1. Open Enrollment and Medical Plan Overviews

2. Open Enrollment –Changes and enhancements for 2016 Medical Plans Overviews –Traditional Plan –High Deductible Health Plan –Features of Health Accounts Key Dates Important Reminders What We’ll Cover Today 2

3. Open Enrollment Overview 3

4. Cost and benefit enhancements effective April 1, 2016: –5% increase to premiums (excludes HDHP for full-time employees) –Out-of-Network mental health coverage Currently Out-of-Network providers we not covered –HDHP Out-of-pocket maximums for an individual cannot exceed $6,850, family plans will include this embedded limit (ACA provision) –Regence pharmacy: 90-day retail at participating pharmacies (Regence) Mail order services changing from Walgreens to OmedaRx Speciality drug services changing from Walgreens to BriovaRx 2016 What’s New and Changing 4

5. High Deductible Health Plan: –$0 premium for full-time employees –County HSA contribution: $600/$1,200 with April 7 paycheck $250/$500 wellness incentive Health Savings Account (HSA) Annual Limits: –Employee only: $3,350 (no change) –Family: $6,750 (increase) –Catch-up contribution for age 55+: $1,000 (no change) 2016 Summary 5

6. Healthcare Benefits Overview

7. Choosing a Medical Plan Choose a plan that fits your needs: –Your current providers are in-network –Location of hospitals and clinics –Total annual cost

8. Two networks to choose from: –Regence – ValueCare Plan –SelectHealth – SelectMed Plus Two types of plans –High Deductible Health Plan –Traditional PPO Plan Traditional and HDHP provide you with the same comprehensive coverage Choosing a Medical Plan

9. 1.What you pay in premiums 2.What you pay at the doctor and for prescription medication –All County plans have an out-of-pocket maximum to protect you: Employee only: $3,500 Family: $7,000 Evaluating Medical Plan Costs 9

10. You pay premium out of your paycheck You pay the full cost of your medical care and prescription drug expenses until you meet your deductible Traditional: How It Works 10 Your Deductible $500 employee only $1,000 Family coverage In-network preventive care is covered at 100% You Pay

11. After you meet the deductible you pay a portion of the cost: –Copay for doctor visits, labs, and prescriptions –Coinsurance for other services Traditional: How It Works 11 Your Deductible $500 employee only $1,000 Family coverage Your Coverage In-network preventive care is covered at 100% You Pay 20% Plan Pays 80% + Coinsurance You Pay

12. You’re protected from major expenses with an out-of-pocket maximum. This is the most you will pay for in-network medical and prescription drug expenses. Your deductible and coinsurance/copays are applied to your out-of-pocket maximum. Traditional: How It Works 12 Your Deductible $500 employee only $1,000 Family coverage Your Coverage Your Out-of-Pocket Maximum $3,500 for employee only $7,000 family coverage In-network preventive care is covered at 100% You Pay 20% Plan Pays 80% + Coinsurance Plan Pays 100% once you reach the out- of-pocket maximum You Pay

13. Medical Flex Spending Account Enroll in Medical FSA to pay for health care expenses with pretax money You can use your Medical FSA for: –Medical –Dental –Vision –Prescription drugs –Deductible, coinsurance, copays –Services not covered by medical coverage Lasik, acupuncture, some elective surgery

14. Medical Flex Spending Account Administered AxisPlus Elect between $130 and $2,500 per plan year Your account is front loaded Unused money up to $500 will roll over Visa debit card Keep your receipts

15. $0 premium for full-time and 20% premium for part-time You pay the full cost of your doctor visits and prescription drug expenses until you meet your deductible You can use your HSA funds to pay for your expenses HDHP: How It Works Your Deductible $2,000 Employee only $4,000 Family coverage In-network preventive care is covered at 100% You Pay TIP! Use your county HSA contribution to help you pay for your deductible.

16. After you meet the deductible you pay a portion of the cost: –Copay for doctor visits and prescription drugs –Coinsurance for other services HDHP: How It Works 16 Your Deductible $2,000 employee only $4,000 Family coverage Your Coverage In-network preventive care is covered at 100% You pay 10% Plan pays 90% + Coinsurance You Pay

17. You’re protected from major expenses with an out-of-pocket maximum. This is the most you will pay for in-network medical and prescription drug expenses. Your deductible and coinsurance/copays apply to your out-of- pocket maximum. HDHP: How It Works 17 Your Deductible $2,000 employee only $4,000 Family coverage Your Coverage Your Out-of-Pocket Maximum $3,500 for employee only $7,000 family coverage In-network preventive care is covered at 100% You Pay 10% Plan Pays 90% + Coinsurance Plan Pays 100% once you reach the out- of-pocket maximum You Pay

18. Copyright © 2013 HealthEquity, Inc. All rights reserved. HealthEquity and the HealthEquity logo are registered trademarks and service marks of HealthEquity, Inc. Confidential and proprietary. Reproduction without express written consent is prohibited. Salt Lake County Winning with an HSA Nothing in this communication is intended as legal, tax, financial, medical or marital advice. Always consult a professional when making life changing decisions. It is the members' responsibility to ensure eligibility requirements as well as if they are eligible for the plan and expenses submitted. No soliciting. No recording. No photography. No part of this presentation may be copied, recorded, or rebroadcast in any form.

19. Winning with an HSA 19

20. Health care costs in retirement The average couple retiring this year will incur $220,000* to cover medical expenses during retirement This is $325,000 gross withdrawal from traditional 401(k) plan to achieve net $220,000 medical expense in retirement** -or- Only $220,000 tax free withdrawal from HSA 20 * Fidelity Benefits Consulting https://www.fidelity.com/viewpoints/retirement/retirees-medical-expenses ** Assumes 33% tax rate

21. Why choose an HSA? Easy win in today’s complex health care system: –Save now: $0 premium for full-time employees HSA deposits aren’t taxed or are tax deductible Typically lowers income tax liability –Save for the future: HSA funds roll over from year to year Tax-free interest earned You keep the money even if you change jobs or insurance plans Comprehensive and easy investment options –Same doctors, same network, same pricing 21 * Source: Fidelity http://www.fidelity.com/inside-fidelity/employer-services/fidelity-analysis-reveals-extra-health-care

22. Two Parts: Health Plan + Savings Account HSA-qualified plan through Regence or Select Health insurance Preventative services covered at 100% Office Visits, Rx, Deductible, Copays, and Coinsurance ALL count towards Out of Pocket maximum HSA through HealthEquity Tax-free savings for medical expenses Works in conjunction with the HSA powered plan with Regence or Select Health HSAs are never taxed at a federal income tax level when used appropriately for qualified medical expenses. Also, most states recognize HSA funds as tax-free with very few exceptions. Please consult a tax advisor regarding your state's specific rules.

23. How an HSA works 23 You and/or your employer $ $ Qualified medical expenses: Exams, prescriptions, procedures, vision, dental and more For illustrative purposes only. Visit the IRS website for a complete list of qualified medical expenses.

24. Maximize your savings 24 Maximize your HSA contributions in 2016: Single-coverage: $3,350 Save up to $1005 in Taxes!* Family-coverage: $6,750 Save up to $2025 in Taxes!* Catch-up contribution, age 55+: $1,000 *Estimated savings are based on an assumed combined federal and state income tax bracket of 30%. Actual saving will depend on your taxable income and tax status. HealthEquity does not provide tax advice.

25. How to contribute to your HSA 25 Salt Lake County contributes into your HSA! (April 7 paycheck) Individual=$600, Family=$1200 Wellness activities ($250 employee only or $500 if you cover a spouse): Annual preventive exam - $125 Online Assessment (Healthy Lifestyles) - $100 Annual flu vaccination - $25 Make pre-tax contributions through payroll deductions Change your payroll contributions at any time Make post-tax contributions directly to HealthEquity online or by sending a check Fully fund your HSA on day one Make contributions anytime after your HSA is open Keep your receipts It is the member’s responsibility to ensure eligibility requirements as well as if they are eligible for the plan and expenses submitted. One should consult a tax advisor as individual factors and situations vary.

26. Who is eligible for an HSA? To contribute to an HSA, you need to: Be covered ONLY by an HSA- qualified health plan –Other health coverage will disqualify you: Traditional Plan (through a spouse) TriCare, CHAMPUS or other military insurance Medicare, including Part A No full purpose FSA (including through a spouse) Claimed as a dependent on someone else’s tax return 26 It is the member’s responsibility to ensure eligibility requirements as well as if they are eligible for the plan and expenses submitted. One should consult a tax advisor as individual factors and situations vary.

27. Learn and Compare 27 Learn more about the High Deductible Health Plan at: www.benefits.slco.orgwww.benefits.slco.org, click HDHP

28. Plan comparison tool 28 Let us do the math! Use the side-by-side comparison on the website.

29. Once You Are Enrolled 29 Convenient access –Debit card –Online –Free mobile app –By telephone Use your HealthEquity account to –Check your balance –Review transactions –Review claims –Submit new claims or documents –Send payments and reimbursements –Access tax documents Debit card is issued by Bancorp Bank pursuant to a license from Visa U.S.A. Inc. The Bancorp Bank; Member FDIC.

30. 30 HealthEquity mobile app On-the-go access for all account types Take a photo of documentation with phone and link to claims and payments Send payments and reimbursements from HSA Manage debit card transactions View claims status Available FREE for iOS and Android Convenient, powerful tools: Must activate account via HealthEquity website in order to utilize mobile app.

31. Account Mentors 31 Always available Our member services agents are taking calls 24 hours a day, every day of the year Call today Let us conduct a personal assessment of your plan options 866.346.5800 www.healthequity.com HealthEquity, Inc. does not provide legal, tax, financial or medical advice. Always consult a professional when making life changing decisions.

32. Limited Flex Spending Account Enroll in Limited FSA to pay for health care expenses with pretax money You can use your Limited FSA for: –Dental –Vision –Lasik

33. Limited Flex Spending Account Administered by AxisPlus Elect between $130 and $2,500 per plan year Your account is front loaded Unused money up to $500 will roll over Visa debit card Keep your receipts

34. Cost Comparisons 34

35. Best CaseHDHPTraditional Annual premium$0$1,188 You only receive preventive care (annual exam) and have no prescriptions during the year $0 County HSA contribution (Annual contribution $600 + wellness activity $250) $850N/A Total cost to you:+$850-$1,188 Best Case Scenario HDHP vs. Traditional PPO Plan You only coverage 35

36. Best CaseHDHPTraditional Annual premium$0$3,468 You and your family have ER visits, hospitalizations, several expensive medications, or surgery and you reach the out-of-pocket maximum $7,000 County HSA contribution (annual contribution $1,200+ wellness activity $500) $1,700N/A Total cost to you:-$5,300-$10,468 Worst Case Scenario HDHP vs. Traditional PPO Plan You + 3 dependents 36

37. Best CaseHDHPTraditional Annual premium$0$2,592 You break your ankle and it requires a cast and physical therapy, and your spouse takes a maintenance medication. $2,580$1,650 County HSA contribution (Annual contribution $1,200+ wellness activity $500) $1,700N/A Total cost to you:-$880-$4,242 Your Case Scenario HDHP vs. Traditional PPO Plan You + Spouse 37

38. Using the side-by-side comparison on the HDHP website www.benefits.slco.orgwww.benefits.slco.org Create Your Own Scenario 38

39. Must complete enrollment by February 26 –Self Service via PeopleSoft April 1: New benefit plan year begins Key Dates 39

40. Open Enrollment is your opportunity to: –Review your health plan options. –Add, change, or drop coverage for your dependents. –Enroll or re-enroll in Health Savings Account (for HDHP only) Note: If you are electing $0; enter $0 to avoid delay of County contribution Flexible Spending Accounts (medical/limited) Dependent Care Flexible Spending Accounts –Only time you can enroll or drop: U.S. Legal Plan Short-Term Disability –Review and/or update your Life Insurance Plans at www.pehp.org www.pehp.org Important Reminders 40

41. 1095-C IRS tax document Available by March 31, 2016 Opt-in to receive an electronic copy –PeopleSoft: Main Menu > Self Service > Benefits > 1095-C Consent

42. Questions? 42