Benefits Open Enrollment: April 14—April 25	Print Issue
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Benefits Open Enrollment (your annual opportunity to make changes to your healthcare elections) is right around the corner, and we want to give you plenty of time to consider what healthcare options will work best for you in the new plan year. This year’s Open Enrollment period will run from Monday, April 14 through Friday, April 25. Visit www.hr.upenn.edu/myhr/benefits/health/open-enrollment for more details.

What’s Changing as of July 1, 2014

Please take note of the following changes for the 2014–2015 plan year:

Health Care Flexible Spending Account Rollover

Effective with the current plan year, you are able to roll over up to $500 of the money in your Health Care Flexible Spending Account (FSA) if you don’t spend it all within the plan year.

As part of the Affordable Care Act, the IRS has relaxed the normal “use it or lose it” rule. Now, instead of losing all unspent money in your Health Care FSA at the end of the plan year, you’re able to protect up to $500 by rolling it over to the following year. Note that rolling over funds does not impact your maximum election for the following plan year.

Keep in mind that this new rule only applies to the Health Care FSA. Participants in the Dependent Care FSA cannot roll over any unused funds.

The $500 rollover rule is effective with the current plan year. That means if you’re currently enrolled in the Health Care FSA (for the 2013-2014 plan year ending June 30, 2014), you can roll over up to $500 of unused expenses to the 2014-2015 plan year.

Prescription Drug Formulary Changes

As of July 1, 2014, some prescription drugs will no longer be covered on Penn’s approved formulary. Express Scripts, Penn’s prescription benefit manager, constantly reviews and compares medications to provide participants with access to a range of proven drugs for every health condition. An independent panel of doctors and pharmacists maintains a list—called a formulary—to ensure that the drugs included are the most clinically appropriate and cost-effective possible. Some medications may be removed from the formulary when other safe and effective alternatives are available.

If any of the medications you and/or your dependents currently take will no longer be covered, you will receive a direct communication from Express Scripts letting you know how this will affect you and what actions you should take. While Penn’s prescription drug benefit will no longer cover the cost for those medications, clinical alternatives will be included on the revised formulary. For more information, please call Express Scripts at 1-877-621-8798 or visit http://Express-Scripts.com

Updates for Independence Blue Cross Participants

Independence Blue Cross is upgrading to a new business platform that will provide a better member experience. The member website will be easier to use, with enhanced health and wellness tools and information.

Participants currently enrolled in the PennCare/Personal Choice PPO plan or the Keystone Health Plan East HMO plan will receive a new ID card and a new member number. Look for your new card in mid-June. To ensure that your claims are processed correctly, it’s very important that you present this new card and ID number to all your medical providers. Please be sure to destroy your old card as soon as you receive the new one.

Participants currently enrolled in the PennCare/Personal Choice PPO plan will see a redesigned Explanation of Benefits (EOB) when you have a claim and payment is due. The new EOB will provide the same information you currently receive, but in a more user-friendly format. You will have the option to receive your EOB either electronically (via the member portal or email) or through the mail.

Name Change for Penn Faculty Practice Dental Plan

The Penn Faculty Practice dental plan is changing its name to the Penn Dental Plan. The office locations will remain the same but the names will change slightly:

Penn Dental Locust Walk (at the Robert Schattner Center), 240 S. 40th Street

Penn Dental University City, 3401 Market Street

Penn Dental Bryn Mawr, 711 Lancaster Avenue

Please note that there will be no changes to the dental benefits.

New Benefits Enrollment System

You may notice that the benefits enrollment system looks different from the last time you used it. That’s because it’s been upgraded to make it more efficient and easier to navigate. While the look has changed, the functionality is still the same—you always have year-round access to review and update your benefit elections.

Open Enrollment Presentations

Starting March 27, we’re offering presentations on campus so you can ask questions and get more information about your options for the 2014-2015 plan year. Presentations will begin at the times and locations listed below; they’ll run for 45 minutes followed by a Q&A session. Join us to learn more about this year’s Open Enrollment period!

Open Enrollment Fairs

Get more information about the 2014–2015 Open Enrollment period at this year’s Open Enrollment fairs. Representatives from Penn’s healthcare providers and administrators will be onsite to share information and answer questions. Learn about medical plans, prescription drug coverage, dental plans, vision coverage, flexible spending accounts and the Penn Benefits Center. At the Open Enrollment and Health Fair at Houston Hall on Wednesday, April 23, you can also take advantage of free health screenings and wellness information on several topics.

New Rule: $500 Rollover for Health Care FSA

If you’re a Health Care Flexible Spending Account (FSA) participant, we have good news for you! Effective with the current plan year, you can roll over up to $500 of unused funds in your account to the following plan year.

Thanks to recent guidance from the Internal Revenue Service (IRS), Penn is allowed to relax the normal “use it or lose it” rule. Now, instead of forfeiting all unspent money in your Health Care FSA at the end of the plan year, you’re able to protect up to $500 by rolling it over to the following year.

The $500 rollover rule is effective with the current plan year. That means if you’re currently enrolled in the Health Care FSA (for the plan year ending June 30, 2014), up to $500 of unused expenses will automatically roll over to the 2014-2015 plan year.

Here’s an example of how it will work: Let’s say you contribute $2,500 to your Health Care FSA in the 2013-2014 plan year. But you only incur $1,900 in qualified medical expenses by June 30, 2014. At the end of the plan year, you have $600 left in your account. Rather than losing the entire $600, you’ll only forfeit $100. The remaining $500 will automatically roll over to the 2014-2015 plan year.

Keep in mind that this new rollover rule only applies to the Health Care FSA, which lets you use pre-tax money to pay for qualified healthcare expenses. Participants in the Dependent Care FSA cannot roll over any unused funds. Note that rolling over funds does not change the maximum Health Care FSA amount you can elect for the following plan year. You can continue to contribute up to $2,500 each plan year ($1,000 if you’re part-time).

If you haven’t participated in the Health Care FSA because you were intimidated by the “use it or lose it” rule, now’s the time to rethink it. Benefits Open Enrollment for the 2014-2015 plan year is coming up in April, so take some time now to consider if the Health Care FSA is right for you.

For more information, contact the Penn Benefits Center at 1-888-PENNBEN (1-888-736-6236).

—Division of Human Resources

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