Benefits
Enrollment
2009
It’s time to enroll for benefits again! This year the enrollment period is
September 29 through November 3, 2008. Your new elections will go into effect
on January 1, 2009.
To help you enroll, be sure to read:
 This bulletin, to find out what’s new or changed for 2009
 The NCFlex 2009 Enrollment Booklet
Pre-tax vs. After-tax—What does it mean to me?
Whether you’re buying groceries, pumping gas, outfitting your children or refilling your prescriptions—the economy is likely not on your side. You and your wallet are probably
NCFlex benefits are pre-tax,
thinking “Enough already!” The good news is you have a choice in how to give
while those offered by the
your wallet a break. You have a number of benefit offerings through NCFlex that
allow you to have deductions withheld before taxes (i.e. pre-tax). In addition, the
University are after-tax.
University provides some benefits to you directly and you pay for these benefits
on an after-tax basis (i.e. post-tax). Let’s take a look at the benefit programs:
Benefit Program
NCFlex Benefits
University Benefits
Dental
United Concordia Assurant Dental
Group Life
ING
MetLife
Accidental Death & Dismemberment
AC Newman & Co.Reliance Standard
Vision
Superior Vision
N/A
Critical Illness MetLife
N/A
CancerAmerican Heritage
N/A
Health Care Flexible Spending Account
Aon
N/A
Dependent Day Care Flexible
Spending Account
Aon
N/A
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What are the benefits of pre-tax vs. post-tax deductions?
A “pre-tax basis” means that the money you pay towards the cost of coverage comes out of your
salary before you pay any taxes on it. By choosing this option, you reduce your taxable income,
therefore reducing the taxes you owe. All premium payments and contributions to the NCFlex
program are made through payroll deductions before taxes are withheld. If you choose this
option, you cannot drop coverage until the next annual enrollment period or until you have a
qualifying change in your status (i.e. birth of a child, divorce, separation, reduction in hours, etc.).
Also, consider the tax issue of Group Term Life Insurance. If you purchase Group Term Life
Insurance on a “pre-tax” basis and your coverage exceeds $50,000 (including the State Retirement
System’s Death Benefit, if applicable), the IRS takes back those savings on amounts in excess of
$50,000. You see a small premium charge that is added back to your income only for tax purposes—
this is how the IRS is repaid.
A “post-tax basis” means that the money you pay towards the cost of coverage comes out of your
salary after you pay taxes. Although you do not get any savings from taxes, you have the flexibility
of dropping your coverage at any time. You may also enroll any time during the year but, depending
on the plan, you may be subject to waiting periods for pre-existing conditions, or you may have to
furnish Evidence of Insurability (EOI).
What’s New and Different for 2009
Dental Plans
United Concordia is the dental carrier for the NCFlex program. There are no changes for this plan
for 2009. If you are enrolled in either the high or low option and want to keep your coverage, you do
not need to reenroll. If you are switching options or transferring coverage from
Read more about benefit
the University Dental Plan, please read the information on Benefit Waiting Periods in
the NCFlex enrollment booklet, pages 14-17.
waiting periods and other
limitations before making
a decision to enroll.
Assurant Dental is the University’s dental carrier. Rates are increasing by 8.38
percent. The University’s program currently provides coverage for spouse/domestic partner and
dependent children. For information about Assurant Dental, visit the Office of
Human Resources (OHR) Web site at http://hr.unc.edu/Data/benefits/health-dental/fortisdental.
Group Term Life
ING is the insurance carrier for the NCFlex program. The group term rates for this plan have been
lowered in almost every age category. If you enroll in this plan during annual enrollment, you may
purchase $20,000 of coverage on a guaranteed issue basis — if you were not previously denied
coverage. If you are currently enrolled in the plan, you may add $10,000 of additional coverage at
each annual enrollment, up to the guaranteed issue amount ($100,000), without providing Evidence
of Insurability (EOI). For detailed information about this plan please refer to the NCFlex enrollment
booklet, pages 32-33.
MetLife is the insurance carrier for the University’s benefit program. You can elect coverage up to
five times your salary, with a maximum of $500,000. You can increase coverage levels from one to
three times your salary without providing Evidence of Insurability. If you want to increase to four
or five times your salary, you must provide Evidence of Insurability. The University’s program currently
provides coverage for spouse/domestic partner and dependent children. For information about MetLife visit the
OHR Web site at http://hr.unc.edu/Data/benefits/lifeinsurance.
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Please note: Group Term Life Insurance is age-based and adjusted annually. Your rate for ING changes based on your
age and salary as of January 1, 2009, and your rate for MetLife changes based on your age and salary as of December 31, 2008.
You will see the new rates appear in your January 2009 paycheck.
Accidental Death & Dismemberment
AC Newman and Company, on behalf of Gerber Life Insurance Company, is the insurance carrier
for the NCFlex program. The group rates for this plan have been lowered. If you were previously
enrolled in this plan with UNUM, your coverage will automatically be transferred to AC Newman
and Company. Please refer to the NCFlex enrollment booklet, pages 28-30, for instructions on
enrolling or increasing your coverage.
Reliance Standard is the insurance carrier for the University’s benefit program. There are no
changes to this plan for 2009. The University’s program currently provides coverage for spouse/domestic partner
and dependent children. For information about Reliance Standard, please visit the OHR Web site at
http://hr.unc.edu/Data/benefits/disability-add/uncaddinsurance.
Critical Illness
MetLife is the insurance carrier for this NCFlex program. This is a new program for 2009 and
requires enrollment if you want to elect coverage for yourself and your dependents. This insurance
complements medical coverage, but does not replace it. The coverage pays a lump-sum payment
when a covered person experiences a medical condition outlined in the plan. You can find detailed
information on the critical illness plan in the NCFlex enrollment booklet on pages 21-23.
Flexible Spending Accounts
Remember to designate an
annual contribution amount
for the flexible spending
accounts.
Aon Consulting is the third-party administrator of the flexible spending
accounts for the NCFlex program. If you elected either a Health Care Flexible
Spending Account or a Dependent Day Care Flexible Spending Account in 2008
you must re-enroll and designate annual contribution amounts for 2009. The plan
continues to have minimum monthly amounts required to participate, but has
removed the monthly maximums. Please read more about benefit waiting periods and other limitations before making a decision to enroll. You can find detailed information about flexible spending
accounts in the NCFlex enrollment booklet on pages 6-13.
As of January 2009, NCFlex convenience card holders no longer need to submit documentation for:
t Copays
t Eligible NCFlex dental expenses. If you use your NCFlex Convenience Card to pay for eligible
dental expenses under the NCFlex dental plan (administered by United Concordia), these
expenses will be automatically approved provided the amount of the transaction is equal to the
balance due once the claim has been processed by United Concordia.
Vision
Superior Vision Services provides vision benefits under the NCFlex program. The rates have been
lowered for all coverage levels for Plan 1 and Plan 2. There is now an additional option, Plan 3, which
provides enhanced exam and materials coverage. You can find detailed information about vision
coverage in the NCFlex enrollment booklet on pages 18-20.
Cancer Insurance
Allstate Workplace Division (American Heritage Life Insurance Company) provides cancer
insurance under the NC Flex program. There is a new option called the Premium Option, which
provides a higher level of benefit coverage. You can find detailed information about the cancer plan
in the NCFlex Enrollment Booklet on pages 24-26.
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NCFlex Benefit Plans and Rates
United Concordia Dental Plan Monthly Rates
High Option Low Option
Employee Only
$33.26
$18.98
Employee and Spouse
$66.74
$38.28
Employee and One Child
$64.02
$36.74
Employee and Two or More Children
$80.92
$46.82
Family
$117.82
$65.54
ING Voluntary Group Term Life Insurance
You can elect life insurance coverage in increments of $10,000. A minimum of $20,000 of coverage is
available up to a maximum of $500,000 of coverage. The following chart outlines the cost of coverage per
$1,000 increments based on age.
Your Age
Monthly Rates*/
$1,000 Coverage
Under 24............................................................................ $0.049
25-29............................................................................... $0.059
30-34............................................................................... $0.079
35-39............................................................................... $0.089
40-44............................................................................... $0.139
45-49............................................................................... $0.198
50-54............................................................................... $0.337
55-59............................................................................... $0.564
60-64............................................................................... $0.840
65-69............................................................................... $1.730
70-74............................................................................... $2.520
75 and above......................................................................... $2.520
AC Newman & Company Accidental Death & Dismemberment Insurance
The amount of insurance you purchase is called the principal sum. Example benefit amounts include:
Principal
Cost for Employee Only
Cost for Employee/
Family
$50,000...............................................................................$0.96................................................ $1.50
75,000................................................................................$1.42................................................ $2.26
100,000...............................................................................$1.90................................................ $3.00
125,000...............................................................................$2.38................................................ $3.74
150,000...............................................................................$2.86................................................ $4.50
175,000...............................................................................$3.32................................................ $5.26
200,000...............................................................................$3.80................................................ $6.00
250,000...............................................................................$4.76................................................ $7.50
300,000...............................................................................$5.70................................................ $9.00
350,000...............................................................................$6.64............................................... $10.50
400,000...............................................................................$7.60............................................... $12.00
500,000...............................................................................$9.50............................................... $15.00
NCFlex rates for Vision, Cancer and Critical Illness plans
are outlined in the NCFlex enrollment booklet.
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University Benefit Plans and Rates
Assurant Dental Plan Monthly Rates
Employee Only
$36.90
Employee and Spouse/Domestic Partner
$69.00
Employee and Child(ren)
$71.42
Employee and Family
$103.52
MetLife Voluntary Group Term Life Insurance
You can elect life insurance coverage in increments of one to five times your annual salary, up to a
maximum of $500,000 of coverage. The following chart outlines the cost of coverage per $1,000
increments based on age.
Your Age
Monthly Rates*/
$1,000 Coverage
Under 30............................................................................. $0.05
30-34................................................................................ $0.05
35-39................................................................................ $0.06
40-44................................................................................ $0.08
45-49................................................................................ $0.14
50-54................................................................................ $0.23
55-59................................................................................ $0.39
60-64................................................................................ $0.68
65-69................................................................................ $1.23
70 and above.......................................................................... $2.20
MetLife Dependent Life Insurance Coverage
Coverage
Cost
Spouse/Domestic Partner..............................................$10,000.............................................. $2.66
Child(ren)...........................................................................$8,000......................................$0.54 (per child)
*Rates are guaranteed until February 28, 2010.
Reliance Standard Voluntary Accidental Death & Dismemberment Insurance
The amount of insurance you purchase is called the principal sum. Example benefit amounts include:
Principal
$10,000
20,000
25,000
30,000
50,000
75,000
100,000
150,000
200,000
250,000
300,000
400,000
500,000
Employee Under 75
$0.20
$0.40
*
$0.60
$1.00
*
$2.00
$3.00
$4.00
$5.00
$6.00
$8.00
$10.00
Spouse/Domestic Partner
$0.20
$0.40
*
$0.60
$1.00
*
$2.00
$3.00
$4.00
$5.00
$6.00
*
*
Each Child
$0.20
$0.40
$0.50
*
$1.00
$1.50
*
*
*
*
*
*
*
* Coverage level not available
Note: If you are electing coverage for a domestic partner, please complete
an Affidavit of Domestic Partnership, available on the OHR Web site.
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Enrolling Made Easier
Enrolling for benefits for 2009
is simpler than ever!
You do not need to enroll if you want to keep your 2008 benefits and coverage
levels the same for 2009 and do not want to enroll in a flexible spending account.
You do need to enroll if you want to participate in the flexible spending
accounts or if you want to elect coverage, cancel coverage or make changes to
your benefit and/or coverage levels.
To enroll or make changes visit the University’s enrollment Web site at http://hr.unc.edu/Data/
benefits/enroll.
NCFlex Benefit Program
For NCFlex benefits, select the link to the NCFlex Online Enrollment site (www.ncflexonline.org).
The online enrollment tool is available from any computer with Internet access.
In addition to the online enrollment tool, telephone enrollment is also available. Please call 888-8606118 (Monday through Friday, 8 a.m. – 8 p.m.). Interpreters are available via phone for more than
30 languages, including Spanish and Burmese.
Paper enrollments will NOT be accepted for the NCFlex benefit program for 2009.
University Benefit Program
For University benefits (MetLife, Reliance Standard and Assurant Dental) coverage, go to the
OHR enrollment Web site and select the link to the plan(s) you want to enroll in, print the form and
send to Benefit Administration by November 3, 2008. Forms can be sent via interoffice mail to
Campus Box 1045 or by mail to 104 Airport Drive, Chapel Hill NC 27599. For your convenience a
green drop box marked “Benefit Administration” is located at the front doors of the Administrative
Office Building so forms can be dropped off after business hours during the enrollment period.
Assistance from the Office of Human Resources
Benefits specialists in the Office of Human Resources will be available to provide enrollment assistance and to answer questions you may have about any of these benefit plans during the enrollment
period. If you have any questions, please call the Benefits Office main line at 919-962-3071.
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Notes
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Notes
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