2014 Insurance & Wellness Benefits Committee October 30, 2014

Vision 2 Coverage TypeMonthly Cost VSP Employee Only$6.21$6.04 Employee & Spouse$3.72$3.63 Employee & Child(ren)$3.93$3.83 Family$10.14$9.87  VSP renewal change plan design - 3%  4-year rate lock  Increase material copayment from $25 to $30

Dental, Life, AD&D 3 Coverage TypeMonthly Cost Guardian Dental Employee Only$32.34 Employee & Spouse$30.80 Employee & Child(ren)$67.72 Family$  Guardian Dental, Life Insurance, AD&D  No Plan Changes  No Rate Changes

Flexible Spending Account (FSA) Medical & Dependent Care 4  2015 FSA  Guardian  No Administration Cost  Dependent Care  Maximum Contribution $5000  Health Care  Maximum Contribution $2500

HSA Contribution Limits 5  2014 Contribution Limits  Single $3,300  Family $$6,550  2015 Contribution Limits  Single $3,350  Family $6,650

BJC Providers 6  BJC Network (Blue Access Choice – BAC) Providers  Barnes-Jewish Hospital  Barnes-Jewish St. Peters Hospital  Barnes-Jewish West Hospital  Boone Hospital Center  Christian Hospital  Missouri Baptist Medical Center  Missouri Baptist Sullivan Hospital *  Northwest Healthcare  Progress West Hospital  St. Louis Children’s Hospital  The Rehabilitation Institute of St. Louis  Washington University Physicians * Missouri Baptist Sullivan Hospital also in the Non-BJC Network

Non- BJC Providers 7  Non BJC Network (Blue Preferred Select - BPS) Providers  Mercy Hospital - Washington  Mercy Hospital – St. Louis  Missouri Baptist Sullivan Hospital  St. Luke’s Hospital  St. Joseph Health Center  St. Joseph Hospital West  SSM St. Clare Health Center This is not a comprehensive list. Visit Anthem.com for complete provider directory.

What Didn’t Change? 8  $0 premium to employee for employee only coverage  BJC Network is still an option with no additional cost to the employee.  Per the survey results, if changes were to be made, change the overall plan design.

Medical Plans Benefit Changes Base Plan EmployeeCollege Deductible From $500 Single/$1,000 Family To $1,000 Single/$2,000 Family$2,500 Single/$5,000 Family Rx – Retail From $10/$35/$60 To $15/$40/$75N/A Rx – Mail Order From $20/$70/$120 To $30/$80/$150N/A 9

Medical Plans Benefit Changes HSA Plan EmployeeCollege Deductible From $2,500 Single/$5,000 Family To $2,600 Single/$5,200 Family$5,000 Single/$10,000 Family Rx – Retail From $15/$30/$50 To $15/$40/$75N/A Rx – Mail Order From $30/$60/$100 To $30/$80/$150N/A HSA Annual College Contribution From $2, ($ per month) To $2,000 ($ per month) 10

Medical Plans 2015 Medical Insurance Plan Costs Premium Cost to the College $1,072,592 HRA College Cost w/Administration Fee$147,000 HSA College Contributions$292,000 Non-BJC Network Discount College Contribution$20,400 Total$1,531,992 11

Medical Plans 2015 Medical Insurance College Costs Total College Cost$1,531,992 Total Number of Employees 207 Total Annual Cost$7, Projected Average Monthly Cost Per Employee$

Medical Plans 2015 Reporting Calculations Projected PSRS/PEERS - Base Plan$ Projected PSRS/PEERS – High Deductible Plan $ Projected PSRS/PEERS – High Deductible Plan – ECC H.S.A. Contribution$ Total PSRS/PEERS – High Deductible Plan$

Option 1 14 East Central College 2015 Rates Option 1 - Proposed Rates at the 10/23/14 Committee Meeting Anthem Premium and HRA Cost per Plan 2015 Base Plan BJC Network Health Savings Account BJC Network Base Plan Non BJC Network Health Savings Account Non BJC Network EE $ EE $ EE $ EE $ ES $ 1,339.41ES $ ES $ 1,272.65ES $ EC $ 1,211.58EC $ EC $ 1,152.50EC $ FAM $ 1,844.85FAM $ 1,160.01FAM $ 1,747.27FAM $ 1, Employee Premium Rate for Employee and Dependent Coverage 2015 Base Plan BJC Network Health Savings Account BJC Network College Contribution to H.S.A or Dependent Rate Base Plan Non BJC Network College Contribution to FSA or Dependent Rate * Health Savings Account Non BJC Network College Contribution to H.S.A or Dependent Rate** EE $ -EE $ - $ EE $ - $ 25.30EE $ - $ ES $ ES $ ES $ ES $ EC $ EC $ EC $ EC $ FAM $ 1,197.01FAM $ FAM $ 1, FAM $ *Non BJC Discount **H.S.A. or Dependent Rate contribution includes the NonBJC discount and the H.S.A. Contribution Employee Benefit Value to be recorded to PSRS/PEERS: $ per month

Option 2 15 East Central College 2015 Rates Option 2 - Suggested Revised rates based on the feedback from the Committee Please Note: These rates reflect an increase in the Dependent Premium Rates for the Base Plans and a decrease for the H.S.A. Plans Anthem Premium and HRA Cost per Plan 2015 Base Plan BJC Network Health Savings Account BJC Network Base Plan Non BJC Network Health Savings Account Non BJC Network EE $ EE $ EE $ EE $ ES $ 1, ES $ ES $ 1,284.66ES $ EC $ 1, EC $ EC $ 1,164.50EC $ FAM $ 1, FAM $ 1, FAM $ 1,759.28FAM $ 1, Employee Premium Rate for Employee and Dependent Coverage 2015 Base Plan BJC Network Health Savings Account BJC Network College Contribution to H.S.A or Dependent Rate Base Plan Non BJC Network College Contribution to FSA or Dependent Rate * Health Savings Account Non BJC Network College Contribution to H.S.A or Dependent Rate** EE $ -EE $ - $ EE $ - $ 24.66EE $ - $ ES $ ES $ $ -ES $ ES $ EC $ EC $ EC $ EC $ FAM $ 1,230.12FAM $ FAM $ 1, FAM $ *Non BJC Discount **H.S.A. or Dependent Rate contribution includes the NonBJC discount and the H.S.A. Contribution Employee Benefit Value to be recorded to PSRS/PEERS: $ per month

W-2 Reporting Guidelines 16  The Affordable Care Act requires employers to report the cost of coverage under an employer-sponsored group health plan. Reporting the cost of health care coverage on the Form W-2 does not mean that the coverage is taxable. This reporting is for informational purposes only and will provide employees useful and comparable consumer information on the cost of their health care coverage. Effective tax year  In general, the amount reported should include both the portion paid by the employer and the portion paid by the employee.

PSRS/PEERS Reporting Guidelines 17  Health Savings Accounts (HSAs)  According to the PSRS/PEERS General Counsel, a contribution to a Health Savings Account (HSA) on behalf of an employee is considered to meet the definition of an “employer-paid insurance premium on behalf of the member” and, therefore, is included in retirement compensation. This usually happens with an employer offers a Health Savings Account (HSA) plan in addition to the regular insurance plan. The HSA premium is lower, and many times the employer makes a contribution to the HSA that is the difference between the HSA premium and the regular insurance premium amounts.  Health Reimbursement Arrangement (HRAs)  HRA’s, where an employer makes payments into a fund from which employees can request reimbursement for the medical expenses are not considered a part of retirement compensation since the member does not keep any excess funds.

Questions 18