November 28, 2005 Today's sponsor: WorldatWork (Click on company name or banner to learn more.)
Overview: IRS Clarifies HSA - Health FSA Grace Period Connection Excerpt: "The IRS provided welcome relief and clarification this week related to the intersection between Health Savings Accounts (HSAs) and Health Flexible Spending Arrangement (Health FSA) grace periods. This is good and timely news for employers taking a first-time dip in the pool of Consumer-Driven Health Care (CDHC) next year." (Infinisource, Inc.) Guidance Issued for FSA Grace Periods Excerpt: "Employers that are considering amending their flexible spending account designs to provide a grace period for plan participants have new guidance from the Treasury Department and the Internal Revenue Service.Notice 2005-86, issued [November 22], clarifies the interaction of the two-and-a-half month FSA grace period and eligibility to contribute to health savings accounts." (Business Insurance) Court Says Bathroom Fall Not an Accident Related to Work Excerpt: "The US 7th Circuit Court of Appeals agreed with a plan administrator in denying accident benefits to an employee who fell in the restroom." (PLANSPONSOR.com; one-time registration required) State of Maryland Says Small Business Must Only Pay for Generic Drugs Excerpt: "Small businesses that offer health insurance to their employees will only be required to cover generic drugs, rather than brand-name pres.criptions. The Maryland Health Care Commission voted Tuesday to relax the set of rules that govern small business health insurance in Maryland. The new rules, effective next July, will apply to companies with two to 50 employees." (Baltimore Business Journal via bizjournals.com; one-time registration required) Two Companies Combine Specialty Pharmacy and Disease Management Excerpt: "As the influence of disease management in specialty pharmacy grows, many companies are either adding a DM component or expanding their existing one. However, two companies have taken a different approach. Axium Healthcare Pharmacy, Inc., a specialty pharmacy provider, and Specialty Disease Management Services, Inc. (SDM), a DM company, reported on Sept. 26 that they have formed a joint venture called Ariston Health Management, LLC, based in Jacksonville, FL." (SPECIALTY PHARMACY NEWS via AISHealth.com) Consumer-Directed Care Could Complicate Hospital Revenue Cycles Excerpt: "Booming bad debt, limited front-end collections experience and a growing demand for price and quality data were among the concerns cited by hospital financial executives during a recent 'roundtable' discussion about consumer-directed health (CDH)." (INSIDE CONSUMER-DIRECTED CARE via AISHealth.com) Webcast: No More Excuses: Business and Health Information Technology -- September 15, 2005, Forum Excerpt: "This forum gathered senior government, health care, and business leaders to discuss economic benefit and privacy challenges associated with an interoperable electronic health records network. As nearly every other industry sector has discovered, it is time that the health care industry realize the savings, safety, simplicity, and security that information technology can provide." (U.S. Chamber of Commerce) Audio: Health Care Costs and the Future of U.S. Labor Excerpt: "Madeleine Brand discusses the national employment outlook with Andrew Stern, president of the Service Employees International Union, .... Stern warns that mass layoffs -- such as those announced earlier this week by GM, which plans to shed 30,000 workers and close North American production facilities -- will continue unless the United States moves away from a health care system that places most of the financial burden on employers." (Day to Day via National Public Radio) Health Plans Seek Evidence to Support Coverage of New Sleep Aids Excerpt: "As the pres.cription sleep aid category grows more crowded and Ambien patent expiration looms, pharmacy benefit managers (PBMs) are keeping new market entrants on high formulary tiers pending 'scientific evidence' of their benefit." (DRUG BENEFIT NEWS via AISHealth.com) Health System Challenges: A Very Candid Personal Report by SPBA President Fred Hunt, January 2006 Excerpt: "Background: A state legislature committee is doing a comprehensive study of the health care situation, costs, and especially to determine why there are so many uninsured. Since a leading member of the legislative committee is a personal friend of mine, it was suggested that I share 30 years of personal insights into the issue as well as the wealth of insight gleaned from the real-world expertise of SPBA members." (Society of Professional Benefit Administrators) Links to Items on Executive Comp, Benefits in General Current Retirement and Welfare Plan Issues (PDF) 93 pages. Web seminar PowerPoint slides (Ballard Spahr Andrews & Ingersoll, LLP) Perspective: New Deferred Compensation Guidance Requires Fresh Look at Executive Compensation Excerpt: "The new Code section 409A contains many taxpayer-friendly provisions, including flexible payment rules and expanded relief for stock appreciation rights. This Perspective presents an overview and looks at the impact of the proposed regulations." (Mercer Human Resource Consulting LLC and Mercer Investment Consulting, Inc.; one-time registration required) How to Protect Yourself from ERISA Lawsuits Excerpt: "[ERISA] sets standards for most private pension and health plans. It does not cover plans set up by governmental entities or churches. ERISA allows employees to sue the administrators of these plans who violate the employees' rights. These administrators are called fiduciaries and have a high level of duties and obligations toward the employees." (Atlanta Business Chronicle via bizjournals.com; one-time registration required) Aon Consulting's Forum -- A Roundup of Regulatory Developments as of 11/18/2005 This issue covers items of general interest, developments in the retirement field, health and welfare, and HR Policies and Practices. (Aon Consulting) Delphi Study Says Average Employee Cost Is $76 Per Hour Excerpt: "A study commissioned by Delphi Corp. shows that unionized workers for the auto supplier cost the company an average of $76 per hour.The number includes a $26.97-per-hour wage as well as benefits such as health care, insurance and paid vacations." (Detroit Free Press) Newly Posted Events Annual Meeting: Wellness Programs - Wellness at Work in District of Columbia on December 13, 2005 presented by Capital Chapter ISCEBS Current Health Care Trends-2006 and Beyond - Teleweb Nationwide on December 15, 2005 presented by International Foundation of Employee Benefit Plans Executive Compensation Audits & IRS Updates Nationwide on December 6, 2005 presented by ABA Joint Committee on Employee Benefits Staggered Remedial Amendment Determination Letter Process/EPCRS Update Nationwide on December 15, 2005 presented by ABA Joint Committee on Employee Benefits Newly Posted or Renewed Job Openings 401(k) Account Manager for BISYS Retirement Services in PA Manager, Compliance and Benefits Administration for Kansas City Based Defined Benefits Plan Administrator in MO Manager, Benefits Services for The Coca-Cola Company in GA Compliance Analyst for Transamerica-The Winning Organization in CA Relationship Manager for MassMutual in MN 401K Compliance Analyst for ADP in NJ ERISA Attorney - Director of Legal Affairs for US Airways in AZ Sr. Benefits Analyst - ERISA for US Airways in AZ Pension Customer Support Representative for AccuDraft in FL Health & Welfare Consultant for Towers Perrin in CA, CT, DC, IL, NJ, NY, PA, TX Plan Administrator for Third Party Administration Firm in FL Account Executive for MetLife in IN, KY, OH Relationship Manager for MassMutual Financial Group in MN Handy Links:
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