March 30, 2006 Today's sponsor: Financial Research Associates (Click on company name or banner to learn more.)
ERIC Letter Urges Pension Conferees to Enact FSA Rollover (PDF) 2 pages. Excerpt: "ERIC wrote to the Senate and House conferees currently negotiating the Pension Protection Act of 2005 (H.R. 2830 and S. 1783) on March 29, 2006 urging them to enact a provision contained only in the House version of the bill, which would allow employees with Flexible Spending Accounts (FSAs) to rollover $500 annually." (The ERISA Industry Committee) Overview: CMS Guidance on COBRA-Covered Individuals and Retiree Drug Subsidy (PDF) 2 pages. (Milliman) Protecting the HIPAA PHI of Minors Is Complicated and Critical Excerpt: "The entire minor medical records business gets tricky for several reasons. For one thing, parents are entitled to the lion's share of their minor children's general medical records without the minor's permission, which presents a logistical challenge." (Report on Patient Privacy via AISHealth.com) Mental Health Coverage Affordable, Study Finds Excerpt: "A new study involving federal employees has found that providing better mental health coverage does not lead to an explosion in insurance costs, a potentially important development in an old national debate over what insurance plans should cover. The study, published today in the New England Journal of Medicine, examined seven federal health plans in the years after 1999, ...." (The Washington Post; one-time registration required) Health Costs Trend Slows, Use of Care Management Grows Excerpt: "Employers saw some relief in health benefit costs, which rose an average of 6.1% in 2005, down from 7.5% in 2004, according to Mercer Human Resource Consulting's survey of 2,999 employers. Meanwhile, pres.cription drug inflation was 11.5% last year, down from 14.3% in 2004." (BenefitNews Connect) Opinion: Transparency in Health Care Prices Excerpt: "Consumers may soon be able to shop for health care the way they shop for groceries. But in order for patients to become savvy shoppers in the medical marketplace, they must be able to discover what things cost and to compare prices as well as value. Today, that's not easy." (National Center for Policy Analysis) A Few Tax Deduction Tips Can Save Employees Money and Allay Tax-Time Jitters Excerpt: "Employers can save workers money by alerting them to the tax deduction for big medical expenses. Form 1040a allows filers to deduct unrecouped, out-of-pocket medical expenses in excess of 7.5% of their adjusted gross income." (BenefitNews Connect) Health Plans Prepare for Avian Flu Outbreak in the U.S. Excerpt: "As fears rise about a possible pandemic of Avian Influenza A (H5N1), health insurers have begun preparations, developing briefing papers and online information sources to educate group and individual customers about the threat and working internally to adjust disaster planning for a possible outbreak." (MANAGED CARE WEEK via AISHealth.com) HSAs and High-Deductible Health Plans: A Primer (PDF) 4 pages. Excerpt: "This issue brief covers HSA basics, history, arguments raised for and against them, and a forecast of their impact on health insurance markets and consumer behavior." (Alliance for Health Reform) A Health Insurance Pool May Help Hawaii's Small Businesses Excerpt: "The bad news is that Hawaii's small businesses rank high among the employed uninsured under PHCA, which was enacted in 1974 and reflects Hawaii's plantation-era economy of greater employment by large companies. Of the state's five-year average of 48,428 uninsured private-sector employees from 2001 to 2005, 40.2 percent, or 19,515 workers were employed by firms with less than 25 employees, according to CPS data." (Hawaii Business) Wellpoint Sued in California Over Canceled Health Insurance Policies Excerpt: "Ten Californians filed separate lawsuits on Tuesday against WellPoint Inc., saying the insurer violated a state law banning 'post-claim underwriting' by canceling policies after claims were made." (Business Insurance) Prominent Health Policy Specia.list Blasts Bush HSA Plan on Capitol Hill Excerpt: "At a March 10 hearing on Capitol Hill in Washington, D.C., renowned Princeton University economics professor Uwe Reinhardt, Ph.D., criticized President Bush's proposals to expand health savings account (HSA)-based health coverage as 'Marie Antoinette-ism.'" (INSIDE CONSUMER-DIRECTED CARE via AISHealth.com) Welcome to BenefitsLink Advertiser Westside Orthodontics Excerpt: "We are a full and comprehensive dental practice which offers dental benefits to Union Employees, especially Local 3 electrical union and all electricians. West Side Orthodontics Offers full comprehensive Orthodontic Specialty Care at no extra Charge to Local 3 electrical union. We accept Local 3 electrical payments as full payment for Adult and Children Orthodontics aka Braces." (BenefitsLink.com) Links to Items on Executive Comp, Benefits in General Comments on a FASB Project to Reconsider Accounting for Pension Benefits and Other Benefits (PDF) 5 pages. Excerpt: "On behalf of the American Academy of Actuaries' Committee on Pension Accounting, [William J. Sohn commends] the [Financial Accounting Standards Board] on its decision to pursue a thorough reconsideration, consistent with its other broad commitments, of pension and other postemployment benefit (OPEB) accounting, which in its current form lacks transparency." (American Academy of Actuaries) Age Wave: Adapting to Older Workers Excerpt: "The ranks of workers 55 and older are swelling, yet few employers have adjusted to meet the needs of this strategically important segment of the workforce. Researcher and author Ken Dychtwald says companies might want to start thinking about flexible schedules, ergonomics and enhanced opportunities for older workers before they lose vital expertise." (Workforce Management; one-time registration required) Excerpt from and Link to Article on ERISA Section 510 Excerpt: "Kenni Merritt has written an article for the Oklahoma Bar Journal which is a primer on ERISA Section 510 claims: 'Interference with ERISA-Protected Rights: Making a Federal Case Out of a Wrongful Discharge Action.'" (Attorney B. Janell Grenier via BenefitsBlog.com) Company Boards Want Paper Trail on Executive Pay Excerpt: "Amid accusations that corporate directors have been rubber-stamping executive pay packages, board members are looking to create a paper trail that proves they're doing their homework." (AP via The New York Times; one-time registration required) Hewitt Federal Legislation Quick Guide Updated as of March 28, 2006 Excerpt: "Hewitt's 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, retirement plans, and human resources and employment law." (Hewitt Associates) New Section on Watsonwyatt.com Highlights Information for Global Businesses Excerpt: "Watson Wyatt Worldwide has launched a special section on its web site that focuses on the needs of multinational companies. This new web resource highlights information on the current business issues that are playing out on the world stage -- ranging from global competition to offshore outsourcing, to cross-border mergers and acquisitions. It is designed to help multinational companies stay up-to-date with the key HR, compensation and benefits issues affecting their businesses today." (Watson Wyatt Worldwide) Plan Sponsors Can Use Transparent Bidding Procedures to Save on Their Benefit Plans Excerpt: "All vendors had an opportunity to submit as many re-bids as they wished up to the close of the event. HighRoads compared the initial bid of each vendor with its final bid and compared the final bid of the winning vendor to the cost of the existing benefit plan. The survey results consolidated data from 46 RFPs for medical, dental, life and disability insurance. " (BenefitNews Connect) Merrill Hit with NASD Complaint Excerpt: "A Microsoft Corp. employee who allegedly lost $1 million because of advice to using 'unsuitable' leverage to buy shares of the computer company as part of an employee option program has filed an action with regulators." (PLANSPONSOR.com: one-time registration required) Newly Posted Events 2006 Boston Mid-Sized Pension Management Conference in Massachusetts on May 7, 2006 presented by University Conference Services COBRA Traps: Ten Common Problems and How to Address Them-- Lessons for Employers, Administrators, and Advisors Nationwide on April 20, 2006 presented by Employee Benefits Institute of America Inc. (EBIA) Health Savings Accounts: Design, Care, and Feeding-- What Employers, TPAs, and Advisors Need to Know and Do Nationwide on March 23, 2006 presented by Employee Benefits Institute of America Inc. (EBIA) Spring Seminar in Oregon on April 5, 2006 presented by Western Pension & Benefits Conference - Portland Chapter Update from Washington Co-sponsored with ABCNE in Massachusetts on April 26, 2006 presented by WEB Worldwide Employee Benefits Network MA Chapter Newly Posted Press Releases Two Step Software Knows How to Give Great Telephone Support: Move to Needham (Two-Step Software, Inc.) Two Step Founder Advises Legal Professionals to Include Client Corporate Records in Disaster Recovery Plans (Two-Step Software, Inc.) CFDD Announces Availability Of The APEX HealthCheck For Retirement Advisors (Metrics Partners) White Horse Advisors Hires New Team Member (White Horse Advisors, LLC) Newly Posted or Renewed Job Openings Consultant, Defined Contribution/Daily Valuation (DC/DV) for Schloss, a BenefitStreet company in NY Implementation Specialist ~ Financial Services for CitiStreet in NJ Defined Contribution Plan Administrator for Pension Planning Consultants, Inc. in NM Small Plan Actuarial Consultant for Pension Planning Consultants, Inc. in NM Health & Welfare Consultant for Towers Perrin in LOCATION OTHER THAN U.S., CA, CT, DC, GA, IL, MI, NJ, NY, OH, PA, TX Benefit Analyst for Crews MacQuarrie & Associates, Inc. in CA Pension Administrator for Stephen H. Rosen & Associates, Inc. in NJ Director of Benefits for Skilled Healthcare, LLC in CA Defined Contribution Plan Administrator for New York Life Investment Management LLC in MA Health Insurance Account Manager for Great-West Healthcare in WA Retirement Services Account Manager 2 for SunTrust Banks, Inc. in DC Handy Links:
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