Health Insurance Coverage

2015

1

2007 Premium Increase -  16% 

2008 Premium Increase - 0.0%

2009 Premium Increase - 0.0%

2010 Premium Increase - 2.0%

2011 Premium Increase - 1.9%

2012 Premium Increase - 9.9%

2013 Premium Increase - 8.3%

2014 Premium Increase - 11.2%

2015 Premium Increase - 18.0%

Health Insurance

2

1. Lower Out of Pocket Expenses for Health Care.

2. Manage Total Premium Expenses(Insurance Payroll Deductions) for All Team Members.

3. Fast Track our Transition to High Deductible Coverage.

4. Provide HSA/HRA Benefits to Smooth the Transition.

5. Stress the importance of team members’ deposits Into their Health Savings Account (HSA).

2015 Plan Objectives for Team Members

3

High Deductible Health Plan Facts

    S Network

Co-Insurance    100% 

Single Deductible  $2,500 – $500 (HRA) -

$2,000

Single Max Out of Pocket

 $2,500 – $500 (HRA) -

$2,000

Family Deductible  $5,000 – $1,000 (HRA) -

$4,000

Family Max Out of Pocket

 $5,000 – $1,000 (HRA) -

$4,000

Average Doctor Visit   $80 ~ $120

Average Prescription Drug

  $40 ~ $150 or more4

High Deduct. vs. Traditional Co-Pay

 Component   High Deductible Traditional Co-PayCo-Insurance   100%   80%  /  20%  

Single Deductible   $2,500 – $500 (HRA) - $2,000 $1,500

Single Max Out of Pocket   $2,500 – $500 (HRA) - $2,000 $2,500

Family Deductible   $5,000 – $1000 (HRA) - $4,000 $3,000 ($1500 x 2)

Family Max Out of Pocket   $5,000 – $1000 (HRA) - $4,000 $5,000 ($2500 X 2)

Doctor Visit  Full Cost Applies to 

Deductible*$35                            

Does Not Apply to Deduct.

Prescription Drugs  Full Cost Applies to 

Deductible  *$10~$35~$60          

Does not apply to Deduct.

Outpatient Surgery  Full Cost Applies to 

Deductible                             Deductible / Co-Ins 

5* New Regulations- Cost Does Apply to Maximum Out of Pocket

HSA Program only legally allowed alongside High Deductible Plans

• Doctor Visits and Prescription expenses are counted against the personal and family deductibles.

– These expenses do not count towards your deductible in the Traditional Co-Pay Plans.

Preventive Drug Prescription is Provided!

$5 Generic Drugs

$25 Preferred

$50 Non-Preferred

6

High Savings Account(HSA)

• Be Committed to Saving Money in Advance for Higher Up Front Out of Pocket Expenses.

High Deductible Health Plan Facts

7

HSA Program only legally allowed alongside High Deductible Plans

Ajax Turner Company - Health Savings Account (HSA) Program

Details

8

Single Family

• ATCo’s Match Limit $400 $800

• To achieve ATCo’s Maximum Match $15 $30

• ATCo’s March 13th “Seeding” Deposit $250 $500

• September, “Second Deposit” $150 $300

Maximum allowed by Law $3,350 $6,650

TAX-FREE PAYROLL DEDUCTION!

• Team Member HSA Contributions deducted from PRE-TAXED earnings. – In 2014 $178,982 in Tax Free Contributions!!– ATCo Contributed $79,008 to Employee’s HSA.

• Team Members may make lump sum or extraordinary contributions into their accounts (via payroll deductions).

• HSA Account opened for participating team members at Pinnacle Bank. No fees to team members.

• Team members issued as many debit cards for their family as needed.

• Account and all the funds deposited are owned by team member from first dollar (Including ATCO Deposits).

• Unused funds rollover from year to year. No “use it or lose it” as in FSA program.

• Team members provided monthly statements by Pinnacle.

(HSA) Other Details

9

• Increase per Payroll Tax Free Savings into Your Account Now!– Will Reduce “Sticker Shock” of HD Plan

• Take Advantage of ATCO HSA Funds• Always Your Money- Rolls Over from Year to

Year.

*Suggested Payroll Deposits

Singles Families$50 $100

HSA Plan Encouragement

10

HRA Program only Available in HD Plan

• ATCO Provides Team Members a Health Reimbursement Arrangement (HRA).

• BCBS will reimburse the final $500 (Single) and $1,000 (Family) of maximum out of pocket expenses.

• Claims will be handled automatically thru BCBS. No claim to file.

Ajax Turner Company ~ HRAHealth Reimbursement Arrangement

11

Ajax Turner Company and Team Members Insurance Premium

SplitsNetwork 2013 2014 2015 2016

S NetworkTraditional

60% ATCo / 40% Team Member

55% ATCo / 45% Team

Member

50% ATCo / 50% Team

Member ?S Network High Ded.

60% ATCo / 40% Team Member

60% ATCo / 40% Team Member

60% ATCo / 40% Team Member

60% ATCo / 40% Team Member

12

New Payroll Costs

Network Plans 2013 2014 2015(P Network) HDHP- Closed to New Enrollments (8) Single Coverage $48.40 $54.48 $68.20(9) Family Coverage $125.87 $141.67 $163.75

(S Network) Traditional (22) Single Coverage  $56.47 $71.51 $94.86(29) Family Coverage $157.54 $199.48 $244.59

(S Network) HDHP(38) Single Coverage  $45.70 $51.44 $62.78(71) Family Coverage $109.87 $123.67 $150.73

13

Network Plans 2015As Compared to (S) High Deductible

(S Network) Traditional(22) Single Coverage $2,466.36 + $834.08

(29) Family Coverage $6,359.34 + $2,440.36

(S Network) High Ded.(38) Single Coverage $1,632.28

(71) Family Coverage $3,918.98

2015 Annualized Team Member Premium

Expenses

14

High Deductible PlanMaximum Out of Pocket at

RiskSingles Families

High Deductible $2,500 $5,000

Less TM HSA* $1,300 $2,600

Less ATCO HSA $400 $800

Less ATCO HRA $500 $1,000

Total at Risk $300 $60015

Traditional S Network PlanMaximum Out of Pocket at

RiskSingles Families

Maximum Out of Pocket

$2,500 $5,000

Less TM HSA N/A N/A

Less ATCO HSA N/A N/A

Less ATCO HRA N/A N/A

Total at Risk $2,500 $5,00016

Maximum Out of Pocket

Annualized Amounts Single Family Single Family

Annualized Monthly Premiums $2,466 $6,359 $1,632 $3,919

Maximum Insurance Out of Pocket $2,500 $5,000 $2,500 $5,000

HSA(Health Savings)Less ATCo HSA $0 $0 $400 $800

HRA(Health Reimbursement)Less ATCo HRA $0 $0 $500 $1,000

Total Out of Pocket $4,966 $11,359 $3,232 $7,11917

Traditional (S) High Deductible(S)

• 129 Out of Network Visits in 2014–Control Expense by Using in

Network Facilities.• 20% of Prescriptions were Name

Brand Prescriptions. – That 20% accounted for 80% of

Prescription Costs.• 89 Emergency Visits

– Majority were for Non-Emergency

– Consider Urgent Care/Clinics

Controlling Expenses

18

To Control Escalating Premium Expenses, ATCo Coverage

Components may change in the Coming Years!

Controlling Expenses

19

For Network Listings of Doctors, Hospitals as well as other benefit information refer to the benefits

section on www.ajaxteammember.com

Never hesitate to contact the

insurance companies directly.20

• FSA's provide a balanced approach for paying for estimated medical expenses with pre-taxed income.

• Estimate your annual out of pocket medical expenses Dr. Co-Pays, Prescriptions, insurance deductibles, etc...

• Total amount divided by 26 pay periods. This amount deducted from gross, pre-tax income each payroll.

• Once expenses incurred, receipts are returned to ATCo. Team members are then reimbursed.

• 2015- Maximum allowed is $2,550, and now can rollover $500 unused into next plan year.

Flexible Spending Account Facts (FSA)

21

For all Blue Cross plans,

The Deductible is

JANUARY through DECEMBER.

The ATCO Plan year is

MARCH through FEBRUARY.

22

Deductible vs. Plan Year

Delta Dental Premiums

                               2010      2011      2012      2013      2014Single Coverage       $4.58     $4.78     $4.78     $4.78     $4.78 Family Coverage      $12.59   $13.15   $13.15   $13.15  $13.15

Premiums per Payroll

23

NO INCREASE

Coverage 2010 2011 2012 2013 2014 2015

Single Coverage

$4.58 $4.78 $4.78 $4.78 $4.78 $4.78

Family Coverage

$12.59 $13.15 $13.15 $13.15 $13.15 $13.15

Vision Premiums per Payroll

Guardian / Davis Premiums

24

Coverage 2010 2011 2012 2013 2014 2015

Single Coverage

$3.48 $3.48 $3.48 $3.62 $3.62 $3.73

Family Coverage

$7.71 $7.71 $7.71 $8.02 $8.02 $8.26

• Accident Policy– Includes Accidental Death Benefit.– Includes Wellness Benefit of $60 dollars.– Biweekly premium - Single $12.24 - Family

$23.22.

• Cancer Policy– Includes Wellness Benefit of $70 or $75

dollars.– Biweekly premium - Single $18.18 - Family

$32.28.25

Check for Low Cost Generic Prescriptions, at these Retailers!

Flexible Spending Account Facts (FSA)

26

This is the time of year thatteam members can make

any change they wish.

Changes throughout the year can ONLY be done within 30 Days of

aLife Event.

27

Don’t Be Scared – Call ‘Em

Insurance Co. Group # Phone Number

Blue Cross 96214 800-565-9140

Delta Dental 7473 800-223-3104

Davis Vision309023 877-393-7363(Guardian Davis Vision)

28

New Insurance EnrollmentsBecome effective on

3/01/2015

New Plan Year InsuranceRates become effective on the

3/13/2015 Payroll

New Plan Year HSA / FSADeductions become effective on the

3/13/2015 Payroll29

BENEFITS and Safety FAIR

Wednesday 2/18/15Insurance Enrollments Uniform OrdersSam’s Club Wellness ChecksCostco Tennessee Credit

Union401k Retirement Advice Life

Insurance AdviceDon’t miss out on:

HSA Enrollments with Pinnacle BankService and Sales Rep’s Safety Bonus

30

The Company has arranged for 1-on-1 Benefit Counselors to

handle enrollments.Benefit Counselors will be

here:Friday 2/13/15 10am – 4pmWednesday 2/18/15 9am –

5pm31