Winter 2019 Issue of Spotlight on Benefits Available Now

The year-end issue of Spotlight on Benefits newsletter is available now and includes notice of several pension and health changes taking effect on January 1, 2020.

In this issue:

HEALTH PLAN CHANGES

• Improved Vision Benefits. Beginning January 1, 2020, Health Plan Participants with vision coverage will enjoy improved vision benefits that include increased network allowances on frames and elective contact lenses, the elimination of the co-payment for standard progressive lenses, and a limit on the amount paid out of pocket for contact lens fitting and evaluation.
• Health Plan Eligibility Changes. Beginning with earnings periods beginning on or after January 1, 2020, the minimum earnings thresholds for Choice coverage and Premier Choice coverage will adjust to $35,875 and $116,000, respectively. In addition, the carry-over earnings threshold and the amount of banked earnings required for a year of carry-over coverage are adjusted to $140,000 and the maximum carry-over bank is adjusted to $480,000, effective October 1, 2019.
• Express Scripts Updates Its List of Covered Medications. The updated list of excluded medications along with preferred alternatives can be found at www.express-scripts.com/art/pdf/Preferred_Drug_List_Exclusions2020.pdf.
• All-Inclusive Out-of-Pocket Limits Increase, as Established Under the Affordable Care Act. The maximum amount participants pay out-of-pocket per calendar year for network benefits, including deductibles, co-insurance and co-payments (including prescription co-payments, $50 emergency room co-payments and $10 UCLA/MPTF Health Centers co-payments) increases to $8,150 individual/$16,300 family, effective January 1, 2020. This amount is adjusted yearly in accordance to the Affordable Care Act.
• New Premium Tier for Retiree Spouses Under Age 60. Currently, premiums for Certified Retiree and/or Retiree Carry-Over spousal coverage are based on two tiers: (1) Medicare-eligible spouses age 65 and older and (2) spouses under the age of 65. Beginning January 1, 2020, the Health Plan is adding a third tier of premiums for spouses under age 60.

PENSION PLANS CHANGES

• New Benefits Accrual Rates for New Basic Plan participants. For participants who commence participation in the Basic Plan on or after January 1, 2020 and become vested under the 5-year vesting rule, Basic Plan benefits will accrue at 93% of the accrual rate in effect prior to January 1, 2020, increasing 1.4% for each additional 12 CSMs earned until eventually reaching 100% of the old accrual rate after earning 180 CSMs. Benefits for participants who commenced participation before January 1, 2020 will remain unchanged.
• Clarification on Interest Paid on Pension Benefits Overpayment. The Board of Trustees has added language to the March 2015 Pension Plans Summary Plan Description, clarifying that the Basic and Supplemental Pension Plans will apply a 5% per annum interest rate to any underpayments owed to participants.

OTHER BENEFITS INFORMATION

• How Coordination of Benefits Works. This article explains the Health Plan’s coordination of benefits (COB) rules for participants who have other medical coverage in addition to Health Plan coverage. Topics include the types of plans with which the Health Plan coordinates, how to determine your primary plan, how benefits are coordinated with other entertainment industry plans, and how to submit claims for coordinating benefits.
• Coordination of Benefits Form Is Required When You are Covered by the Health Plan. For each year a participant is covered under the Health Plan, an updated COB form is required. Without it, their claims will be denied. This article answers the most frequently asked questions regarding the COB form.
• Women’s Health and Cancer Rights Notice. This required, annual notice provides information on the Health Plan’s benefits for women fighting breast cancer.
• Summary Annual Report. This required annual notice provides summarized financial information for the Supplemental Pension Plan and the Health Plan, including assets, expenses, and investment gains and losses as of December 31, 2018.