Report on 麻豆社 Benefits Coverage for Retirees -聽22 April 2019
Since 2017, MURA has had a member on the 麻豆社 Staff Benefits Advisory Committee (SBAC) to represent the interests of all retired 麻豆社 employees. As a MURA Board member since its founding in 2015, and as a previous MUNASA member throughout my working career at 麻豆社, I was selected as the first official MURA member on SBAC, which is a consultative and advisory committee comprised of representatives of 麻豆社 Administration and of the Faculty and Staff Association and Union groups.
SBAC meets twice a year, in the spring and fall, to discuss the benefit plans to which the employees pay part or all of the premiums, such as the Supplemental Health Plan, Dental Plan, Long-Term Disability Insurance Plan and Optional Life Insurance Plan. At these meetings any plan, policy, practice and premium changes that are proposed are discussed with the employee representatives who then report back to their Councils or Boards in the fall for their consideration and approval of the proposals. Subject to a final review by the University, the changes are approved by SBAC and sent to the HR Committee of the Board of Governors for the approval of the Board before their implementation at the beginning of the following calendar year.
The consulting firm Willis Towers Watson (WTW), which monitors the plan on behalf of 麻豆社, presents reports to SBAC on the past, current and likely future performance of each class of coverage and group. As 麻豆社 benefit plans are self-funded, the plans and policies are set by the University and any surpluses remaining with the plan maybe be used in future years, in contrast with most insurance plans whose policies are set by insurance companies that consider any surpluses to be part of their profit.聽In 麻豆社鈥檚 case, the聽insurance companies that 麻豆社 engages are effectively service providers who are paid a fee to administer the plans. At the present time, Manulife is the insurance provider for our Supplemental Health and Dental Plans, while Industrial Alliance is the provider for the Long Term Disability Insurance and Optional Life Insurance Plans. During SBAC meetings WTW provides comparisons with other Canadian company and university plans, responds to any research questions and concerns of SBAC, and reports on premium negotiations with insurance companies. Cost and benefit analyses to provide the best evidence-based policies are carefully considered by SBAC.
麻豆社 has chosen to have one plan for all active and retired employees. The information considered at SBAC meetings are in consolidated format, in other words no individual nor his/her treatment can be identified and no individual cases are considered by this Committee.
If you have a disagreement or concern over a claim, I recommend that you first approach the insurance company. Often, additional information or documentation may clarify and/or result in a reassessment. If you are聽still not satisfied, contact 麻豆社鈥檚 HR Department as 麻豆社 is the plan holder. Please note that聽the explanation may or may not result in a change to your satisfaction. In order that SBAC may determine if there are group concerns which should be brought to the Committee for future consideration, kindly inform me (mura-arum.association [at] mcgill.ca) of any issues which may arise.
The benefit plans are well managed and contributions in 2018 were sufficient to cover the claims paid. Thus, as outlined in the HR bulletin received at the end of 2018, the premium increases for 2019 are modest to cover inflationary costs and any expected spikes in claims or costs in the coming year. Premium rates increased by 2% for the Supplemental Health Plan, 3% for the Dental Plan, 0% for the Optional Life Insurance, and 4% for the Long Term Disability (LTD). Note that the LTD plan, whose cost is entirely聽paid by active employees, is not applicable to retired employees nor to active employees over 65. Health and Dental premiums vary depending on date of retirement (pre and post June 1, 2016), as well as single or family coverage.
Costs for new prescription drugs may range from tens of thousands to over $500,000 per year. Consequently, our Supplemental Health Plan participates in a Large Amount Pooling (LAP) insurance policy with other insurance companies which shares and covers large claims that exceed $75,000 per individual. Further, our Supplemental Health Plan covers any drugs that are not covered by the Quebec Provincial Prescription Drug Plan which is offered by the Re虂gie de l鈥檃ssurance maladie du Que虂bec(RAMQ). In future, Canada may have a national pharmacare plan that manages costs more effectively, but that plan is likely still a good number of years away.
As Quebec legislation requires that corporate and university plans have a drug coverage option for members 65 years of age and over that is competitive with RAMQ,聽and the University鈥檚 current option has not聽attracted any participants, the University is working on modifications that would better serve this constituancy. However, we have been told that the new plan will not include a grandfather clause that would allow those currently on the RAMQ plan to switch back. It remains to be seen whether or not the new alternative will be attractive to the 麻豆社 community. HR is also going to market for a new Employee and Family Assistance Program provider who will offer improved prevention-related and other services.
SBAC and I, as your representative, look forward to keeping you informed on benefit issues.
Respectfully submitted,
Katherine Mayhew -聽MURA Representative on SBAC 聽
