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The BenefitsLink Newsletter -
Welfare Plans Edition
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May 21, 2001
Today's sponsor: EmployeeBenefitsJobs.com (click)


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Liability Remains the Sticking Point on Patients' Bill of Rights
Excerpt: "Liability provisions, which allow patients to sue their health plan if delayed or denied care causes injury or death, have appeared in many recent patients' rights bills ... This year's leading patients' rights proposals include liability provisions, and President Bush supports a limited right-to-sue provision.... However, the liability provisions emerging on Capitol Hill vary significantly." (Watson Wyatt)

Norwood Urges Bush To Refocus On Patients Rights Talks
Excerpt: "... the president Tuesday endorsed a proposal led by Sen. Bill Frist, R-Tenn., that Norwood says doesn't go far enough ... 'We are not going to be able to support that bill,' Norwood said. Norwood is seeking tougher legislation which would make health maintenance organizations (HMOs) liable for damages when they improperly deny treatment. Most are currently immune from paying damages, and Frist's bill would allow only a limited right to sue." (Cox News Service)

Experts Urge Cautious Use of Genetic Testing
Excerpt: "Geneticists called for caution in the use of genetic tests, warning on Tuesday that mass screening for inherited diseases could cause more harm than good." (Medscape; free registration required)

Health Care Requires Upgrade to Computers
Excerpt: "A clock is ticking for the nation's health care industry to upgrade their computer systems, a complicated changeover that is being compared to Y2K -- both in cost and hype. Bills might be overpaid, underpaid or not paid at all, some health care officials say. Claims could be rejected. The wheels of health care could slow down. To some in the health care industry, this is Y2K-2." (The Detroit News)

7th Cir.: Not Unconstitutional to Provide Domestic Partner Health Coverage for Same Sex Only
Excerpt: "In July 1999, the Chicago Board of Education extended spousal health benefits to domestic partners--but only if the domestic partner was of the same sex as the employee, which excluded [female plaintiff Milagros] Irizarry's [male] domestic partner, an exclusion that she contends is unconstitutional." (FindLaw.com)

Early Intervention Cuts Disability Costs, Makes Workers Happier
Excerpt: "Employers who intervene soon after employees are first disabled can help them return to work faster and make them happier, while cutting disability-related costs, says Sun Life Financial, an international wealth management and insurance company, and the Integrated Benefits Institute (IBI), a nonprofit benefits research organization located in San Francisco." (insure.com)

Drug Benefit Management: Have We Pushed Member Co-payments Too Far?
Excerpt: "[P]lans may be taking the coinsurance concept a bit too far. Several pioneering plans ... have introduced a pharmacy benefit design with a 50% copayment on their third- and/or fourth-tier product lists. While this copayment level may not be such a big issue when the agent is solely enhancing lifestyle ... it could be a major issue when the product is medically necessary for a specific patient or when there are no available alternatives." (Medscape; free registration required)

Opinion: San Francisco's Health Plan is Limited and Cannot Cover Every Need
Excerpt: "SUPPORTERS of San Francisco's new health plan argue that providing coverage for sex change procedures, and the related psychotherapy and hormone therapy benefits, will be a natural extension of the city's laws that ban discrimination against transgender citizens. I believe this is fallacious." (S.F. Supervisor Tony Hall, in the San Jose Mercury News)

Opinion: Transsexuality Is Not a Choice; Covering It Is Morally Justified
Excerpt: "WHILE the decision of the San Francisco Board of Supervisors to offer limited 'sex change' benefits to municipal employees may seem strange, covering transgender health-care expenses through insurance is both medically sensible and morally justified." (The San Jose Mercury News)

Opinion: Transgender Operation Coverage a Special Case?
Excerpt: "We applaud the city's show of political and civil courage in deciding that its transgender workers -- who number few -- must be entitled to help for gender identity disorders that are medically diagnosed.... We'd be happier if the supervisors gave more serious discussion to whether, in approving the policy, they might have been shortchanging the medical needs of needier employees. Only 15 of the city's 37,000 employees have identified themselves as transgender people." (San Jose Mercury News)

Opinion: the Health Care Box
Excerpt: "SENS. BILL Frist, John Breaux and James Jeffords last week produced, and the Bush administration endorsed, a proposed compromise meant to end the years-long fight in Congress over regulating managed care. The proposal was promptly attacked by both sides in the overblown debate." (Washington Post)

Opinion: Patients' Rights Legislation a Reasonable Compromise
Excerpt: "Rep. Charlie Norwood (R-Ga.) has a lot to learn about the spirit of compromise, given his reaction to the Senate patients' rights legislation endorsed Tuesday by President Bush." (The Atlanta Journal)

(Following items also appear in Retirement Plans Edition)


Andersen's Human Capital Alert for May 16, 2001 (PDF)
Contents include: IRS audits this summer will target 403(b) and 457 plans; IRS TE/GE Advisory Committee announced; IRS and Treasury announce 2001 Business Plan; IRS launches on-line Employee Plan News; DOL issues 2000 Form 5500; Troubleshooter's Guide; $26 million settlement in First Union 401(k) cases; COBRA gross misconduct; Retirees win ADEA case; Portman-Cardin pension reform bill passes House; HCFA addresses issues of conversion coverage. (Andersen)

Milliman & Robertson and 22 Partner Firms Launch Milliman Global; Milliman USA is New Name in U.S.
Press release. Excerpt: "Milliman & Robertson and an international group of 22 actuarial and consulting firms announced here today the formation of Milliman Global, a worldwide platform for serving the insurance, employee benefits and healthcare industries. At the same time, M&R announced that it is renaming itself Milliman USA ..." (Business Wire)

ERISA Preempts State Laws That Automatically Revoke Ex-Spouse Beneficiary Designations
Excerpt: "The Supreme Court has ruled that ERISA preempts state laws that automatically revoke spousal beneficiary designations after a divorce. The ruling applies to all ERISA-covered plans, such as life insurance, retirement and most types of executive deferred compensation plans." (Watson Wyatt)

Stock Options Provide An Extended Bull Run
Excerpt: "The stock market fell last year. But top executives at many local companies continued collecting stock-option profits as if the bullish 1990s had never paused." (The [Philadelphia] Inquirer)

Investors Fighting Stock Options War
Excerpt: "Shareholders who wanted to tie executive stock options more closely to company performance came away empty-handed from Office Depot's annual meeting in April. The State of Connecticut Retirement Plans & Trust Funds was unsuccessful in getting enough support for a proposal that would have required future stock options to be issued with an exercise price substantially above the current market price." (Sun-Sentinel.com)




Newly Posted or Renewed Job Openings (Post Yours!)
Pension Consultant/Administrator for Gorrelick, Tievy & Associates, Inc. in MD (DC Suburbs)
in MD
Retirement Plan Administrator for FM International Services (NY), Ltd.
in NY
Retirement Plan Workflow Administrator for FM International Services (NY), Ltd.
in NY
Benefit Services Director for Administaff
in TX
Vice President, Relationship Manager for Fidelity Investments
in MA
Benefits Direct Cost Analyst for Administaff
in TX
Retirement Plan Specialist for Administaff
in TX
Pension Administrator...Great benefits package! for RAE
in NY
Employee Benefits Tax Manager for Deloitte & Touche, a Professional Services Firm
in PA



Newly Posted Conferences (Post Yours!)
54th NATIONAL PROFIT SHARING/401(k) CONFERENCE AND EXHIBITION in AZ on September 12, 2001
presented by Profit Sharing/401(k) Council of America (PSCA)



Newly Posted Press Releases
vSimplify, Inc. Releases New Version of Its Web-Based Benefits Administration Platform Featuring vEnroll Benefits Enrollment (vSimplify, Inc.)

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