2016 2017 Proposed Medical Plan Premiums and Benefit

2016 -2017 Proposed Medical Plan Premiums and Benefit Changes

2015 -2016 Medical Plan Statistics • Premiums were increased across all plans • Plan adjustments made to align benefits closer to TRS-Care and remain competitive with surrounding school districts • NISD Health and Wellness Center continues to be a recruiting and retention tool • NISD Health and Wellness Center continues to be self-sustaining

2015 -2016 Medical Plan Statistics • Currently, claim expenses for the Basic and High Deductible Plans are below the revenue generated by premiums • Claim expenses for the Core Plan are 44% above the revenue generated by premiums • 2 claimants with $150, 000 in claims for the current plan year • 4 claimants with $50, 000 in claims for the current plan year • Pharmacy costs account for 20. 2% of the total plan expenditures

2016 -2017 Recommendations • Increase the district contribution $50 per month from $275 to $325 • Funding for the additional district contribution will be covered through a budget request and reallocating funds from the monthly Alternate Plan contribution • The reallocation of funds will not impact the Alternate Plan benefits

2016 -2017 Recommendations • Continue to align benefits and premiums to meet or exceed those of TRS-Care and remain competitive • Zero premium increase for the Basic and High Deductible Plans • Increase in premiums for Core Plan ranging from $30 to $50 per month based on coverage selected • Increase the Core Plan deductible from $300 to $750

2016 -2017 Recommendations • Increase the out-of-pocket for employee only plans to $6, 250 and family coverage to $12, 500 • Reduce home health and skilled nursing benefits from 100% in-network to applicable deductible and co-insurance on all plans • Increase specialty pharmacy deductibles from $125 to $250 • Eliminate over-the-counter drugs provided through the NISD Wellness Center • Increase emergency room co-pay from $200 to $250

2016 -2017 Recommendations • Eliminate the Always Care Vision Plan • Eliminate the QCD Discount Dental Plan • Add a supplemental Motor Club/Road Side Assistance Program • Add a supplemental Combined Life Insurance Program

2016 -2017 Proposed Premiums

Surrounding District Contributions District Northwest ISD Plan Year 2016 -2017 Contribution $325 Active Care NO

How does NISD’s Plan Compare to TRS-Care ? • Benefits offered by the District are equal or better to those offered through TRS-Care • Premiums for the three plans remain comparable to TRS-Active Care • In June, TRS-Care will increase premiums and adjust benefits to offset the projected shortfall in the TRS-Care fund