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[Guidance Overview] Uncertainty Attends Benefit Claims Review on the Eve of MetLife Decision Excerpt: "As the date approaches on which the Supreme Court will hand down a decision as to the proper standard of review in conflict of interests cases, judges and litigants alike will be increasingly affected by a potential change in the governing legal principles." (Health Plan Law blog by Attorney Roy F. Harmon III) [Guidance Overview] Upon Replacing High-Deductible Health Plan with Traditional Coverage, What Happens to HSA Balance? Excerpt: "An HSA owner may use HSA assets to pay for or reimburse eligible medical expenses, even if he/she is no longer eligible to contribute to an HSA." (Wolters Kluwer Financial Services) [Guidance Overview] IRS Addresses Long-Term Care Policies Provided as an Investment and Benefit Under 401(k) Plan Excerpt: "IRS recently ruled that the payment of premiums on long-term care policies held by a 401(k) plan for the benefit of electing participants would run afoul of the qualification requirements. IRS reasoned that such payments would be considered taxable distributions and, therefore, would violate the restriction imposed by IRC § 401(k) which permits distribution only on account of severance from employment, death, disability, plan termination, age 59-1/2, hardship, and a qualified reservist distribution. IRS Private Letter Ruling 200806013 (November 15, 2007)." (Deloitte via BenefitsLink.com) Judge OKs GM-UAW Deal to Create Retiree Health Care Trust Excerpt: "A federal judge on Tuesday granted preliminary approval to a settlement between General Motors Corp. and the United Auto Workers that would set up a trust to fund the automaker's retiree health care." (AP via Yahoo! Finance) Retiree Couple Will Need $225K for Medical Expenses, According to Fidelity Excerpt: "The figure, calculated for a couple age 65, is up 4.7 percent from the $215,000 estimate for 2007, the Boston-based financial services company said." (The Washington Post; free registration required) Rx Copay Costs Increase for Workers Excerpt: "Many thought that the low costs of generic drugs would decrease the copays for formulary and non-formulary prescription drugs. Yet, new research shows formulary and non-formulary copays have increased by at least 20% on all plan types over the last five years." (Employee Benefit News; free registration required) Drug Prices Climbing, AARP Says Excerpt: "Drugmakers increased their prices last year by an average of 7.4 percent for brand-name medicines most commonly prescribed to the elderly, according to the advocacy group AARP. The increase was about 2.5 times overall inflation, continuing a long-standing trend." (Contra Costa Times) State of the States on Health Care Insurance Coverage (PDF) 62 pages. Excerpt: "State approaches to reform vary considerably, often depending on the political and fiscal environment; demographic characteristics, insurance market dynamics, and other economic variables also impact a state's capacity to act. Yet almost universally, states are considering health care reform in a very pragmatic way." (State Coverage Initiatives) The Value Chain Case for Health Care Reform - A Conference Summary (PDF) 4 pages. Excerpt: "On April 24-25, 2007, the Federal Reserve Bank of Chicago and the Detroit Regional Chamber sponsored a two-day forum examining a 'value chain' perspective of health care delivery in the U.S. The program discussed how a value chain evaluation might lead to improvement in health care quality, reduction in costs, and increased user accessibility." (The Federal Reserve Bank of Chicago) Living with GASB 45 - How to Manage Liabilities Associated with Retiree Medical Benefits Excerpt: "GASB 45 has led many state and local governments to analyze the size of their retiree medical liability. Now that they've identified the number, the obvious question is: What do we do about it? This article offers several approaches for government employers looking to reduce the size of their retiree medical liability." (Milliman) Baltimore Sun Examines Physicians' Reluctance To Use EHRs Excerpt: "Although electronic health records have been considered the 'Next Big Thing in health care' for the past two decades, 90% of U.S. physicians and more than two-thirds of U.S. hospitals continue to opt for paper records, the Baltimore Sun reports. David Merritt, director of the Center for Health Transformation, said, 'Health care is at least a generation behind the rest of society in terms of technology,' adding, 'Doctors and hospitals don't use the technology we take for granted everywhere else.'" (Kaiser Family Foundation) Paid Family-Leave Program Wins Approval in New Jersey Senate Excerpt: "New Jersey would become the third state in the nation to offer paid family leave, under a bill narrowly approved yesterday by the state Senate. Proponents of the bill, which offers workers up to six weeks' leave to care for sick family members and newborn or adopted children, have fought for the provision for more than a decade. During the last legislative session, a paid family-leave bill that would have offered up to 10 weeks of leave failed to clear the legislature." (The Philadelphia Inquirer) [Opinion] How High Loss Ratios Undermine Affordable Health Insurance, Updated March 2008 (PDF) 2 pages. Excerpt: "States across the country are unveiling various health reform proposals, and chief among those is the regulation of health insurance rates. California, Michigan, New Mexico and Pennsylvania have all introduced a controversial health insurance price-control scheme requiring health insurers to meet a targeted loss ratio of 70 percent or more, which means that at least 70 percent of collected premiums must be used to pay direct health expenditures." (The Council for Affordable Health Insurance) [Opinion] American Benefits Council Amicus Brief in MetLife v. Glenn - On Writ of Certiorari to the U.S. Supreme Court (PDF) 33 pages. In support of Petitioners, METROPOLITAN LIFE INSURANCE COMPANY AND LONG TERM DISABILITY PLAN FOR ASSOCIATES OF SEARS, ROEBUCK AND COMPANY (American Benefits Council) Links to Items on Executive Comp, Benefits in General [Guidance Overview] Form T-1 Rules Proposed by DOL Excerpt: "The Department of Labor's Employment Standards Administration (ESA) proposes to promulgate a rule that establishes a Form T-1 to be used by labor organizations to file trust annual financial reports with ESA's Office of Labor-Management Standard's (OLMS), provides appropriate instructions, and revises relevant sections of 29 CFR Part 403 relating to such reports. The proposed changes are made pursuant to section 208 of the Labor-Management Reporting and Disclosure Act (LMRDA), 29 U.S.C. 438." (International Foundation of Employee Benefit Plans) Executive Summaries of Benefits Quarterly, 1st Quarter, 2008, Articles on Retirement and Health Plans The titles are: Conceptualizing the Defined Benefit Pension Promise - Implications from a Survey of Expert Opinion; The Consequences of Favoring Short-Term Budget Goals Over Long-Term Retirement Policy; Tax-Sheltered Annuities Under Code Section 403(B) New Regulations and New Obligations; Living With GASB 45: How To Manage Liabilities Associated with Retiree Medical Benefits; More Preventive Care, and Fewer Emergency Room Visits and Prescription Drugs -- Health Care Utilization in a Consumer-Driven Health Plan. (International Society of Certified Employee Benefit Specialists) Retirement Benefits Rare Among Small Businesses in California Excerpt: "Retirement benefits and 401(k) plans are scarce among small business owners surveyed. Only 17% offer 401(k) plans and 12% offer retirement benefits." (PLANSPONSOR.com; free registration required) Newly Posted Events Bank On It! - New DOL Focus on Deferral Deposits Nationwide on March 25, 2008 presented by SunGard Relius Benefits Boot Camp 2008 in Georgia on April 18, 2008 presented by WEB (Worldwide Employee Benefit Network) Atlanta Chapter Employee Discrimination: What Employers Need To Know Now with Craig J. Davidson, CEBS Nationwide on March 18, 2008 presented by Davidson Marketing Group -- FutureOffice Network ERISA Litigation 2008 (Part 1) - Webcast Nationwide on March 7, 2008 presented by West LegalEdcenter Recent Notable ERISA Decisions Nationwide on March 11, 2008 presented by Paul, Hastings, Janofsky & Walker LLP Newly Posted Press Releases ERIC Urges House Members to Oppose Mental Health Parity Mandate ERIC (ERISA Industry Committee) House Mental Health 'Parity' Bill Treats Behavioral Conditions Differently Than Other Medical And Surgical Services American Benefits Council RiverSource Mutual Funds Added to CPI Retirement Platform CPI Qualified Plan Consultants, Inc. Diamond's Retirement Study Finds Companies Ill-Prepared to Meet Baby Boomers' Health and Wealth Needs Diamond Georgia Association for Women Lawyers Announces Study Results from It's About Time II: Examining Flexible Work Arrangements Georgia Association for Women Lawyers Newly Posted or Renewed Job Openings (Post a Job | View All Jobs | RSS Feed ) External Wholesaler for John Mulligan & Associates, Inc. in AL, AR, AZ, CA, KS, MN, MO, NM, OK, OR, TN, TX Vice President, Data Consulting for Fidelity Investments in NC Benefits Attorney for Ralcorp Holdings in MO Benefits Analyst for Appleton Papers in WI Client Representative for Strategic Employee Benefit Services in NY Consultant, Health and Benefits for Aon Consulting in NC Retirement Distribution Manager - Operations for Charles Schwab in AZ Health & Welfare Admin II for Standard Insurance Company in CA DC/DB Project Support Analyst for New York Life Retirement Plan Services in MA Handy Links:
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