network based service. This plan is designed for those who have no medical insurance. But will include a discount on Vision Care, Vitamins, Lab work. Consult a doc program, and $35 copay, see handout for all services/highlights. Committee suggests putting this on the agenda for next month. 2 voluntary benefits are required in order to use the WellCard. Use “Age 57” and “Smoker” exhibit.
  1. VSP Vision Coverage Options – VSP pricing. Kristin reviewed line by line benefit options. If group moves from Signature to Choice, the savings would be $229,045). The other benefit options are additional costs.
  2. VSP Signature vs. Choice Plans – exhibit shows the benefit differences line by line. Refer to handouts for further details. Open Access Schedule shows the amounts VSP will pay. Keep on agenda. Use savings to enhance the plan design. WFIS will come up with recommendations.
  3. Health Benefits Satisfaction Survey - Sample Update. Give WFIS updates by 4/16. Electronically for all with health plans and hard copy to retirees.
  4. Wellness Update – health fairs are well received thus far. Funding is the issue.
  5. Next JLMBC meeting – May 14, 2013
  6. Adjourn 12:01pm