donor3

 

himg_default_04.jpg

Health Insurance Premiums Increasing 20 Percent In 2011

SOCORRO, N.M. November 5, 2010 – As the Employee Benefit Trust Board, the New Mexico Tech Board of Regents approved the increases in health insurance premiums and changes to the benefits.

The pre-tax premium will be increasing 20 percent for all active employees and 10 percent for retirees on all three plans: Indemnity, PPO and the High Deductible plans. Employees will also see increases in deductibles, co-pays and other fees, as well as some policy changes. The changes will take effect January 1, 2011.

Vice President of Finance Lonnie Marquez said the changes will increase revenue by about $1.3 million. Rate hikes and policy changes will increase employee contributions by about $509,000 and the university’s contribution by about $764,000. The Employee Benefit Trust, which administers the university’s health insurance coverage, has been running at a deficit, Marquez said. The changes are expected to keep the health insurance plan solvent.

No changes are planned for vision or dental coverage. Also, the health care packages include several federally-mandated policy changes (see below).

The Human Resources Department will hold the annual employee benefits fair all day Wednesday, Nov. 17, in the third floor ballrooms of the Fidel Center. All employees are invited to hear presentations from the university’s health care provider HCH Administration, as well as other benefits providers. The open enrollment period – when employees can enroll or make changes to their plans – is from November 18 to the close of business for the calendar year on December 22.

Policy changes to each plan:

Indemnity Plan

  • Change from a Co-pay Plan to Deductible & Coinsurance:
    • $500 Individual Deductible
    • $1,500 Family Deductible
    • 20% Coinsurance after Deductible is Met
  • Maximum Out of Pocket (Does Not Include Deductible)
    • $4,000 Individual
    • $8,000 Family
  • No Cost for Routine & Preventive Services
  • Remove Limits for Chiropractic Services
  • Eliminate Smoking Cessation Treatment
  • Lifetime Maximum changes to $1,000,000 Annual Maximum

PPO Plan

  • Change Co-pays
    • $15 to $20 (Primary Care, Maternity, Home Health)
    • $25 to $40 (Specialist, Hospital, Dialysis)
  • Change Deductibles
    • Add PPO In Network with $250 / $750 (Individual/Family)
    • PPO Out of Network to $500 / $1,500 (Individual/Family)
  • Change Out of Pocket Maximum (Does not include deductible)
    • PPO in Network to $2,000 / $4,000 (Individual/Family)
    • PPO Out of Network to $3,000 / $6,000 (Individual/Family)
  • No Cost for Routine & Preventive Services (PPO In Network)
  • Mental Health Benefits -- same as any other covered service
  • Remove Limits for Chiropractic Services and change to Deductible / Co-insurance
  • Eliminate Smoking Cessation Treatment
  • Lifetime Maximum changes to $1,000,000 Annual Maximum

High Deductible Plan

  • Change Co-pays
    • $15 to $20 for Primary Care
    • $25 to $40 for Specialist
  • No Cost for Routine & Preventive Services (PPO In Network)
  • Mental Health Benefits – Same as any other Covered Service
  • Remove Limits for Chiropractic Services and change to Deductible / Coinsurance
  • Eliminate Smoking Cessation Treatment
  • Lifetime maximum changes to $1,000,000 Annual Maximum

Medical Plan Changes by Federal Mandate

  • Eliminate Lifetime Maximums
  • Restricted Annual Maximums on “Essential Benefits”
  • 100% Routine and Preventive Services as determined by HHS
  • Emergency Room Services – Same for In and Out of PPO Network Benefits
  • Cover Dependent Children up to Age 26
  • No Pre-Existing Condition Limitations for Dependent Children up to age 19

For more information, visit the Human Resources’ website for employee benefits at http://www.nmt.edu/employee-benefits.

– NMT –

By Thomas Guengerich/New Mexico Tech