THE PRINCIPIA OPEN ENROLLMENT 2018

We’re here to turn this:

Into this!

Meeting Agenda: Benefits overview: Voluntary Dental & Vision Health Insurance Life Insurance Income Security FLEX Spending Next Steps: Enrolling can be completed quickly using the Online Annual Enrollment process

Benefit Coverage Principia-sponsored employee benefits include: Voluntary Group Health Plan Voluntary Group Dental & Vision Mandatory Group Term Life Insurance Voluntary Term Life Insurance Mandatory Income Protection Plans Retirement Plan Vacation Health Leave Social Security Worker’s Comp Insurance Unemployment Insurance

Benefit contributions from The Principia Benefits are a significant part of your total compensation! Example: Employee earning $11.00 per hour x 2080 = $22,880 per year in 2018 Wages $22,880 Health Insurance $ 7,071 (Base Plan for employee only) Retirement $ 1,716 Life Insurance $ 124 Short-term Disability $ 158 Long-term Disability $ 50 Social Security $ 1,750 Vacation $ 1,760 Health Leave $ 440 Total Compensation $35,949 or $17.28 per hour For every $1.00 per hour in wages earned, Principia pays an additional $0.57 per hour in benefits

Benefit Information for 2018 Basic Life Insurance and Income Security Plan-- CIGNA Life Insurance – basic benefit is two times annual salary No rate change $2,000 coverage for non-employee spouse $2,000 for each child from 15 days to age 26 Group Short-term Disability Plan - after elimination period of 14 days plan pays 60% of gross salary up to $1,000 for up to 11 weeks. No rate change. Group Long-term Disability Plan - 60% of gross salary from 91 days to age 65 or Social Security normal retirement age (“SSNRA”). No rate change.

Income Security Plan 2018 Short-term Income Protection = CIGNA; after elimination period of 14 days plan pays 60% of gross salary up to $1,000 for up to 11 weeks Long-term Income Protection = CIGNA; provides 60% of salary from 91 days to social security normal retirement age (“SSNRA”)

Benefit Highlights Optional Term Life Insurance – CIGNA – No Rate Change Employees Optional Life coverage limited to 5 times your annual salary, up to $500,000 Rates based on age Policy can be converted to individual policy upon termination of employment Spouse Optional Life coverage limited to $250,000 with employee coverage Children Optional Life coverage $5,000 per child with employee coverage

Benefit Highlights (continued) Optional Life Insurance with CIGNA Employee – elect for the first time by completing the Evidence of Insurability (“EOI”) form. Employee – increase your amount of coverage by $10,000, not to exceed 5 x your earnings or $130,000 – without completing the EOI. Spouse – elect for the first time by completing the EOI. Spouse – increase this amount of coverage by $5,000, not to exceed 50% of your amount or $40,000 – without being required to complete the EOI.

FLEX Accounts Flex Spending: Renewal or participation is not automatic! If desired, this must be elected annually. For the 2018 plan year, the Dependent Care maximum contribution is $5,000 and the Health Care maximum contribution is $2,650.

FLEX Accounts 2017 medical elections by March 15, 2018 Pay for medical expenses and dependent care expenses with pre-tax dollars Annual election maximum: $2,650 for Medical Expenses $5,000 for Dependent Care Expenses Spend 2017 medical elections by March 15, 2018 Submit 2017 Dependent Care Claims by March 15, 2018 2017 Medical Expense Claims by May 15, 2018 FSAs can be used for expenses such as: Covered Prescription Co-pays Doctor and Emergency Room Co-pays Orthodontics Health plan Deductibles and Coinsurance Lasik Surgery Out-of-pocket Dentist or other provider fees Eyeglasses ■ Dependent Care ■ Latch Key ■ Adult Day Care

Benefit Highlights for 2018 (continued) Dental Insurance -- Mutual of Omaha Dental Plan rates unchanged Low and High PPO options Nationwide Dental Network No need to pick a primary dentist Vision Insurance -- EyeMed Vision Plan rates unchanged Insight Network

Dental Options

Vision Plan EyeMed Insight Network www.EyeMed.com In-Network Out-of-Network VISION EXAM $10 Copay $40 Reimbursement after $10 Copay Exam Frequency Once every 12 Months VISION MATERIALS LENSES Single Vision $0 Copay $30 reimbursement after $10 Copay BiFocal $50 reimbursement after $10 Copay TriFocal $70 reimbursement after $10 Copay Lenticular FRAMES Once every 24 Months $0 Copay; $150 Allowance; 20% discount off balance $105 Reimbursement CONTACTS Evaluation and Fitting Discounted fee of $40 Not Covered Conventional Lenses $0 Copay; $150 Allowance; 15% discount off balance $150 reimbursement after $10 Copay Disposable Lenses $0 Copay; $150 allowance Medically Necessary Lenses $0 copay $210 reimbursement after $10 Copay Dependent Age Limit To age 26 Please see EyeMed’s Benefit Summary for all details of the plan. Rates eff. 1/1/17: 2018 Rates - Employee: $7.16 - Emp + Spouse: $13.60 - Emp + Child(ren): $14.30 - Family: $21.04

2 Service Health Plan Options Available 2018 Plans Lumenos HSA Base Plan PPO with HRA Buy-up Plan Network Blue Access Choice In-Network Deductible $2,000 Individual $4,000 Family $4,000 Individual ($2,000 after HRA) $8,000 Family ($4,000 after HRA) In-Network Out-of-Pocket (OOP) Includes Ded & Rx Copays $3,500 Individual $6,850 Family $5,500 Individual ($3,500 after HRA) $11,000 Family ($7,000 HRA) Coinsurance Single Coverage with Dependent Coverage 80% after $2,000 Deductible 100% after $3,500 out of pocket 80% after $4,000 Deductible 100% after $6,850 out of pocket 80% after Deductible 100% after out of pocket is met Individual deductible and OOP only must be met with Dependent Coverage Max Lifetime Benefit Unlimited Preventive Care Services 100% - No Deductible Office Visit Copay Deductible & Coinsurance $30 Primary / $60 Specialist ER/Urgent Care Copay Pharmacy $10 / $35 / $60 /25% Copays After Medical Deductible Met $10 / $35 / $60 / 25% Copays Rx does not apply to Deductible Out-of-Pocket includes Deductible and Rx Copays Out-of-Pocket includes Deductible, OV & Rx Copays Health Reimbursement Account (HRA) Not available 50% of the Individual & Family Deductible.

2018 Service Medical Payroll Deductions Employee Only Employee + 1 Family Annual Out of Pocket Individual Annual EE Contribution EE + 1 Lumenos HSA Base Plan Monthly $ 50.38 $598.22 $950.86 $3,500 $6,850 Includes Rx Copays $ 604.51 $ 7,178.58 $11,410.28 PPO Buy-up Plan Includes HRA $ 168.92 $ 837.22 $1,246.56 (Includes HRA) $7,000 $ 2,027.06 $10,046.63 $14,958.72

Next Steps Personalized Annual Enrollment Packet -- distributed at the Information Meetings Health Plan Information You can update beneficiary information for Life, Voluntary Life at any time on a paper form

Enroll at: https://workforcenow.adp.com Principia Resources Enroll at: https://workforcenow.adp.com There are links to Benefits brochures and additional information on each page. Contact Debbie Thompson or June Brill with any questions.

ADP Portal OPENS: Friday, November 10 CLOSES: Sunday, November 26 at 10:59 pm

Medical link – www.Anthem.com Dental link – www.MutualofOmaha.com Carrier Resources Medical link – www.Anthem.com Dental link – www.MutualofOmaha.com Vision link – www.EyeMed.com www.myFlexonline.com Logon and Register to obtain: Benefit Information Claim Information and Status ID card Provider Location

Tax Forms to File For Your 2017 tax return: Form 1095 ACA reporting – maintain with your personal tax documents When will it be received? Sent to you by January 31, 2018

QUESTIONS?? Remember: don’t panic! Debbie, June, and David are here to help!