An online, clickable version of this newsletter is available at: http://benefitslink.com/2007/2007_12_14_welfare.html =========================================================== BenefitsLink Health & Welfare Plans Newsletter (Plain Text Format) December 14, 2007 Here are the Web's best new links about compliance and cost aspects of plan operation, design and policy. =========================================================== TODAY'S SPONSOR: BeneCom Associates, LLC "Benefits statements are terrific education tools. Now, they're budget-friendly, too." (Advert.) http://benefitslink.com/modperl/a_d_top.cgi?a_d=2007_12_14_welfare (Click on the above address or copy and paste it into your web browser.) If you're looking for a low-cost approach to communicating the value of your benefits, BeneCom Associates, LLC can help. Our "preformatted," customized and online approaches to benefit statements are attractive, very reasonably priced and used by employers across the country who thought benefits statements were financially out of reach. To find out how little benefits statements can cost and how they can help your organization, call (860) 674-2626 or visit us at benecomassociates.com. ----------------------------------------------------------- (a) NEW GUIDANCE DOCUMENTS ----------------------------------------------------------- (None today.) ----------------------------------------------------------- (b) NEWS ----------------------------------------------------------- (None today.) ----------------------------------------------------------- (c) SUMMARIES OF GUIDANCE; FILED COMMENTS ---------------------------------------------------------- Health and Welfare Update: What Plan Sponsors Should Be Doing Now (PDF) http://www.morganlewis.com/pubs/WhatPlanSponsorsShouldBeDoing_11dec07.pdf 52 pages. (Morgan, Lewis & Bockius LLP) ----------------------------------------------------------- (d) TRENDS, SURVEYS, RESEARCH ---------------------------------------------------------- Does Disease Management Save Anybody Money? http://www.worldhealthcareblog.org/2007/12/09/does-disease-management-save-anybody-money/ Excerpt: "The evidence on disease management (DM) at least the 'scientific' evidence involving controlled trials and rigorous analysis, has been consistently discouraging. In the latest example, involving a meta-analysis of 317 separate studies, the authors concluded that while the evidence consistently indicated positive effects on care process quality, there was no conclusive support for either improving health outcomes or saving money, once the costs of DM, itself, was included." (World Health Care Blog) ---------------------------------------------------------- Investors Can Make Money on Medical Tourism; Here Are Top Hospitals http://www.forbes.com//2007/12/07/medical-tourism-emerging-pf-ii_ad_1207money_inl.html Excerpt: "Last year, more than 500,000 U.S. citizens traveled abroad for health care. . . . So how can investors cash in on this boom? By buying stock in countries' medical infrastructure, like hospitals, airports and medical record management companies." (Forbes.com) ---------------------------------------------------------- Trend in States Enacting Domestic Violence Leave Laws http://www.blankrome.com/index.cfm?contentID=37&itemID=1400 Excerpt: "A total of nine states have enacted legislation that grants leave to domestic violence victims. Some states, such as Colorado, provide protection to victims of domestic-related crimes, including se.xual assault and stalking, in addition to domestic violence. Other states, such as Hawaii, permit much longer periods of leave. The state laws are not uniform in defining eligibility criteria or the specific activities employees may seek leave to conduct." (Blank Rome LLP) ---------------------------------------------------------- Evidence for the Effect of Disease Management on Quality of Care, Disease Control, and Cost http://www.ajmc.com/Article.cfm?Menu=1&ID=6872 Excerpt: "Conclusions: Although disease management seems to improve quality of care, its effect on cost is uncertain. Most of the evidence to date addresses small-scale programs targeting high risk individuals, while only 3 studies evaluate large population-based interventions, implying that little is known about their effect. Payers and policy makers should remain skeptical about vendor claims and should demand supporting evidence based on transparent and scientifically sound methods." (The American Journal of Managed Care) ---------------------------------------------------------- Hospital Charges Increase by 90% From 1997 to 2005, Study Shows http://www.kaisernetwork.org/daily_reports/rep_index.cfm?DR_ID=49396 Excerpt: "Hospital bills increased by about 90% over the past decade, from $462 billion in 1997 to $873 billion in 2005, according to a study released Wednesday by the Agency for Healthcare Research and Quality . . . ." (Kaiser Family Foundation) ---------------------------------------------------------- Issue Tracking: 2007 Prescription Drug State Legislation http://www.ncsl.org/programs/health/drugbill07.htm Excerpt: "This tracking report is designed to be updated regularly; future editions will include additional bills filed during the session year. The report generally does not include legislation regulating only pharmacists and pharmacies, nor measures solely affecting existing Medicaid plans. Topic codes listed for individual bills identify major topics, but may not include all provisions. Topic codes may include measures that would restrict, as well as expand, use of a particular policy." (National Conference of State Legislatures) ---------------------------------------------------------- Anthem's Bare-Bones Health Plan: Stressing Cheap Premiums, Option Offers Limited But 'Catastrophic' Coverage http://www.indystar.com/apps/pbcs.dll/article?AID=/20071129/BUSINESS/711290426/-1/LOCAL17 Excerpt: "Anthem Blue Cross and Blue Shield . . . unveiled a bare-bones health insurance plan designed for employers struggling to offer benefits to their workers because of the rising cost of premiums." (IndyStar.com) ----------------------------------------------------------- (e) POLICY, OPINION, ADVOCACY ----------------------------------------------------------- Defining Government's Role in Health Care http://www.latimes.com/features/health/la-na-health14dec14,1,2562953.story Excerpt: "When the year began, the expectation was that the new Democratic-led Congress and President Bush would make some headway on the problem many voters placed at the top of the nation's domestic agenda -- healthcare for the uninsured and rising medical costs that are squeezing the middle class. Instead, lawmakers fell back into the old pattern of harsh partisan rhetoric and stalemate. Congress and the president could not even agree on expanding a popular health insurance program for children that was up for renewal." (Los Angeles Times) ---------------------------------------------------------- Hewitt Federal Legislation Quick Guide Updated December 12, 2007, for Health and Welfare Plans (PDF) http://www.hewittassociates.com/_MetaBasicCMAssetCache_/Assets/Legislative%20Updates/QuickGuides/hewittcom_hc_121207.pdf 12 pages. This Federal Legislation Quick Guide provides short updates on federal legislation that is currently under active consideration by Congress or has recently been enacted into law regarding health and welfare benefit plans. (Hewitt Associates) ---------------------------------------------------------- Opinion: New CDC Report Is Nail in the Coffin for Health Care Myths http://www.pnhp.org/news/2007/december/new_cdc_report_the_.php Excerpt: "[T]he CDC released a landmark, and in many ways devastating, report on health care in the U.S. The report contains a wealth of data that, while not surprising to some, should help silence the dwindling few who insist that America's health care system is doing just fine. As a public service, I thought it'd be helpful to list some of the myths that the report demolishes (with some help from other sources as needed)." (Health Beat Blog via Physicians for a National Health Program) ---------------------------------------------------------- NEJM Perspectives Examine Dutch Health Care System http://www.kaisernetwork.org/daily_reports/rep_index.cfm?DR_ID=49403 Excerpt: "Under the system, public health insurers were privatized or merged with private health insurers and all citizens are required to obtain insurance. The authors also examine how competition and increased negotiations among health care providers, insurers and consumers have changed the relationships among the groups . . . ." (Kaiser Family Foundation) ---------------------------------------------------------- Health Reform Do's and Don'ts: Veterans of Early 90s' Health Reform Debate Offer Advice to Today's Reformers http://www.allhealth.org/briefing_detail.asp?bi=118 Excerpt: "To offer guidance to today's reformers and reporters covering today's reform efforts, the Alliance for Health Reform and the Robert Wood Johnson Foundation sponsored a December 12 briefing for reporters featuring veterans of the 1990s debate. The Alliance will present a program on the same topic Jan. 18 on Capitol Hill, also cosponsored by the Robert Wood Johnson Foundation. What went wrong in 1994? What should be done differently the next time around? Panelists answered these questions with many practical suggestions." (Alliance for Health Reform) ========================================================== Links To Items on Executive Comp, Benefits In General ---------------------------------------------------------- International Headlines on Benefits, Compensation and HR Developments, Updated December 13, 2007 http://www.mercer.com/summary.jhtml/dynamic/idContent/1094310 Top stories in this issue: The EU: Employment ministers deadlocked on key issues; Employment contracts for cross-border workers; Sweden: Parliament approves budget bill; Tax relief for EEA pensions; UK: Pensions Bill; Immigration reform; US: 409A transitional relief. (Mercer LLC; free registration required) ---------------------------------------------------------- Claims and Remedies under ERISA Section 510: The Mysteries Continue http://lawprofessors.typepad.com/laborprof_blog/2007/12/claims-and-reme.html Excerpt: "Somewhat overshadowed by the Supreme Court's oral argument last week in LaRue v. DeWolff Boberg & Associates was the Court's denial of certiorari in another significant ERISA case, Eichorn v. AT&T Corp., 484 F.3d 644 (3d Cir. 2007) ('Eichorn II'). Eichorn II provides a vehicle to address dual ERISA mysteries: (1) Is an ERISA Section 510 claim possible when the plaintiffs are a class of employees affected by a corporation reorganization?; and (2) If so, is there a remedy for such a Section 510 claim under ERISA Section 502(a)(3) that qualifies as equitable relief?" (Workplace Prof Blog) ---------------------------------------------------------- Overview: PA Update: Tax Exemption and Reporting Requirements for Employer-Owned Life Insurance http://www.jpmorgan.com/cm/Satellite?c=JPM_Content_C&cid=1159329332497&pagename=jpmorgan%2Fam%2FJPM_Content_C%2FGeneric_Detail_Page_Template Excerpt: "PPA added sections to the IRC regulating tax exemption and reporting requirements for employer-owned life insurance. In this article, we'll give a bit of background and then focus on the new requirements added by PPA." (JPMorgan) ---------------------------------------------------------- Hewitt Federal Legislation Quick Guide for December 12, 2007, on Human Resources & Employment Law (PDF) http://www.hewittassociates.com/_MetaBasicCMAssetCache_/Assets/Legislative%20Updates/QuickGuides/hewittcom_hr_121207.pdf 12 pages. This Federal Legislation Quick Guide provides short updates on federal legislation that is currently under active consideration by Congress or has recently been enacted into law regarding human resources and employment law. (Hewitt Associates) ---------------------------------------------------------- Overview: IRS Guidance on Correcting Operational Failures of Nonqualified Deferred Compensation Plans http://hr.cch.com/news/pension/121407a.asp Excerpt: "The transition relief and guidance provide: (1) methods for correcting operational failures during the tax year of the service provider in which the failure occurs to avoid income inclusion and (2) transition relief limiting the amount includible in income for certain operational failures occurring in a service provider's tax year beginning before January 1, 2010 that involve only limited amounts." (Wolters Kluwer Financial Services) ---------------------------------------------------------- Overview: SEC Exemptions from Registration for Compensatory Employee Stock Options http://www.blankrome.com/index.cfm?contentID=37&itemID=1401 Excerpt: "The new exemptions give many private, non-reporting companies and reporting companies increased flexibility to grant employee compensatory options with fewer regulatory requirements and presumably lower costs, as long as the company meets the conditions of the applicable exemptions. The exemptions allow these companies to continue to grant compensatory stock options to a wide range of employees without triggering the registration requirements of Section 12(g) of the Exchange Act at the time of issuance of the stock options." (Blank Rome LLP) ---------------------------------------------------------- American Benefits Council Talking Points on House-Passed Provision on Offshore Nonqualified Deferred Compensation (PDF) http://www.americanbenefitscouncil.org/documents/nqdc_offshore_tkpts121007-web.pdf 2 pages. Excerpt: "In general, the provision would apply to compensation paid to a U.S. taxpayer by a foreign company unless substantially all of the company's income is subject to a 'comprehensive foreign income tax.'" (American Benefits Council) ========================================================== Newly Posted Events 409A Corrections Program: Compliance, Relief and Legislative Proposals - Webcast Nationwide on December 19, 2007 presented by ALI-ABA (American Law Institute-American Bar Association) http://benefitslink.com/events/detail.php?id=43221 Post yours! http://benefitslink.com/events/eventmaint.php ========================================================== Newly Posted Press Releases GAO Report Under-Represents the Success of Employer Defined Contribution System Says PSCA Profit Sharing/401(k) Council of America (PSCA) http://benefitslink.com/pr/detail.php?id=41461 Final Rule Amending Premium Regs Pension Benefit Guaranty Corporation (PBGC) http://benefitslink.com/pr/detail.php?id=41464 RAND Study Finds Evidence Disease Management Programs May Improve Quality of Care, But May Not Save Money RAND Corporation http://benefitslink.com/pr/detail.php?id=41460 Reinventing an Aging Workforce Conference Board, The http://benefitslink.com/pr/detail.php?id=41462 Health Coaching a Key Employee Benefit in Controlling Healthcare Costs Hummingbird Coaching Services http://benefitslink.com/pr/detail.php?id=41463 Post yours! http://benefitslink.com/pr/maint.php ========================================================== Newly Posted or Renewed Job Openings Senior DC Plan Consultant\Administrator for Simpkins & Associates (a regional administrative firm with Dallas opening) in TX http://benefitslink.com/modperl/job.cgi?n=H53044 Pension Administrator for Pension Investors Corp. of Orlando in FL http://benefitslink.com/modperl/job.cgi?n=H53650 Vice President, Investment Advisory Services for Sapers & Wallack, Inc in MA http://benefitslink.com/modperl/job.cgi?n=H53651 Defined Contribution Plan Administrator for Pension Planning Consultants, Inc. in NM http://benefitslink.com/modperl/job.cgi?n=H53652 Employee Benefits Client Service Agent for BB&T in SC http://benefitslink.com/modperl/job.cgi?n=H53653 Post yours! http://EmployeeBenefitsJobs.com/jobs/post_help_wanted.html View all jobs http://EmployeeBenefitsJobs.com/ RSS feed http://EmployeeBenefitsJobs.com/rss/jobs.rss =========================================================== Search previous newsletters: http://benefitslink.com/search =========================================================== Subscribe to the BenefitsLink Retirement Plans Newsletter, Too Sign-up form is at: http://benefitslink.com/newsletter/ =========================================================== This newsletter is sent to you each workday except federal holidays. 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