March Headlines

COBRA subsidy requirements
Register for the 2009 Purchaser Symposium
HealthPartners Mail Order Pharmacy earns rare safety certification
New EAP Essentials for small employers
Nico Pronk is editor of book on worksite health improvement

COBRA subsidy requirements
In February 2009, the American Recovery and Reinvestment Act of 2009 was signed into law. This new law includes a 65% Federal subsidy for COBRA premiums for up to nine months.

There are different rules for the subsidy depending on your total number of employees (not only full-time or benefit-eligible). By law, the subsidy is administered differently depending on whether your company is covered by Federal COBRA law or state continuation law.

• If you have 20 employees or more you are most likely covered by federal COBRA law and will need to administer the subsidy and collect the subsidy reimbursement through a payroll tax credit.
• Employers with 20 or more employees must allow a special election for individuals involuntarily terminated back to September 1, 2008, who previously declined COBRA or took COBRA but subsequently dropped it. If the individual elects COBRA coverage during the special election period, the coverage will begin on March 1, 2009.
  
  
• If you have fewer than 20 employees you are covered by state continuation law and HealthPartners will cover the subsidy and collect the reimbursement.
• Currently, the special election period for those who previously declined continuation coverage cannot be offered to groups that are fewer than 20 employees and covered by state continuation law unless action is taken at the state level to allow such special election.
• If our records show that you may have fewer than 20 employees, HealthPartners will be contacting you within the next week to collect the information needed to process the subsidy.

Key COBRA subsidy information in this law includes:

• Except as explained above, the nine-month subsidy is available for medical and dental coverage beginning on March 1, 2009 for individuals who are involuntarily terminated from September 1, 2008 through December 31, 2009.
• Individuals cannot receive reimbursement for premiums they paid for coverage prior to March 1, 2009.
• The subsidy is 65% of the amount you normally bill for the premium.
• An individual is no longer eligible for the subsidy on the date they become eligible for other health plan coverage.
• The Federal subsidy went into effect on March 1, 2009. There is a 60-day window to reimburse or credit after enactment to give employers and insurers time to put the process in place.

To learn more, review HealthPartners list of Frequently Asked Questions (FAQs). This information will continue to be updated at healthpartners.com/employer as we learn more about the subsidy. If you have any additional questions, please contact your HealthPartners sales executive or your broker.

Improving AFFORDABILITY is the CENTER OF FOCUS

With today’s economic challenges, it’s more important than ever to get the most out of your healthcare dollars. Please join us to discuss practical and substantive approaches to address both the cost and quality of healthcare.

Tuesday, April 28, 2009
10:30 a.m. Registration and displays
11:30 a.m. Lunch
12:00 to 2:30 p.m. Program

Location
Saint Paul RiverCentre
199 Kellogg Boulevard West
Saint Paul, Minnesota 55102
RiverCentre.org

RSVP
Reserve your seat at healthpartners.com/symposium
by April 17, 2009.

Featured Speakers

	Terry Fitzgerald Senior Economist, Federal Reserve Bank of Minneapolis Terry Fitzgerald will discuss the current state of the economy and what it means for healthcare.
	Mary Brainerd President & Chief Executive Officer, HealthPartners Mary Brained will share what HealthPartners is doing to address affordability.

Employer Panel
Hear practical ideas from organizations that have taken action to control healthcare costs and learn about additional strategies they plan to implement.

The panel will include:

Jack Arland, Director, Global Benefits, 3M
Rachel Sherman, Manager of Employee Benefits, Anchor Bank
Jill Hamilton, HealthWorks Manager, Hennepin County
John Smylie, Chief Administrative Officer, SMDC Health System

RSVP today at healthpartners.com/symposium

HealthPartners Mail Order Pharmacy earns rare safety certification
HealthPartners is one of only 16 mail order pharmacies in the country to earn a safety seal of approval from the National Association of Boards of Pharmacy. To earn the certification, called the Verified Internet Pharmacy Practice Sites (VIPPS), a pharmacy must demonstrate compliance with state licensing and inspection requirements and meet VIPPS’ standards for quality, safety and confidentiality.

Encouraging use of Mail Order Pharmacy – particularly for chronic medications – is one of the most effective ways to capture cost savings for both employers and employees. On average, Mail Order saves over $5 per prescription, per month.

New EAP Essentials for Small Employers
An employee’s personal concerns can affect workplace performance, cost money in lost time and wages, as well as contribute to increased healthcare claims. In fact, according to the CCH’s Unscheduled Absence Survey, “At least 20 percent of employees who call in sick are actually suffering from stress associated with life issues, rather than illness.” That’s why we’re introducing HealthPartners new Employee Assistance Program (EAP) Essentials for small group and EZ plan groups with less than 100 employees. 

This program offers members support for a broad range of issues including stress, finances, legal concerns, child and elder care issues, work conflict and support for employees and managers. HealthPartners standard EAP program has demonstrated a 67 percent improvement in absenteeism, a 55 percent increase in productivity and lower employee turnover rate for those who use the program.

Learn more about HealthPartners EAP Essentials or the standard EAP, please contact your HealthPartners sales executive or your broker.

Nico Pronk is editor of book on worksite health improvement
A new book on health at work offers a step-by-step guide to implementing a highly effective worksite health program. The book’s editor and co-author is Nico Pronk, PhD, HealthPartners vice president of health management and JourneyWell health science officer.

The American College of Sports Medicine’s new ACSM’s Worksite Health Handbook: A Guide to Building Healthy and Productive Companies second edition, connects health promotion research and best practices. The book compiles the contributions of nearly 100 of the top researchers and practitioners from Canada, Europe and the United States including several HealthPartners leaders.

The new handbook connects worksite health research and practice. It offers health promotion professionals the information, ideas and approaches to provide affordable and sustainable solutions for the organizations they serve. Learn more about ACSM’s Worksite Health Handbook at humankinetics.com.