Faculty Benefits Committee Meeting
Minutes, February 18, 2004
12:30 – 2:00
The following committee members were present: Michael Elliott, Blair Funderburk, John Grovenstein, Jean Hudgins, and Gayle Warren.
Blair provided a first-cut assessment of long term care policies, with general overviews of policies carried by MetLife, UnumProvident, CAN, Prudential, Lincoln Benefit and TIAA-CREF. The only major provider of Long Term Care excluded from the analysis is John Hancock, which does not have a local office.
The Benefits Committee reviewed this information and discussed its implication. The first 4 are group policies, while the last two are individual policies. All have excellent to superior ratings, allow for 90 day waiting periods, allow for benefit durations of 5 or 6 years, require 2 of 6 ADLs (activities of daily living) to qualify for benefits, provide for full portability, and allow for compound inflation of benefits at 5% per year. In all cases, the issue rates can be higher than the $140/day policies that that Benefit Committee targeted for the analysis. All group policies offer guaranteed issue during the first 30 days of employment or at the start of the program; individual policies do not offer this guarantee.
The majority of claims come from home health care benefits. Policies can be tax qualified (benefits are not taxable) if the plan requires a 90 day waiting period with active disability. Policies can be continued by individuals if Georgia Tech drops the company or changes companies.
Gayle and Michael will conduct a financial analysis of these policies, based on plan preferences discussed at the last meeting and the average cost of policies presented today. They will report their results next month.
No new information. Discussion postponed until next meeting.
Blair passed out a group vision plan comparison. Three policies were compared. All had similar rate and benefit structures.
John is conducting a survey of the domestic partner benefits of 20 peer universities. He will complete this before the next meeting.
The next meeting will be on Wednesday, March 24 from 4:00 to 5:30. Future agenda items include self-service benefits (e.g., web-based benefits options enrollment and other paperless benefits such as electronic pay stubs).