Enroll exclusively online at www.HealthyatTenet.com1
Enroll exclusively online at www.HealthyatTenet.com.
Enroll exclusively online at www.HealthyatTenet.com2
2011 Benefits—If You Remember Only Five Things
1. Almost everybody will spend less through the Health & Savings Plan (formerly HDHP) than under any other option. You’ll receive an additional contribution if you choose it in 2011.
2. The Health Savings Account—funded by Tenet and you—can be used now, next year, OR for retiree medical coverage.
3. Use Tenet facilities whenever available!
4. Nothing is more important than your health and wellness. Use the preventive benefits!
5. Tenet spends FOUR times the amount you do to provide YOUR benefits.
Annual Enrollment – November 8 - 23
Enroll exclusively online at www.HealthyatTenet.com3
Enroll exclusively online at www.HealthyatTenet.com4
Health and Welfare Benefits
• Pre-tax benefits– Medical
– Rx
– Health Savings Account
– Wellness
• Pre-tax benefits (other)– Dental
– Vision
– Spending Accounts
• After-tax benefits– Disability
– Basic & Supplemental Life
– Basic & Supplemental AD&D
– Long-Term Care
– Hyatt Legal Plan
Enroll exclusively online at www.HealthyatTenet.com5
NEW! United Healthcare Network!
• Expanded Network & Minimal Disruption – Almost nobody will have to change doctors
• “Transition of Care” may be available if your physician is out of network– Continue to receive services for specified medical and
behavioral conditions
– For a defined period of time
– With out-of-network health care professionals at network rates
• You must apply for Transition of Care at enrollment, or no later than January 30, 2011.
UHC Contact Information
Access UHC provider directories on www.HealthyatTenet.com or by calling UHC Member Services at 1-877-690-9994.
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2011 Medical Plans
• EPO– Exclusive Provider Organization– Highest premium (regardless of usage)
– No Deductible– Co-pays ($)– Unlimited Co-pays
• PPO – Preferred Provider Organization– Lower Premiums– Moderate deductible– Coinsurance (%)– Out of pocket max - $4,000 to $12,000
• Health & Savings Plan– High Deductible Health Plan– Lowest Premiums– Highest deductible– Coinsurance (%)– Health Savings Account eligible– Steerage to Tenet facilities– Out of pocket max - $5,200 to $10,400
All three plans:• Have the same physician network
• Cover the same procedures• Require the same pre-authorization• “More expensive doesn’t equate to
better care”
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2011 Employee Contributions
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EPO $800 PPO HSP
Employee Only $51.28 $18.77 $12.36
Employee + Child $109.48 $39.39 $26.39
Employee + Spouse $187.88 $69.80 $45.28
Employee + Children $166.36 $59.71 $40.10
Employee + Family $259.47 $92.83 $62.54
2011 Bi-Weekly Medical & Rx Contributions (Full time only)
Enroll exclusively online at www.HealthyatTenet.com8
Medical Plan
You pay larger monthly premiums
Care Provider
s
Plan pays most of
cost when you need
care
You pay a smaller amount when you need care
Health – How does it work?Traditional Health Plans (PPO, EPO):
Health & Savings Plan:
You
Emphasize insurance-style coverage
Balances savings and insurance-style coverage
You
Medical PlanYou pay smaller
monthly premiums
HSA
You save money in an HSA
Care Provider
s
Plan pays part of cost
when you need care
You can use HSA for your share of qualified medical expenses
$ save $$ save $
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Health & Savings Plan
HDHP and HSA = The Health & Savings Plan
What’s the same compared to other Tenet Plans?
• Comprehensive coverage for health care services
• Full coverage for preventive services
• Highest coverage when using a Tenet facility
• Financial protection from catastrophic illness or injury
• Tenet pays a significant share of the cost
What’s different?• How you pay for coverage
– Premium costs are different
– Deductible and co-pay/coinsurance amounts are different
• Health & Savings Plan includes a savings component– For 2011 - Tenet provides an
HIGHER annual contribution to your HSA of $950 employee only, $1,900 family
– Wellness Incentives are higher on the HSP
Why is this plan the best?
Enroll exclusively online at www.HealthyatTenet.com10
EXAMPLE: Family Coverage in Health & Savings Plan
PREVENTIVE CARE
Many services covered at 100% without co-
payment or using HSA
HEALTHSAVINGSACCOUNT
EmployeeContributions
Up to $6,150 per year
(Includes$1,900-$2,400
HSAfunded by
Tenet)
PLAN PAYS 100% OF COVERED CHARGES
after you reach your annual out-of-pocket maximum
ANNUAL DEDUCTIBLE$2,400 (Family)
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YOUR COINSURANCE10%-50% (In-Network)60% (Out-of-Network)
ANNUAL OUT-OF-POCKET MAXIMUM$10,400 (In-Network)
Your share of the out-of-pocket maximum = $8,000
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Medical: 2011 HSP w/HSAPay for expenses Now OR Save to Pay For Retiree Medical
• Health Savings Account (HSA) advantages– Tenet contributes to your account
– Earn 2010 Wellness incentive $250 employee & $250 spouse
– Carry over remaining money year to year
– Money in your HSA is yours to keep
– Earnings on your account grow tax-free*
– Eligible distributions are never taxed.
– You may contribute through pre-tax deductions*• Up to $3,050 for employee-only coverage
• Up to $6,150 for coverage that includes dependents
• Catch-up contributions if age 55 or older (maximum) – add $1,000 to above
*State taxes may or may not apply. See your tax advisor for more information on the state tax implications on HSAs.
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Medical: 2011 HSP w/HSA
• Health & Savings Plan (HSP) considerations– Certain preventive coverage paid entirely by plan
• Not subject to the deductible
– Certain preventive prescriptions not subject to the deductible
– For other services, must meet deductible before plan begins paying
• $1,200 individual, OR
• $2,400 family
– Non-preventive Rx is applied to the deductible
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This is your Retiree Medical Benefit!!!
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Potential Health Savings Account Growth
$1,000 $2,000 $3,000
After 1 year $1,020 $2,040 $3,085
After 5 years $5,562 $11,621 $17,741
After 10 years $13,236 $27,886 $42,624
After 20 years $39,093 $82,696 $126,471
Account growth
Hypothetical Annual Account Contribution
Hypothetical example assumes annual contribution amounts as stated above made on Jan. 1 each year until 1, 5, 10 and 20 year periods. Assumes tax-deferred you receive 2% investment growth on funds in the default account and that once the balance in this account reaches $2,500, excess funds will earn 7%. Assumes compounding in an HSA. Final balances prior to any eligible medical expenses and taxes may be due on distribution. Actual returns will be based on actual returns within the HSA.Source - Fidelity
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Deductible covered in 2011
Employee Only
Deductible HSA Seed *Wellness Opportunity
Remaining DeductibleSign-on Ongoing
2011 $1,200 $450 $500 $250 $0- $250
Family
Deductible HSA Seed *Wellness Opportunity
Remaining DeductibleSign-on Ongoing
2011 $2,400 $900 $1,000 $500 $0 - $500
*2010 Wellness incentive opportunity; funded to HSA in January 2011
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What is the 2011 employee financial model?
Plan Employee Only Employee and FamilyHSP with HSA $950 $1,900
$800 PPO $0 $0EPO $0 $0
Employer Contributions to the HSA* (A)
Average Employee Out of Pocket Expenses (C)Plan Employee Only Employee and Family
HSP with HSA $750 $1,200$800 PPO $900 $1,600
EPO $400 $1,200
Plan Employee Only Employee and FamilyHSP with HSA $321 $1,626
$800 PPO $488 $2,414EPO $1,333 $6,746
Employee Premiums (B)
Average Employee Net Cost (B) +(C) – (A)Plan Employee Only Employee and Family
HSP with HSA $121 $926$800 PPO $1,388 $4,014
EPO $1,733 $7,946* Doesn’t include added value of wellness incentive
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$7K savings
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2011 Wellness Incentives
Wellness Incentives – 2011 PlanParticipation Level – Wellness Credits
Health Plan
HSP Other (including opt-out)
Employee Spouse(1) Employee Spouse(1)
Bronze – 50 (a) $150 $150 $100 $50
Silver – 100 $250 $250 $200 $100
Gold – 150 (b) $350 $350 $250 $150
Platinum - 200 $450 $450 $300 $250
Incentive Type Contribution to HSA Taxable cash
(a) Health Assessment required to achieve bronze level and above(b) Annual physical required to earn gold level and above
(1) Only spouses that are covered under one of Tenet’s medical plans are eligible to receive the wellness incentive.
Note: 2011 incentives are earned in 2011 and paid/funded in 2012. The wellness program and incentives are reviewed and updated annually. All employees can join Wellness challenges, issue their own challenges to co-workers, track results and have fun living healthy! California union employees can participate in the HealthyatTenet Wellness Program but are not eligible for the Wellness Incentives.
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Plan Design Changes
• Work Here…Receive Care Here….For your Health, Family and Future– Services in a Tenet facility
• HSP / PPO - plan pays 90% (after deductible in HSP)• EPO - $250 / $500 co-pay• Improved benefits for CMA physicians (90% instead of 80%)
– New Non-Tenet 2011 Coverage….If you don’t receive care here but could have.• Non-Tenet In-Network Services paid at 50% (after deductible)• Non-Tenet Out-of-Network Services paid at 40% (after
deductible)– New for 2011 - If you can’t receive care here
• Emergency, if the service isn’t offered at a Tenet facility, or the facility is further than 45 miles from your home
• Same coverage as if you received care at a Tenet facility!
Enroll exclusively online at www.HealthyatTenet.com18
2011 Rx Plan Simplification
2011 Proposed Plan Design
Retail – 30 Day Supply
Generic $5
Formulary Brands 35% with $30 min/$100 max
Non-Formulary Brands 50% with $40 min/$150 max
Mail – 90 Day Supply
Generic $10
Formulary Brands 35% with $75 min/$200 max
Non-Formulary Brands 50% with $100 min/$300 max
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– Out-of-pocket costs are applied to HSP deductible
– Prescriptions are qualified HSA and HCSA (FSA) expenses
Enroll exclusively online at www.HealthyatTenet.com19
Health Care Reform Changes
• Dependent children under age 26 will be eligible for health care coverage, regardless of student status– Special enrollment rights apply to:
• A dependent child between the ages of 19 up until 26, who you were previously unable to cover in the Tenet medical plans due to student status or age limitations
– Extended enrollment period through December 8
– Enroll online through November 23rd. After November 23rd call My Benefits Customer Support Center to add eligible individuals during the extended enrollment period
– Birth certificate required
• Over-the-counter medications must be prescribed by a doctor to qualify as eligible expenses under the Health Savings Account or Health Care Spending Account
• Mental Health Parity Act - Mental health & substance abuse claims will be paid at the same reimbursement level as Tenet Hospitals
Enroll exclusively online at www.HealthyatTenet.com20
www.HealthyatTenet.com
Look for the Annual Enrollment Banner
Quick access to:
• What’s New
• Medical Plan Comparison
• Tools—Use the Medical Expense Estimator to see if the HSP saves you money (it does for employees in almost any situation).
• HSP Video—Explore the HSP ……AND EARN 5 WELLNESS CREDITS to start off 2011.
• HSA Mythbusters
• FAQs—Find quick answers to your benefits questions
Enrollment Steps
Enrollment Exclusively Online
Enroll exclusively online at www.HealthyatTenet.com21
Tips• Evaluate your needs for benefits
– Planning could save you thousands
• Utilize tools available via HealthyAtTenet
– Medical Plan Estimator; Health Savings Account Value Modeler
• Use Tenet Hospitals & outpatient centers to lower your out of pocket expenses
• Make healthy living a priority!
– If you or your covered dependent smoke, quit now!
– Preventive benefits: the most underused and potentially valuable set of benefits we offer
• Earn your Wellness Incentive
• Enroll by the deadline!
• Look for information during the year on SMART PLAN USE
Enroll exclusively online at www.HealthyatTenet.com22
Tenet Benefits Strategy
Simply the best medical coverage for a lifetime
Create a culture of employee health and wellness…. engage in understanding and manage your health and your family’s
Promote employee financial health and savings….for now and the future