Retiree Health Benefits Program

1
Retiree Health Benefits Program

• Medicare Part D
• and Your State Benefits
• Your Benefits Choices

2
We Will Look At

• The good news!
• Basic Medicare Part D
• Your choices under the Retiree Health Benefits
  Program
• Actions you need to take and when

3
The Good News

• State programs new prescription drug option
  applies the value of Medicare Part D
• Lower premiums and more flexibility

4
Basic Medicare Part D

• Passed Congress in 2003 and takes effect on Jan.
  1, 2006
• Provided by Medicare-approved Prescription Drug
  Plans (PDPs)
• Enrollment period is November 15, 2005 May 15,
  2006
• You enroll in a PDP, can switch each year

5
Basic Medicare Part D

• Coverage includes a formulary, or list of drugs
  covered by the plan
• Some drug categories are not covered, for example
• Drugs for symptomatic relief of cough and colds
• Drugs used for cosmetic purposes
• Drugs for weight loss or weight gain
• Barbiturates

6
Basic Medicare Part D
National Average Estimated Monthly Premium
32.20 Adjusted Each Year for Inflation
7
The State Program and You

• This Means.
• Lower premiums and more flexibility!

8
Retiree Health Benefits Program

• State Enhanced Medicare
• Part D Benefit
• Incorporates Part D value into state program
• Enhances Part D benefit

9
Retiree Health Benefits Program

• State Enhanced Medicare
• Part D Benefit
• Broad formulary includes generic, preferred brand
  and non-preferred brand drugs
• Low copayments for generic and preferred brand
  drugs
• Protection through thedonut hole (2,250 -
  5,100) in Basic Part D

10
Retiree Health Benefits Program

• State Enhanced Medicare Part D Benefit
• Administered by Medco Health Solutions, Inc.
• Medco national prescription drug network
• No deductible for generic drugs
• Drug tiers based on type and cost

11
Retiree Health Benefits Program

• State Enhanced Medicare
• Part D Benefit

12
Retiree Health Benefits Program

• State Plans with Enhanced Medicare Part D Benefit
  Starting January 1
• Advantage 65
• Advantage 65 Dental/Vision
• Option I
• Option II
• Option II Dental/Vision
• Same medical coverage as today
• New enhanced Part D coverage

13
Retiree Health Benefits Program

• New Medical-Only Plans Starting January 1
• Advantage 65 Medical-Only
• Advantage 65 Medical-Only Plus Dental/Vision
• Include same medical (and dental/vision) benefits
  as today
• No prescription drug coverage

14
Retiree Health Benefits Program
Total Premiums
No new enrollees

15
Retiree Health Benefits Program

• State Enhanced Medicare Part D Benefit Vs. Other
  Drug Plan Choices
• Gather information
• Compare costs
• Check formularies
• Convenience
• Peace of Mind
• Choose the plan that is best for you!

16
Retiree Health Benefits Program

• What Do I Need to Do?
• Review the notification materials carefully, then
  choose one
• Do nothing and remain in your current plan with
  the Enhanced Part D Drug Benefit
• Select a state medical-only plan and re-enroll in
  a separate Part D plan (no return to state drug
  coverage in the future)
• Cancel state program coverage
• If you cancel state program coverage, you cannot
  return

17
Retiree Health Benefits Program

• What Do I Need to Do?
• Use the special enrollment form in your
  notification package to make a choice
• Enroll in a Medical-Only Plan
• Cancel state program coverage
• Switch from Option I, Option II to Advantage 65
  plans
• Take other permitted enrollment actions

18
Retiree Health Benefits Program

• What Do I Need to Do?
• Return form by November 30, 2005
• Provide Medicare Claim Number (if appropriate
  see form)
• If your form is not received by November 30,
  you default to your current plan with state
  Enhanced Medicare Part D

19
Retiree Health Benefits Program

• Getting Assistance
• State Medicare-coordinating prescription drug
  coverage
• Medco
• 1-800-572-4098
• Medco Medicare Part D Plan quick link
• www.dhrm.virginia.gov/hbenefits/retirees/medicarer
  etiree.html

20
Retiree Health Benefits Program

• Getting Assistance
• Medicare Part D plans (not associated with the
  state program)
• Medicare
• 1-800-Medicare
• www.medicare.gov

21
Medicare Part D and Your Benefits

Thanks for listening! Nows the time to ask
questions
Make the right choice for you!