HEALTH AND DENTAL BENEFITS

As a NAF instrumentality of the Federal Government, the Marine Corps NAF community offers health insurance through the Department of Defense (DoD) Uniform Health Plan (UHP). Aetna US Healthcare (AUSHC) is currently the third party administrator for the DoD UHP.   Under the DoD UHP there are two different benefit options available. Traditional Choice Plan and Preferred Physician Option (PPO).

Traditional Choice
This plan is known as a traditional "indemnity" plan. There are no networks to follow; there is no requirement to select a Primary Care Physician (PCP). Under this plan, each member has an annual deductible of $200 per person ($400 family of 2; $600 max per family) and specific co-insurance limits.

Preferred Physician Option
This plan is known as the PPO plan.  Employees go to doctors within the PPO Network and pay co-payments.  There is an annual deductible of $200 per person ($400 family of 2; $600 max per family).  If services are rendered outside the PPO Network, a deductible of $600 per person ($1,200 family of 2; $1,800 max per family) will apply. The deductible does not apply to office visits or preventive care services when staying within the Network.

Dental Coverage (in use with Aetna US Healthcare)
NAF Employees enrolled in a UHP Medical plan may enroll in the UHP Dental plan.  Plan offers two cleanings, exams per year, subject to reasonable and customary costs.  There is a $100 deductible per person ($200 family of 2; $300 max per family).

Stand Alone Dental (SAD)
NAF Employees not enrolled in a UHP Medical plan and want ONLY Dental coverage may enroll in our SAD plan.  Plan offers two cleanings, exams per year, subject to reasonable and customary costs. There is a $100 deductible for an individual ($300 max per family).  Jaw joint disorder such as TMJ is NOT covered under this plan. 

Premiums for these plans will automatically be made on a pre-tax basis under the Section 125 Premium Conversion Plan, unless you elect to “opt out”.  If you elect to “opt out” of the premium conversion plan you will be required to do so during the enrollment period.  Failure to “opt out” of the Section 125 plan will result in automatic participation until the next announced enrollment period.

For additional information, or specific plan coverage, please contact your personnel office.

Changes in your Benefit Plans

Under normal circumstances, you can change your enrollment during your 31 day eligibility period or during a designated open enrollment period. Otherwise, you may change the amount of your

deduction or cancel during a plan year only if you have a change in family status or other "qualifying event". An allowable family status change includes (these are IRS imposed restrictions):

Marriage, divorce, legal separation, or annulment; the birth, adoption, or placement for adoption of a child; the death of your spouse or child.

Change in your employment status, or that of your spouse, including termination or commencement of employment; change from an ineligible category (flexible) to an eligible category (regular/full time or regular/part time); or commencement of or return from an unpaid leave of absence.

Dependent status - through ceasing to qualify due to age or student status; change in your worksite or that of your spouse or child; eligibility for COBRA for your spouse or child; acceptance by the Plan of a qualified medical child support order; or entitlement to Medicare or Medicaid by you, your spouse, or your child.

Financial hardship is not considered a qualifying event for cancellation or changes to coverage.

If any of these events occur and you elect to change your coverage, please notify your local NAF personnel office within 31 days. This 31-day eligibility period applies to any change in coverage (due to addition of a dependent, etc).  You must supply written documentation (for example, a birth certificate for a new child) for any qualifying event.

Important Information

If you terminate employment your pre-tax deductions will automatically stop with your last paycheck and your participation in the Plan will end.  If you take a leave of absence, and are enrolled, you will need to make arrangements with payroll to keep the premiums paid up to date

Retirees

Only active employees, enrolled in Personal and Readiness Division-administered medical and dental coverage, are entitled to participate in the Plan. The Pre-Tax Health Premium Plan does not apply to terminated or retired employees who elect continued or converted health insurance.

2008 BI-WEEKLY COVERAGE COSTS:

EMPLOYEE ONLY NO DENTAL    $54.38            EMPLOYEE ONLY WITH DENTAL  $57.93

FAMILY NO DENTAL                       $126.53          FAMILY WITH DENTAL                       $134.92

STAND ALONE DENTAL (SAD)

EMPLOYEE ONLY                           $13.15            FAMILY COVERAGE                            $31.10

ADDITIONAL BENEFITS

GROUP RETIREMENT PLAN:  This plan is known as a "defined benefit" plan, and provides a benefit at the time of your retirement, based on your earnings, and length of credited contributory service to the Plan.

Employee Contributions:  Plan participants contribute 1 percent of covered earnings to the Plan.

Vesting:  Plan participants are vested in the Plan after 5 credited contributory years.

Retirement Age:  Reduced Early Retirement - age 52 with at least 5 years of contributory participation.

Unreduced Normal Retirement- age 62 with at least 5 years of contributory participation.

Unreduced Early Retirement - age 55 with at least 30 years of contributory participation OR age 60 with at least 20 years of contributory participation

Participation Incentive:  If you are an active member of both the Retirement Plan and the 401(k) Plan, your employer will contribute an additional one percent to your account in the 401(k) Plan. If you are not an active member of the Retirement Plan, this incentive contribution does not apply.

MCCS has ceased including lump sum annual leave payout in the definition of the earnings for regular employees hired on or after 30 March 2007.

Contact your local Personnel Office for more information

FIDELITY INVESTMENTS is the bundled administrator for the NAF 401(k) plan., MCCS offers a very valuable match to your pre-tax contributions to the 401(k) Plan  The amount of your employer match is determined by the amount you contribute. The maximum available employer contribution is five (5) percent.

To Enroll: Enroll by logging on to Fidelity NetBenefits at www.401k.com or call the Fidelity Retirement Benefits line at 1-800-890-4015.

Contribution opportunities: you may defer from 1 to 100 percent of your covered earnings into the 401(k) Plan. If you defer at least 5 percent and are an active participant in the Group Retirement Plan, your employer match will also be 5 percent.

Vesting: You are automatically 100% vested in your contributions. You are vested in your employer match after one year of participation. If you terminate employment prior to being vested in your employer match, your employer match will be forfeited. 

Employer Match: The amount of your employer match is determined by the amount you contribute (up to 5 percent). If you are an active member of the Retirement Plan and the 401(k) Plan you will receive an additional one percent employer contribution to the 401(k) Plan.

With the enhanced availability to account information via the Fidelity NetBenefits website at www.401k.com and the toll free voice response unit (1-800-890-4015).

Additional Information on your plan: Loans available to participants that meet the criteria; hardship withdrawals available for specific identified purposes; investment deferrals made in 1% increments.

LIFE INSURANCE

There are five life insurance options available. Standard Life Insurance, Optional Life Insurance #1, Optional Life Insurance #2, and Optional Dependent Life Insurance.  Employees will be eligible to enroll in this coverage during their 31-day benefit eligibility period.

Standard Life (Available to Employees Only):  This option provides life insurance volume determined by your annual salary. Your volume of insurance is determined by rounding your annual salary to the next highest thousand dollar and adding $2,000 dollars (i.e. $14,358 = $15,000 +$2,000= $17,000 of life insurance) Enrollment in this initial layer of life insurance is a pre-requisite to enroll in the Optional Life and Optional Dependent Life plans. If you do not enroll in the Standard Life insurance plan, there are no other options available to you. Rates for this insurance are determined by your annual salary and are shared equally by your employer.

Optional Life Insurance #1 (Available to Employees Only):  This life insurance option provides Standard Life participants an opportunity to buy an additional layer of life insurance equal to that provided by the Standard Life Insurance. Cost for this coverage is borne solely by the participant and is determined by the volume of insurance and the participant’s age.

Optional Life Insurance #2 (Available to Employees Only):  Employees not already enrolled in the pre-requisite plans(Optional Life Insurance #1) or electing enrollment in Optional Life #2 are required to complete Personal Health Statements and submit to the HR Office in Building 400 for approval prior to enrollment.  By enrolling in this option employees will have three times the volume of Standard insurance (i.e. $10,500 salary = $13,000 volume for Standard Life + $13,000 Optional Life #1 + $13,000 Optional life #2 = $39,000)  The cost for this insurance is borne solely by the participant.

Optional Dependent Life Insurance (Dependents Only):  Insurance in the amount of $5,000 is provided for the eligible spouse of the participant and $2,500 is provided for eligible dependent children of the participant. The cost of this insurance is borne by the participant and is a minimal cost premium, regardless of the number of covered dependents.

Optional Dependent Life Insurance #2 (Dependents Only):  Insurance in the amount of $10,000 is provided for the eligible spouse of the participant and $5,000 is provided for eligible dependent children of the participant.  The cost of this insurance is borne by the participant and is a minimal cost premium, regardless of the number of covered dependents.

LONG TERM CARE

WHAT YOU SHOULD KNOW…

Long Term Care Insurance (LTC) is the newest benefit available to MCCS NAF employees.  Take the time to read this flyer and familiarize yourself with this valuable new benefit.  Additional information is available at your Human Resources office, or by going to www.usmc-mccs.org, or by calling CNA directly at 1-877-777-9072.

WHAT is Long Term Care?

Long-term care is not one service, but many services designed to help people who have chronic conditions and are unable to care for themselves.  The chronic condition may be permanent, or a temporary injury.  Services might include assistance within the home for day-to-day activities, or special attention in a nursing home.

Long-term care can be provided in a variety of settings:

• Private Home
• Assisted living facility
• Adult day care center
• Or a Nursing home

WHO pays for Long Term Care?

Long term care is expensive!  Many people incorrectly assume that health insurance, government programs, or personal savings will pay long term care costs.

• Medical insurance: pays less than 8% of all LTC expenses, and does NOT cover custodial care that is needed by nearly 90% of all people receiving LTC services.

·        Medicaid: recipients must meet federal poverty guidelines to qualify.  Under Medicaid you are forced to exhaust your personal assets before you are covered.

·        Personal Savings: with an average annual cost of $42,000, personal and family savings could quickly become depleted.  72% of all elderly, whether married or not, are impoverished within one year of entering a nursing home.

·        Long Term Care Insurance: is the only type of insurance designed to specifically cover the costs associated with extended long term care.

WHY Do You Need LTC?

• Nearly 40% of the people receiving LTC services are working age adults between ages 28-64.

• 60% of the population will at some time require care at home, or in a nursing facility.  The average cost of a home visit by a nurse is $100, by a home health aide $50 - $60.
• The average annual cost for nursing home care is $42,000.  The average stay is 2 ½ years – a total of $105,000!

WHY Purchase LTC Insurance?

• Provides you with flexibility of choice in the type and quality of care needed;

·        Offers peace of mind for you and your family;

·        Fosters independence,

·        Helps you protect your assets!

HOW Do You Qualify For LTC Benefits?

You must meet one of the following criteria:

• Be unable to perform any 2 of the 6 “activities of daily living,” such as bathing, continence, dressing, eating, toileting, transferring – either temporarily or permanently.
• OR, be cognitively impaired (e.g., Alzheimer’s Disease).

WHO Can Apply for Enrollment into LTC?

• Actively at work benefits eligible employees*
• Spouses of employees **
• Retirees and their spouses**

*Benefit eligible employees who enroll within 31 days following their date of eligibility are guaranteed acceptance into the plan, provided you are actively at work on the date your coverage begins

** Coverage is not guaranteed – must apply for coverage by filling out an application form, and evidence of insurability must be provided.

POLICY BENEFITS AND FEATURES
With Group Long Term Care Insurance from CNA, you choose a plan that’s right for you!   Not everyone needs the same amount of coverage, so you determine the amount of daily benefit.  Your daily benefit amount is the maximum daily amount you can receive in benefits.  Listed below are some of the benefits and features available in the Group Long Term Care Plan:

Daily Benefit Amount – Group LTC from CNA offers a choice of three daily benefit amounts, $100, $140, or $180

Nursing Home Benefit – Pays 100% of the eligible expenses per day, up to your maximum daily benefit amount selected, for care received in a licensed nursing home

Lifetime Maximum Benefit – The lifetime maximum translates into the total dollars you can receive in benefits.  It depends on the daily benefit amount selected for nursing home care and equates to a pool of dollars equal to 3 or 5 years of nursing home benefits.

Community Based Care Benefit – Depending on the option selected, the plan will pay either 50% or 100% of the maximum daily nursing home benefit amount for care received outside the nursing home, such as home health care, adult day care/foster care center, or an assisted living facility

Level Premiums – Premiums are based on your age-at-entry and the daily benefit you select.  You can never be singled out for a future increase because you become older or ill.

Restoration of Lifetime Benefits – If you have not received any benefits, Long Term Care services or any medical care or treatment for at least 5 consecutive years, then your Lifetime Maximum Benefit may be restored to the amount it was before the benefits were paid.  This amount will include any increases you received prior to restoring the Lifetime Maximum Benefit.

Inflation Protection  - The CNA policy is designed to allow you to keep up with inflation.  You’ll be given opportunities to increase your daily benefit amount so that you can protect yourself against rising costs.  An automatic inflation adjustment is also available

Temporary Bed Holding – Pays the benefit amount to hold a nursing home bed, up to 21 days per calendar year, if you are temporarily absent from the nursing home due to a hospital stay or other event.

Care Management – A registered nurse or social worker will develop a care plan that integrates your wishes as well as the wishes of your family and your family doctor.

Caregiver Training Benefit – Pays the actual expenses incurred for training an informal caregiver, up to three times the daily community-based benefit.

Emergency Alert – Independent living at home may require the ability to summon help quickly.  The plan pays the monthly rental or lease fees for an emergency alert system up to an amount equal to the daily community-based benefit.

Portability Feature – If your employment status changes, you may continue your coverage with the same benefits and rates on a direct-pay basis with CNA.

Waiver of Premium – Your premium will be waived while receiving benefits. 

Waiting Period – 90 calendar days before benefits begin after eligibility is determined (does not require paid services).

Convenient Payroll Deduction – You and your spouse’s premiums will be deducted directly from your paycheck.  Parents and in-laws, etc., will be directly billed by CNA.  

Contact CNA today at the toll free number 1-877-777-9072.