HomeMy WebLinkAboutTwelfth Amendment to Employee Health Benefit Plan •z
Health Plan Amendment XII
TWELFTH AMENDMENT
TO THE CITY OF CARMEL
EMPLOYEE HEALTH BENEFIT PLAN
WHEREAS, the City of Carmel ("Plan Sponsor"), by action of its governing body, adopted the City
of Carmel Employee Health Benefit Plan (the "Plan") effective February 1, 1992, and
subsequently modified the Plan by a full restatement effective January 1, 2004, and eleven
amendments to the restated Plan; and
WHEREAS, Plan Sponsor wishes to amend the restated Plan; and
WHEREAS, authority to amend the Plan is granted therein.
NOW, THEREFORE, effective January 1, 2013, the Plan is amended as follows.
I. The section entitled SCHEDULE OF MEDICAL BENEFITS (PLAN A) is added to read as
follows:
SCHEDULE OF MEDICAL BENEFITS (PLAN A)
(see Description of Medical Benefits for detailed explanation of the following provisions)
LIFETIME MAXIMUM BENEFITS:
Inpatient/Outpatient Hospice Care(combined) 365 days/365 visits
Treatment of Temporomandibular Joint Disorder $1,000
Laser Eye Surgery' $250 per eye
BENEFIT PERIOD: Calendar Year(unless otherwise stated)
CALENDAR YEAR DEDUCTIBLES:
Preferred Non-Preferred
Individual Deductible $2,000 $4,000
Family Deductible $4,000 $8,000
The following items do not apply toward satisfaction of the calendar year deductible:
• charges in excess of reasonable and customary, except as otherwise stated herein;
• penalties incurred for failing to obtain precertification/utilization review; and
• expenses for services and supplies not eligible under this Plan.
When the participant utilizes BOTH preferred and non-preferred providers during the calendar
year, the maximum year deductible will not exceed the non-preferred provider deductible.
COINSURANCE PERCENTAGES:
Preferred Non-Preferred
Individual Coinsurance 100% 60%
Percentage
Family Coinsurance Percentage 100% 60%
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Health Plan Amendment XII
OUT-OF-POCKET MAXIMUMS:
Preferred Non-Preferred
Individual $2,000 $4,000
Family $4,000 $8,000
The following items do not apply toward the calendar year out-of-pocket expense maximum:
• charges in excess of reasonable and customary, except as otherwise stated herein;
• penalties incurred for failing to obtain precertification/utilization review;
• expenses for services and supplies not eligible under this Plan; and
• charges that exceed Plan limits in dollar amounts or visits, as stated herein.
When the participant utilizes BOTH preferred and non-preferred providers during the calendar
year, the maximum out-of-pocket expense will not exceed the non-preferred provider maximum.
BENEFIT LIMITS FOR ELIGIBLE EXPENSES:
Preferred Provider benefits will not be subject to "reasonable and customary".
PREFERRED BENEFIT NON-PREFERRED BENEFIT
PHYSICIAN'S CHARGES 100% 60%
FOR OFFICE VISIT
Deductible Applies: Yes Yes
PHYSICIAN'S CHARGES 100% 60%
FOR SERVICES
RENDERED AT TIME OF
OFFICE VISIT
Deductible Applies: Yes Yes
PHYSICIAN'S CHARGES 100% 60%
FOR SERVICES
RENDERED IN ABSENCE
OF OFFICE VISIT
Deductible Applies: Yes Yes
ALLERGY SHOTS 100% 60%
Deductible Applies: Yes Yes
PHYSICIAN HOSPITAL 100% 60%
VISITS
Deductible Applies: Yes Yes
RETAIL HEALTH CLINIC 100% 60%
VISIT
Deductible Applies: Yes Yes
EMPLOYEE HEALTH 100% N/A
CLINIC VISIT
Deductible Applies: No N/A
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Health Plan Amendment XII
PREFERRED BENEFIT NON-PREFERRED BENEFIT
SURGEON OR 100% 60%
ANESTHESIOLOGIST
CHARGES
Deductible Applies: Yes Yes
AMBULANCE CHARGES 100% 60%
Deductible Applies: Yes Yes
DURABLE MEDICAL 100% 60%
EQUIPMENT
Deductible Applies: Yes Yes
EMERGENCY ROOM 100% 100%
FACILITY
Deductible Applies: Yes Yes (preferred deductible)
EMERGENCY ROOM 100% 100%
PHYSICIAN
Deductible Applies: Yes Yes(preferred deductible)
HEARING EXAM
(See Preventive Services)
HEARING AIDS 100% 60%
Deductible Applies: Yes Yes
Maximum per 60-Month Period $2,000
HOME HEALTH CARE 100% 60%
Deductible Applies: Yes Yes
Calendar Year Maximum 100 visits
INPATIENT HOSPICE 100% 60%
CARE
Deductible Applies: Yes Yes
Lifetime Maximum 365 days or 365 visits
OUTPATIENT HOSPICE 100% 60%
CARE
Deductible Applies: Yes Yes
Lifetime Maximum 365 visits or 365 days
BEREAVEMENT 100% 60%
COUNSELING
Deductible Applies: Yes Yes
Per Death Maximum 5 visits within six months from date of death
INPATIENT& INTENSIVE 100% 60%
CARE FACILITY CHARGES
Deductible Applies: Yes Yes
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Health Plan Amendment XII
PREFERRED BENEFIT NON-PREFERRED BENEFIT
LASER EYE SURGERY 100% 60%
Deductible Applies: Yes Yes
Lifetime Maximum $250 per eye
CHIROPRACTIC CARE 100% 60%
Deductible Applies: Yes Yes
Calendar Year Maximum 40 visits
ORTHOTIC DEVICES 100% 60%
Deductible Applies: Yes Yes
OUTPATIENT SURGICAL 100% 60%
FACILITY
Deductible Applies: Yes Yes
PATHOLOGY AND/OR 100% 60%
LABORATORY TESTS
Deductible Applies: Yes Yes
PRESCRIPTION DRUGS: 100% 60%
Deductible Applies: Yes Yes
Maximum 90-day supply per prescription.
RADIOLOGY TESTS 100% 60%
Deductible Applies: Yes Yes
PREVENTIVE SERVICES 100% 60%
Deductible Applies: No Yes
Preventive Care Services as required under the Patient Protection and Affordable Care Act
(PPACA). See PREVENTIVE SERVICES under DESCRIPTION OF MEDICAL SERVICES
for more detailed information.
These services include routine or periodic exams (including school enrollment exams, but
excluding sports exams), immunizations, pelvic exams, pap tests, labs or x-rays, annual
dilated eye examinations for diabetic retinopathy, routine vision screenings for disease or
abnormality, routing hearing screenings, routine mammograms, routine PSA tests, bone
density tests, routine colorectal cancer examinations and related lab tests and routine
colonoscopies.
Also included under preventive services are costs for physician-supervised tobacco-cessation
and hospital-sponsored non-surgical weight loss programs, under the condition that approval
of the program is given by the Plan Administrator prior to the date the participant starts the
program. Participants are responsible for the up-front cost of such a program, and will be
reimbursed 100% of that cost upon confirmation of successful completion.
PREVENTIVE SERVICES FOR WOMEN 100% 60%
Deductible Applies: No Yes
Preventive Services for Women as required under the Patient Protection and Affordable Care
Act (PPACA). See PREVENTIVE SERVICES under DESCRIPTION OF MEDICAL
SERVICES for more detailed information.
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Health Plan Amendment XII
PREFERRED BENEFIT NON-PREFERRED BENEFIT
WELLNESS SCREENING* 100% N/A
Deductible Applies: No N/A
*This benefit applies to screening provided through the City's Wellness program.
SKILLED NURSING 100% 60%
FACILITY
Deductible Applies: Yes Yes
Calendar Year Maximum 90 days
THERAPY(PHYSICAL, 100% 60%
OCCUPATIONAL, SPEECH
AND OTHER)
Deductible Applies: Yes Yes
TREATMENT OF 100% 60%
TEMPOROMANDIBULAR
JOINT DISORDER(TMJ)
Deductible Applies: Yes Yes
Lifetime Maximum $1,000
WEIGHT LOSS 100% 60%
TREATMENT(SURGICAL)
Deductible Applies: Yes Yes
Surgical treatment for morbid obesity, as defined under Description of Medical Benefits, must
be non-experimental. Participant must have been involved in a physician-supervised, non-
surgical weight loss program for at least eighteen (18) consecutive months within thirty (30)
months immediately preceding the surgery, or must participate in an intensive non-surgical
weight loss program approved by the Plan Administrator.
WEIGHT LOSS TREATMENT(NON-SURGICAL)
(See Preventive Services)
TOBACCO-CESSATION TREATMENT
(See Preventive Services)
INPATIENT PSYCHIATRIC & 100% 60%
SUBSTANCE ABUSE CARE
Deductible Applies: Yes Yes
OUTPATIENT 100% 60%
PSYCHIATRIC &
SUBSTANCE ABUSE
CARE
Deductible Applies: Yes Yes
II. The section entitled SCHEDULE OF MEDICAL BENEFITS (PLAN B) is amended to read as
follows:
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Health Plan Amendment XII
SCHEDULE OF MEDICAL BENEFITS (PLAN B)
(see Description of Medical Benefits for detailed explanation of the following provisions)
LIFETIME MAXIMUM BENEFITS:
Inpatient/Outpatient Hospice Care(combined) 365 days/365 visits
Treatment of Temporomandibular Joint Disorder $1,000
Laser Eye Surgery $250 per eye
BENEFIT PERIOD: Calendar Year(unless otherwise stated)
OFFICE VISIT COPAYS:
Preferred Non-Preferred
Physician Office Visit Copay $25 Deductible and Coinsurance
CALENDAR YEAR DEDUCTIBLES:
Preferred Non-Preferred
Individual Deductible $500 $1,000
Family Deductible $1,000 $2,000
The following items do not apply toward satisfaction of the calendar year deductible:
• copays;
• charges in excess of reasonable and customary, except as otherwise stated herein;
• penalties incurred for failing to obtain precertification/utilization review; and
• expenses for services and supplies not eligible under this Plan.
When a participant utilizes BOTH preferred and non-preferred providers during the calendar
year, the maximum calendar year deductible will not exceed the non-preferred provider
deductible.
DEDUCTIBLE CARRYOVER:
Eligible expenses incurred during the last three (3) months of a calendar year that are used to
satisfy all or part of the deductible for that year will also count towards that participant's individual
or family deductible for the next calendar year.
COINSURANCE PERCENTAGES:
Preferred Non-Preferred
Individual Coinsurance 80% 60%
Percentage
Family Coinsurance Percentage 80% 60%
OUT-OF-POCKET MAXIMUMS:
Preferred Non-Preferred
Individual $1,000 $2,000
Family $2,000 $4,000
The out-of-pocket maximum includes deductibles and coinsurance. The following items do not
apply toward the calendar year out-of-pocket expense maximum:
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Health Plan Amendment XII
• copays;
• charges in excess of reasonable and customary, except as otherwise stated herein;
• penalties incurred for failing to obtain precertification/utilization review;
• expenses for services and supplies not eligible under this Plan; and
• charges that exceed Plan limits in dollar amounts or visits, as stated herein.
When the participant utilizes BOTH preferred and non-preferred providers during the calendar
year,the maximum out-of-pocket expense will not exceed the non-preferred provider maximum.
BENEFIT LIMITS FOR ELIGIBLE EXPENSES:
Preferred Provider benefits will not be subject to "reasonable and customary".
PREFERRED BENEFIT NON-PREFERRED BENEFIT
PHYSICIAN'S CHARGES 100% 60%
FOR OFFICE VISIT
Copay Applies: Yes($25 per visit) No
Deductible Applies: No Yes
PHYSICIAN'S CHARGES 80% 60%
FOR SERVICES
RENDERED AT TIME OF
OFFICE VISIT
Copay Applies: No No
Deductible Applies: Yes Yes
PHYSICIAN'S CHARGES 80% 60%
FOR SERVICES
RENDERED IN ABSENCE
OF OFFICE VISIT
Copay Applies: No No
Deductible Applies: Yes Yes
ALLERGY SHOTS 100% 60%
Copay Applies: Yes($10 per injection) No
Deductible Applies: No Yes
PHYSICIAN HOSPITAL 80% 60%
VISITS
Copay Applies: No No
Deductible Applies: Yes Yes
RETAIL HEALTH CLINIC 100% 60%
VISIT
Copay Applies: Yes($15 per visit) No
Deductible Applies: No Yes
EMPLOYEE HEALTH 100% N/A
CLINIC VISIT
Copay Applies: No N/A
Deductible Applies: No N/A
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Health Plan Amendment XII
PREFERRED BENEFIT NON-PREFERRED BENEFIT
SURGEON OR 80% 60%
ANESTHESIOLOGIST
CHARGES
Copay Applies: No No
Deductible Applies: Yes Yes
AMBULANCE CHARGES 80% 60%
Copay Applies: No No
Deductible Applies: Yes Yes
DURABLE MEDICAL 80% 60%
EQUIPMENT
Copay Applies: No No
Deductible Applies: Yes Yes
EMERGENCY ROOM 100% 100%
FACILITY
Copay Applies: Yes($100 per visit) Yes($100 per visit)
Deductible Applies: No No
EMERGENCY ROOM 100% 100%
PHYSICIAN
Copay Applies: Yes($50 per visit) Yes($50 per visit)
Deductible Applies: No No
HEARING EXAM
(See Preventive Services)
HEARING AIDS 80% 60%
Copay Applies: No No
Deductible Applies: Yes Yes
Maximum per 60-Month Period $2,000
HOME HEALTH CARE 80% 60%
Copay Applies: No No
Deductible Applies: Yes Yes
Calendar Year Maximum 100 visits
INPATIENT HOSPICE 80% 60%
CARE
Copay Applies: No No
Deductible Applies: Yes Yes
Lifetime Maximum 365 days or 365 visits
OUTPATIENT HOSPICE 80% 60%
CARE
Copay Applies: No No
Deductible Applies: Yes Yes
Lifetime Maximum 365 visits or 365 days
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Health Plan Amendment XII
PREFERRED BENEFIT NON-PREFERRED BENEFIT
BEREAVEMENT
COUNSELING 80% 60%
Copay Applies: No No
Deductible Applies: Yes Yes
Per Death Maximum 5 visits within six months from date of death
INPATIENT&INTENSIVE 80% 60%
CARE FACILITY CHARGES
Copay Applies: No No
Deductible Applies: Yes Yes
LASER EYE SURGERY 80% 60%
Copay Applies: No No
Deductible Applies: Yes Yes
Lifetime Maximum $250 per eye
CHIROPRACTIC CARE 100% 60%
Copay Applies: Yes($25 per visit) No
Deductible Applies: No Yes
Calendar Year Maximum 40 visits
ORTHOTIC DEVICES 80% 60%
Copay Applies: No No
Deductible Applies: Yes Yes
OUTPATIENT SURGICAL 80% 60%
FACILITY
Copay Applies: No No
Deductible Applies: Yes Yes
PATHOLOGY AND/OR 80% 60%
LABORATORY TESTS
Copay Applies: No No
Deductible Applies: Yes Yes
PRESCRIPTION DRUGS: 100% 60%
Copay Applies: Yes($10, $30 or$50 per No
30-day supply,
or portion thereof)
Deductible Applies: No Yes
Maximum 90-day supply per prescription.
RADIOLOGY TESTS 80% 60%
Copay Applies: No No
Deductible Applies: Yes Yes
PREVENTIVE SERVICES 100% 60%
Copay Applies: No No
Deductible Applies: No Yes
Preventive Care Services as required under the Patient Protection and Affordable Care Act
(PPACA). See PREVENTIVE SERVICES under DESCRIPTION OF MEDICAL SERVICES for
more detailed information.
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Health Plan Amendment XII
These services include routine or periodic exams (including school enrollment exams, but
P ( 9
excluding sports exams), immunizations, pelvic exams, pap tests, labs or x-rays, annual
dilated eye examinations for diabetic retinopathy, routine vision screenings for disease or
abnormality, routing hearing screenings, routine mammograms, routine PSA tests, bone
density tests, routine colorectal cancer examinations and related lab tests and routine
colonoscopies.
Also included under preventive services are costs for physician-supervised tobacco-
cessation and hospital-sponsored non-surgical weight loss programs, under the condition
that approval of the program is given by the Plan Administrator prior to the date the
participant starts the program. Participants are responsible for the up-front cost of such a
program, and will be reimbursed 100% of that cost upon confirmation of successful
completion.
PREFERRED BENEFIT NON-PREFERRED BENEFIT
PREVENTIVE SERVICES FOR WOMEN 100% 60%
Copay Applies: No No
Deductible Applies: No Yes
Preventive Services for Women as required under the Patient Protection and Affordable
Care Act (PPACA). See PREVENTIVE SERVICES under DESCRIPTION OF MEDICAL
SERVICES for more detailed information.
WELLNESS SCREENING* 100% 100%
Copay Applies: No N/A
Deductible Applies: No N/A
*This benefit applies only to screening provided through the City's Wellness program.
SKILLED NURSING
FACILITY 80% 60%
Copay Applies: No No
Deductible Applies: Yes Yes
Calendar Year Maximum 90 days
THERAPY(PHYSICAL, 80% 60%
OCCUPATIONAL,
SPEECH AND OTHER)
Copay Applies: No No
Deductible Applies: Yes Yes
TREATMENT OF
TEMPOROMANDIBULAR 80% 60%
JOINT DISORDER(TMJ)
Copay Applies: No No
Deductible Applies: Yes Yes
Lifetime Maximum $1,000
WEIGHT LOSS 80% 60%
TREATMENT(SURGICAL)
Copay Applies: No No
Deductible Applies: Yes Yes
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Health Plan Amendment XII
Surgical treatment for morbid obesity, as defined under Description of Medical Benefits, must
be non-experimental. Participant must have been involved in a physician-supervised, non-
surgical weight loss program for at least eighteen (18) consecutive months within thirty (30)
months immediately preceding the surgery, or must participate in an intensive non-surgical
weight loss program approved by the Plan Administrator.
WEIGHT LOSS TREATMENT(NON-SURGICAL)
(See Preventive Services)
TOBACCO-CESSATION TREATMENT
(See Preventive Services)
PREFERRED BENEFIT NON-PREFERRED BENEFIT
INPATIENT PSYCHIATRIC 80% 60%
& SUBSTANCE ABUSE
CARE
Copay Applies: No No
Deductible Applies: Yes Yes
OUTPATIENT 100% 60%
PSYCHIATRIC &
SUBSTANCE ABUSE
CARE
Copay Applies: Yes($25 per visit) No
Deductible Applies: No Yes
III. The section entitled SCHEDULE OF MEDICAL BENEFITS (PLAN C) is deleted in its
entirety.
IV. Under DESCRIPTION OF MEDICAL BENEFITS, the section entitled WELLNESS is
changed to PREVENTIVE SERVICES and amended to read as follows:
PREVENTIVE SERVICES
Charges for preventive services as follows:
Preventive Care Services as required under the Patient Protection and Affordable Care Act
(PPACA) include the following:
1. Evidence-based items or services with an A or B rating recommended by the United
States Preventive Services Task Force;
2. Immunizations for routine use in children, adolescents or adults recommended by the
Advisory Committee on Immunization Practices of the Centers for Disease Control and
Prevention;
3. Evidence-informed preventive care and screenings provided for in comprehensive
guidelines supported by HRSA for women.
4. The complete list of recommendations and guidelines can be found at:
http://www.healthcare.Qov/center/regulations/prevention/recommendations.html.
Services as shown above include routine or periodic exams (including school enrollment
exams, but excluding sports exams), immunizations, pelvic exams, pap tests, labs or x-rays,
annual dilated eye examinations for diabetic retinopathy, routine vision screenings for
disease or abnormality, routing hearing screenings, routine mammograms, routine PSA tests,
bone density tests, routine colorectal cancer examinations and related lab tests and routine
colonoscopies.
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Health Plan Amendment XII
Also included under preventive services are costs for physician-supervised tobacco-cessation
and hospital-sponsored non-surgical weight loss programs, under the condition that approval
of the program is given by the Plan Administrator prior to the date the participant starts the
program. Participants are responsible for the up-front cost of such a program, and will be
reimbursed 100% of that cost upon confirmation of successful completion.
Charges for preventive services for women as follows:
1. Annual well-woman preventive care visit for adult women to obtain recommended age
and developmentally-appropriate services, including preconception and prenatal care
(additional visits are covered, if necessary, to obtain all recommended preventive
services based on risk factors and health status);
2. Gestational diabetes screening for women 24-28 weeks pregnant, and those at high risk
of developing gestational diabetes;
3. Human papillomavirus(HPV) DNA testing for women age 30 and older every three years,
regardless of pap smear results;
4. Annual counseling on sexually transmitted infections for sexually-active women;
5. Annual screening and counseling on human immunodeficiency virus (HIV) infections for
sexually-active women;
6. All FDA-approved contraceptive methods, sterilization procedures, patient education and
counseling, excluding abortifacient drugs. FDA-approved oral contraceptives will be
covered with no cost sharing when a generic (if available) is dispensed. If a participant
requests brand when generic is available, the participant will be responsible for the
applicable deductible (Plan A)or copay(Plan B).
7. Comprehensive lactation support and counseling from trained providers, as well as rental
fees for breastfeeding equipment for pregnant and postpartum women;
8. Screening and counseling for interpersonal and domestic violence.
V. Under MEDICARE the section entitled ACTIVE EMPLOYEES AND THEIR SPOUSES AGED
65 AND OLDER is amended to read as follows:
ACTIVE EMPLOYEES AND THEIR SPOUSES AGED 65 AND OVER
All health benefits to which a covered employee and covered spouse are entitled under the
Plan will be paid before and without regard to any payments that would be available under
Medicare, unless and until the employee or spouse declines in writing coverage for health
benefits under the Plan.
If the active employee or his spouse is enrolled in any part of Medicare, they cannot be enrolled
in Plan A.
If the active employee or his spouse retains Plan B as primary coverage, then Medicare will
supplement payments of this Plan.
If the active employee declines coverage under the Plan for health benefits, he and all of his
dependents will not be eligible for any health benefits under this Plan. If his dependent spouse
rejects coverage under the Plan for health benefits, the spouse will not be eligible for any health
benefits under this Plan.
VI. The section entitled SCHEDULE OF PRESCRIPTION DRUG BENEFITS is amended to read
as follows:
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Health Plan Amendment XII
SCHEDULE OF PRESCRIPTION DRUG BENEFITS
(see Description of Prescription Drug Benefits for detailed explanation of the following
provisions)
PLAN A:
Participant pays 100% of all prescription charges until deductible is met; Plan pays 100% of all
eligible prescription expenses thereafter.
NOTE: There is no charge to participants for any prescribed generic FDA-approved oral
contraceptive.
PLAN B:
Pharmacy Copay:
(each prescription fill, see dispensing limitations)
Generic Formulary Drugs $10 per 30-day supply
(or portion thereof)
Brand Name Formulary Drugs $30 per 30-day supply
(or portion thereof)
Non-Formulary Drugs $50 per 30-day supply
(or portion thereof)
Covered Percentage after Copay 100%
Dispensing Provision: Up to a maximum of a 90-day supply
Prescription Drug Card copays are not eligible expenses under the medical Plan.
NOTE: There is no charge to participants for any prescribed generic FDA-approved oral
contraceptive.
Mail Order Copay:
(each prescription fill, see dispensing limitations)
Generic Formulary Drugs $20
Brand Name Formulary Drugs $60
Non-Formulary Drugs $100
Covered Percentage after Copay 100%
Dispensing Provision: Up to a maximum of a 90-day supply
Mail Order Program copays are not eligible expenses under the medical Plan.
VII. The section entitled PRESCRIPTION DRUG CARD PROGRAM is amended to read as
follows:
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Health Plan Amendment XII
PRESCRIPTION DRUG CARD PROGRAM
Upon presentation of a valid identification card for this Plan, a participant may obtain medications
that are prescribed by a licensed physician from participating pharmacies. Alternatively,
maintenance medications may be obtained through a mail order program for convenience and
cost savings. For each prescription order and each refill, the program requires that the
participant pay the full cost before the deductible is met or no cost after the deductible is met
(Plan A), or the copayment (Plan B) for each generic or brand name drug shown in the
Schedule of Prescription Drug Benefits. There is no charge for any prescribed, FDA-approved
oral contraceptive or contraceptive device under Plan A or Plan B.
Participating pharmacies and the mail order pharmacy will dispense prescriptions in a quantity
not to exceed the amount stated in the Schedule of Prescription Drug Benefits.
Charges for federal legend drugs, prescription drugs and compound medications containing at
least one federal legend drug are eligible expenses, with the conditions and exceptions listed
below.
VIII.The section entitled ELIGIBLE PRESCRIPTION DRUG EXPENSES is amended to read as
follows:
ELIGIBLE PRESCRIPTION DRUG EXPENSES
1. Charges for federal legend drugs (those requiring the label, "Caution: Federal law prohibits
dispensing without a prescription") and drugs that may only be dispensed by written
prescription under State law.
2. Charges for compound medications containing at least one federal legend drug.
3. Charges for insulin, disposable syringes, needles, lancets and test strips when prescribed
with insulin—one copayment is applicable when dispensed at the same time. The
quantity of the supplies must correspond to the amount of insulin dispensed.
4. Charges for oral contraceptives available by prescription only.
5. Charges for immunosuppressants.
6. Charges for interferons.
7. Charges for behavioral syndrome drugs.
8. Charges for legend and non-legend tobacco cessation products, including prescription
medications, patches, gum, nasal spray and inhalers.
9. Charges for injectable sumatriptan succinate.
10. Charges for injectable epinephrine.
11. Charges for injectable enoxaparin sodium.
12. Charges for isotretinoin.
13. Charges for tretinoin,for participants under age twenty-six(26)only.
14. Charges for legend vitamins and hematinics.
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Health Plan Amendment XII
15. Charges for legend dental vitamins, rinses and fluoride agents.
16. Charges for FDA approved male impotency medications, up to a maximum of six(6) pills in
twenty-nine(29)days or eighteen(18)pills per ninety(90)days.
IX. The section entitled PRESCRIPTION DRUG EXCLUSIONS is amended to read as follows:
PRESCRIPTION DRUG EXCLUSIONS
(exclusions in addition to General Plan Exclusions)
1. Charges for drugs provided and/or administered in a physician's office or hospital, or any
setting other than home use.
2. Charges for more than a ninety (90) day supply of a drug, or any amount in excess of the
quantity prescribed.
3. Charges for refills not authorized by a physician, or refills dispensed after one (1)year from
the date of the original order(six[6]months if a federally controlled drug).
4. Charges for non-legend drugs (other than insulin), or drugs not prescribed by a licensed
physician or not dispensed by a licensed pharmacist.
5. Charges for experimental or investigational drugs, including compound medications for non-
FDA approved use.
6. Charges for DESI Drugs (drugs determined by the Food & Drug Administration as lacking
substantial evidence of effectiveness).
7. Charges for immunization agents, vaccines, allergy extract, biological sera, blood or blood
plasma.
8. Charges for insulin supplies, including, but not limited to, alcohol swabs, blood glucose
monitors, blood monitor kits and blood glucose calibration solutions.
9. Charges for injectables,except as provided under Eligible Expenses above.
10. Charges for anorectics,dietary aids and food supplements.
11. Charges for fertility drugs.
12. Charges for human growth hormones.
13. Charges for hair growth agents.
14. Charges for minerals.
15. Charges for cosmetic drugs.
16. Charges for over-the-counter medications.
17. Charges for the administration of drugs.
18. Charges for therapeutic equipment, devices or appliances, including hypodermic needles
and syringes, except as provided under Eligible Expenses above; charges for other non-
medical substances, even if prescribed by a physician.
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Health Plan Amendment XII
X. The section entitled SPECIAL ENROLLMENT PERIOD FOR PREVIOUSLY ENROLLED
COVERED EMPLOYEES AND COVERED DEPENDENTS WHO HAVE EXCEEDED THE
LIFETIME MAXIMUM BENEFIT is deleted in its entirety.
XI. The section entitled LEAVES OF ABSENCE is amended to read as follows:
LEAVES OF ABSENCE
This Plan shall comply at all times with the provisions of the Family and Medical Leave Act of
1993(FMLA).
An employee on leave of absence may continue coverage for himself and his eligible
dependents in accordance with Ordinance D-1490-00 if:
1. the employee is on a duly approved medical leave or personal leave, or has been
suspended for disciplinary reasons or pending resolution of criminal charges; and
2. the employee pays the required bi-weekly contribution to the Employer on or before each
payday.
If the employee does not return to work after commencement of a leave of absence, his
coverage will continue until the date the coverage would otherwise cease as described under
Termination of Employee Coverage above. However, coverage under this Plan will not extend
more than six (6) months beyond commencement of FMLA leave or personal leave if the
employee does not return to work during that period, unless the employee is eligible for
coverage as a retiree or an early retiree.
XII. Under HOW TO SUBMIT A CLAIM, the TIMELY SUBMISSION OF CLAIMS and the
CLAIMS REVIEW PROCEDURE sections have been deleted and replaced with the
following:
TYPES OF CLAIMS
Under the Plan, there are four types of claims: Pre-service (Urgent and Non-urgent),
Concurrent Care and Post-service.
1. Pre-service Claims.
A "Pre-service Claim" is a claim for a benefit under the Plan where the Plan conditions
receipt of the benefit, in whole or in part, on approval of the benefit in advance of
obtaining medical care.
A "Pre-service Urgent Care Claim"is any claim for medical care or treatment with respect
to which the application of the time periods for making non-urgent care determinations
could seriously jeopardize the life or health of the covered person or the covered person's
ability to regain maximum function, or, in the opinion of a Physician with knowledge of the
Covered Person's medical condition, would subject the Covered Person to severe pain
that cannot be adequately managed without the care or treatment that is the subject of
the claim.
If the Plan does not require the Covered Person to obtain approval of a specific medical
service prior to getting treatment, then there is no Pre-service Claim. The Covered
Person simply follows the Plan's procedures with respect to any notice which may be
required after receipt of treatment, and files the claim as a post-service claim.
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Health Plan Amendment XII
2. Concurrent Claims. A "Concurrent Claim" arises when the Plan has approved an on-
going course of treatment to be provided over a period of time or number of treatments,
and either:
a) The Plan Administrator determines that the course of treatment should be reduced or
terminated; or
b) The Covered Person requests extension of the course of treatment beyond that
which the Plan Administrator has approved.
If the Plan does not require the Covered Person to obtain approval of a medical service
prior to getting treatment, then there is no need to contact the Plan Administrator to
request an extension of a course of treatment. The Covered Person simply follows the
Plan's procedures with respect to any notice which may be required after receipt of
treatment, and files the claim as a Post-service Claim.
3. Post-service Claims: A "Post-service Claim" is a claim for a benefit under the Plan after
the services have been rendered.
WHEN HEALTH CLAIMS MUST BE FILED
Post-service health claims must be filed with the Claims Administrator within twelve (12)
months of the date charges for the service was incurred. Failure to file a claim within this
time limit will not invalidate the claim provided that the Covered Person submits evidence
satisfactory to the Plan Administrator that it was not reasonably possible to file the claim
within the time limit. Benefits are based upon the Plan's provisions at the time the charges
were incurred. Claims filed later than that date shall be denied.
A Pre-service Claim (including a Concurrent Claim that also is a Pre-service Claim) is
considered to be filed when the request for approval of treatment or services is made and
received by the Claims Administrator in accordance with the Plan's procedures.
Upon receipt of the required information, the claim will be deemed to be filed with the Plan.
The Claims Administrator will determine if enough information has been submitted to enable
proper consideration of the claim. If not, more information may be requested as provided
herein. This additional information must be received by the Claims Administrator within forty-
five (45) days from receipt by the Covered Person of the request for additional information.
Failure to do so may result in claims being declined or reduced.
TIMING OF CLAIM DECISIONS
The Plan Administrator shall notify the Covered Person, in accordance with the provisions set
forth below, of any Adverse Benefit Determination (and, in the case of Pre-service Claims
and Concurrent Claims, of decisions that a claim is payable in full) within the following
timeframes:
Pre-service Urgent Care Claims:
1. If the Covered Person has provided all of the necessary information, as soon as possible,
taking into account the medical exigencies, but not later than seventy-two(72) hours after
receipt of the claim.
2. If the Covered Person has not provided all of the information needed to process the
claim, then the Covered Person will be notified as to what specific information is needed
as soon as possible, but not later than seventy-two (72) hours after receipt of the claim.
The Covered Person will be notified of a determination of benefits as soon as possible,
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Health Plan Amendment XII
but not later than seventy-two (72) hours, taking into account the medical exigencies,
after the earliest of:
a) The Plan's receipt of the specified information; or
b) The end of the period afforded the Covered Person to provide the information.
Pre-service Non-urgent Care Claims:
1. If the Covered Person has provided all of the information needed to process the claim, in
a reasonable period of time appropriate to the medical circumstances, but not later than
fifteen (15) days after receipt of the claim, unless an extension has been requested, then
prior to the end of the fifteen (15)day extension period.
2. If the Covered Person has not provided all of the information needed to process the
claim, then the Covered Person will be notified as to what specific information is needed
as soon as possible, but not later than five (5) days after receipt of the claim. The
Covered Person will be notified of a determination of benefits in a reasonable period of
time appropriate to the medical circumstances, either prior to the end of the extension
period (if additional information was requested during the initial processing period), or by
the date agreed to by the Plan Administrator and the Covered Person (if additional
information was requested during the extension period).
Concurrent Claims:
1. Plan Notice of Reduction or Termination. If the Plan Administrator is notifying the
Covered Person of a reduction or termination of a course of treatment(other than by Plan
amendment or termination), before the end of such period of time or number of
treatments. The Covered Person will be notified sufficiently in advance of the reduction
or termination to allow the Covered Person to appeal and obtain a determination on
review of that Adverse Benefit Determination before the benefit is reduced or terminated.
2. Request by Covered Person Involving Urgent Care. If the Plan Administrator receives a
request from a Covered Person to extend the course of treatment beyond the period of
time or number of treatments that is a claim involving urgent care, as soon as possible,
taking into account the medical exigencies, but not later than seventy-two(72) hours after
receipt of the claim, as long as the Covered Person makes the request at least seventy-
two (72) hours prior to the expiration of the prescribed period of time or number of
treatments. If the Covered Person submits the request with less than seventy-two (72)
hours prior to the expiration of the prescribed period of time or number of treatments, the
request will be treated as a claim involving urgent care and decided within the urgent
care timeframe.
3. Request by Covered Person Involving Non-urgent Care. If the Plan Administrator
receives a request from the Covered Person to extend the course of treatment beyond
the period of time or number of treatments that is a claim not involving urgent care, the
request will be treated as a new benefit claim and decided within the timeframe
appropriate to the type of claim (either as a Pre-service non-urgent Claim or a Post-
service Claim).
Post-service Claims:
1. If the Covered Person has provided all of the information needed to process the claim, in
a reasonable period of time, but not later than thirty (30) days after receipt of the claim,
unless an extension has been requested, then prior to the end of the fifteen (15) day
extension period.
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Health Plan Amendment XII
2. If the Covered Person has not provided all of the information needed to process the claim
and additional information is requested during the initial processing period, then the
Covered Person will be notified of a determination of benefits prior to the end of the
extension period, unless additional information is requested during the extension period,
then the Covered Person will be notified of the determination by a date agreed to by the
Plan Administrator and the Covered Person.
Extensions — Pre-service Urgent Care Claims. No extensions are available in connection
with Pre-service Urgent Care Claims.
Extensions—Pre-service Non-urgent Care Claims. This period may be extended by the Plan
for up to fifteen (15) days, provided that the Plan Administrator both determines that such an
extension is necessary due to matters beyond the control of the Plan and notifies the
Covered Person, prior to the expiration of the initial fifteen (15) day processing period, of the
circumstances requiring the extension of time and the date by which the Plan expects to
render a decision.
Extensions— Post-service Claims. This period may be extended by the Plan for up to fifteen
(15) days, provided that the Plan Administrator both determines that such an extension is
necessary due to matters beyond the control of the Plan and notifies the Covered Person,
prior to the expiration of the initial thirty (30) day processing period, of the circumstances
requiring the extension of time and the date by which the Plan expects to render a decision.
Calculating Time Periods. The period of time within which a benefit determination is required
to be made shall begin at the time a claim is deemed to be filed in accordance with the
procedures of the Plan.
NOTIFICATION OF AN ADVERSE BENEFIT DETERMINATION
The Plan Administrator shall provide a Covered Person with a notice, either in writing or
electronically (or, in the case of Pre-service Urgent Care Claims, by telephone, facsimile or
similar method, with written or electronic notice), containing the following information:
1. A reference to the specific portion(s) of the Plan Document and Summary Plan
Description upon which a denial is based;
2. Specific reason(s)for a denial;
3. A description of any additional information necessary for the Covered Person to perfect
the claim and an explanation of why such information is necessary;
4. A description of the Plan's review procedures and the time limits applicable to the
procedures, including a statement of the Covered Person's right to bring a civil action
under section 502(a) of ERISA (if applicable)following an Adverse Benefit Determination
on final review;
5. A statement that the Covered Person is entitled to receive, upon request and free of
charge, reasonable access to, and copies of, all documents, records and other
information relevant to the Covered Person's claim for benefits;
6. The identity of any medical or vocational experts consulted in connection with a claim,
even if the Plan did not rely upon their advice (or a statement that the identity of the
expert will be provided, upon request);
7. Any rule, guideline, protocol or similar criterion that was relied upon in making the
determination (or a statement that it was relied upon and that a copy will be provided to
the Covered Person, free of charge, upon request);
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Health Plan Amendment XII
8. In the case of denials based upon a medical judgment(such as whether the treatment is
Medically Necessary or Experimental), either an explanation of the scientific or clinical
judgment for the determination, applying the terms of the Plan to the Covered Person's
medical circumstances, or a statement that such explanation will be provided to the
Covered Person, free of charge, upon request; and
9. In a claim involving urgent care, a description of the Plan's expedited review process.
APPEALS OF ADVERSE BENEFIT DETERMINATIONS
Full and Fair Review of All Claims: In cases where a claim for benefits is denied, in whole or
in part, and the Covered Person believes the claim has been denied wrongly, the Covered
Person may appeal the denial and review pertinent documents. The claims procedures of
this Plan provide a Covered Person with a reasonable opportunity for a full and fair review of
a claim and Adverse Benefit Determination. More specifically, the Plan provides:
1. Covered Persons at least one hundred eighty(180) days following receipt of a notification
of an initial Adverse Benefit Determination within which to appeal the determination and
one hundred eighty(180)days to appeal a second Adverse Benefit Determination;
2. Covered Persons the opportunity to submit written comments, documents, records, and
other information relating to the claim for benefits;
3. For a review that does not afford deference to the previous Adverse Benefit
Determination and that is conducted by an appropriate named fiduciary of the Plan, who
shall be neither the individual who made the Adverse Benefit Determination that is the
subject of the appeal, nor the subordinate of such individual;
4. For a review that takes into account all comments, documents, records, and other
information submitted by the Covered Person relating to the claim, without regard to
whether such information was submitted or considered in any prior benefit determination;
5. That, in deciding an appeal of any Adverse Benefit Determination that is based in whole
or in part upon a medical judgment, the Plan fiduciary shall consult with a health care
professional who has appropriate training and experience in the field of medicine involved
in the medical judgment, who is neither an individual who was consulted in connection
with the Adverse Benefit Determination that is the subject of the appeal, nor the
subordinate of any such individual;
6. For the identification of medical or vocational experts whose advice was obtained on
behalf of the Plan in connection with a claim, even if the Plan did not rely upon their
advice;
7. That a Covered Person will be provided, upon request and free of charge, reasonable
access to, and copies of, all documents, records, and other information relevant to the
Covered Person's claim for benefits in possession of the Plan Administrator or the Claims
Administrator; information regarding any voluntary appeals procedures offered by the
Plan; any internal rule, guideline, protocol or other similar criterion relied upon in making
the adverse determination; and an explanation of the scientific or clinical judgment for the
determination, applying the terms of the Plan to the Covered Person's medical
circumstances; and
8. In an Urgent Care claim, for an expedited review process pursuant to which:
a) A request for an expedited appeal of an Adverse Benefit Determination may be
submitted orally or in writing by the Covered Person;and
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Health Plan Amendment XII
b) All necessary information, including the Plan's benefit determination on review, shall
be transmitted between the Plan and the Covered Person by telephone, facsimile or
other available similarly expeditious method.
XIII. The section entitled DEFINITIONS is amended to read as follows; provisions not specifically
amended below remain unchanged:
Employee Health Clinic
Primary healthcare facility owned and operated by the City for the exclusive benefit of Plan
participants.
Physician
A legally qualified medical or dental doctor who is practicing within the scope of his license
and holding a degree of Doctor of Medicine (M.D.), Doctor of Psychology(Ph.D.), Doctor of
Podiatric Medicine (D.P.M.), Doctor of Osteopathic Medicine (D.O.), Doctor of Dental
Surgery (D.D.S.), Doctor of Optometry (O.D.), or Doctor of Chiropractic (D.C.). The term
"physician" shall also be extended to include Physician's Assistant (P.A.), Nurse Practitioner
(N.P.), Nurse-Midwife, Clinical Nurse Specialist (C.N.S.), Licensed Clinical Social Worker
(L.C.S.W.), Orthoptic Technician Registered Occupational Therapist, Registered Physical
Therapist or Licensed Speech Therapist, provided they are licensed in the political
jurisdiction where practicing, and practicing within the scope of their license.
Preventive(formerly Wellness)
Services provided for preventive purposes, when there is no diagnosis of illness or injury.
In all other respects the Plan remains unchanged.
CITY OF CARMEL, INDIANA
By and through its Board of Public Works and Safety
/ . /0 r3-/ 2.
/- es1rainard 'residing •.icer l Date
44/ /ii• ,
Mary Ann urke, Bo.,r. Member Date
/Lf /0/ f/
Lori W.tso., =oard Member Date
ATTEST:
�
/ 1 ,� J O )--
diana Cordray, IA C Clerk-Treasurer Date
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