2012-13 BENEFITS & Retirement Orientation

1. 2012-13BENEFITS & RetirementOrientation Regular Faculty

2. CMU Choices Benefits • Health Plans • Medical & Prescription Drug* • Dental* • Vision* • Life & Disability • Employee Term Life* • Long Term Disability* • Short Term Disability* • Spouse/OEI Term Life^ • Child Term Life^ • Flexible Spending Accounts (FSA) • Health Care Account* • Dependent Day Care Account* *Pre-Tax Benefit ^Post-Tax Benefit

3. Plan Year & Open Enrollment • CMU Choices Plan Year: July 1st – June 30th • For New Hires: • All benefit elections effective through 6/30/2013 • 2012-13 is the first year of a 2-year dental enrollment cycle • Open Enrollment: • Typically held the first two weeks of May • Changes to benefit elections take effect July 1st of the new plan year

4. Coverage Effective Dates

5. Qualifying Status Changes • Status change form must be completed and received by Benefits office within 30 daysof the event. • Qualifying Status Change Events: • Retrospective: • Birth, adoption, or placement of adopted a child • Coverage is effective back to the date of event • Prospective: • Marriage, divorce, loss of dependent status, unpaid leave of absence, etc. • Coverage is effective as of the next available pay period Contact the Benefits & Wellness office with any status change questions: 989-774-3661 or benefits@cmich.edu

6. New Hire Online Enrollment • You must enroll in benefits online within 30 daysof hire date. • Revisions permitted until your deadline • Changes to elections previously entered may impact your coverage and/or your payroll deductions • After your deadline has passed, you will not be able to change your benefit elections until the next open enrollment period or within 30 days of a qualifying status change event • Benefit elections not entered after the deadline, will be automatically enrolled into: • MESSA Choices II-single; 1x salary EE life; 67% LTD • No Coverage for dental, vision, STD, dependent life, and FSA

7. Spouse/OEI Eligibility • Other Eligible Individual(OEI) • Must complete an OEI designation form • Will be taxed on the full premium of the OEI (and OEI dependents) coverage • Spouse/OEI eligible for • Medical & Prescription Drug • Dental • Vision • Life • If spouse/OEI also works at CMU • Both employees cannot cover each other and/or children on medical & prescription drug, dental, or vision plans • Both employees may take dependent life coverage for each other and/or dependents

8. Child Eligibility • Children, Step-Children, or Children of OEI eligible for • Medical & Prescription Drug • Dental • Vision • Child Life • Eligible from birth through the end of the calendar year of the child’s 26th birthday • Coverage for children who were disabled prior to age 19 may be available past age 26 if certain criteria are met. See link below for more information.

9. Medical/Prescription: MESSA • Mandatory Benefit • Choices II • Preferred Provider Organization (PPO) • Community Blue Network (BCBS) • Provider Locator: www.messa.org • SuperCare1 • Traditional Plan - May use any BCBS provider (no referrals needed) • No Coverage - Employee must elect at least single level medical coverage unless he/she is covered elsewhere

10. MESSA Plan Comparison:

11. MESSA Plan Comparison:

12. Prescription Drug Coverage: for both Choices II & SuperCare1 plans • University Health Services Pharmacy • Prescriptions filled for CMU faculty, staff, & dependents • Confidential service, online refills & on-campus deliveries

13. Additional MESSA Information: • MESSA group application form AND MESSA/Cigna beneficiary form must be completed and returned to benefits office for online enrollment to be effective • Includes $5,000 group term life insurance coverage • Unlimited lifetime benefit maximum • Calendar year for processing deductibles & co-pays • Will receive separate card from MESSA

14. Dental: Meritain Health • Voluntary Benefit • D 100/50/50 • D 100/75/50/50 • No Coverage • Two-year dental election • 2012-13 is 1st year of 2-year dental cycle – election binding thru June 30, 2014 • Optional Dentemax network • www.dentemax.com • Pre-authorization recommended for services over $200. • Plan year deductible, co-pay, and plan maximum (July – June) • Will receive a separate card from Meritain Health

15. Dental Plan Comparison:

16. Vision: EyeMed • Voluntary Benefit • Vision 20 plan • No Coverage • In-network providers: • www.eyemedvisioncare.com • Choose ‘Access’ network • After exhausting benefits, the discount on additional eyewear is 40% • Plan year co-pay and allowance (July – June) • Lasik information: • Call 1-877-552-7376

17. Vision Coverage:

18. Term Life Insurance: The Hartford • Mandatory Benefit • 1.0 x Salary • 1.5 x Salary • 2.0 x Salary • 3.0 x Salary • 4.0 x Salary* • Includes core life and AD&D • Core life reduces 50% at age 70 • Additional support available at: www.HartfordLifeConversations.com • Term life insurance does not have cash value. Policy ends on termination date. *Evidence of Insurability paperwork must be completed and submitted to The Hartford for approval

19. Long-Term Disability: The Hartford • Mandatory Benefit • 67% of monthly earnings to $6,000 max • Coverage begins after 180 calendar days of being prevented from performing the essential duties of your occupation due to an injury or illness • Accrued sick time/vacation time may be used until approved for LTD (see contracts) • Waiting period for pre-existing conditions

20. Short Term Disability: The Hartford • Voluntary Benefit • 50% of weekly earnings to $900 max • 67% of weekly earnings to $1,200 max • No Coverage • Coverage begins after 45 calendar days of being unable to work due to an injury or illness • Per contract, Regular Faculty have access to the Sick Leave Bank, which is designed to cover all but extreme short-term disability situations

21. Spouse/OEI Life: The Hartford • Premiums based on spouse/OEI’s age July 1st • Coverage ends at the end of the plan year in which spouse/OEI turns age 70 • Terminal Illness Benefit: 80% of benefit may be paid for spouse/OEI with less than a 12 month life expectancy • Voluntary Benefit • $10,000 • $25,000 • $50,000 • $75,000* • $100,000* • No Coverage *Evidence of Insurabilitypaperwork must be completed and submitted to The Hartford for approval

22. Child Life Insurance: The Hartford • Voluntary Benefit • $10,000 • $25,000 • No Coverage • Flat premium rate regardless of number of children covered

23. Flexible Spending Accounts (FSA): Benefit Consulting Group • Voluntary Benefit • Health Care FSA • Dependent Day Care FSA • IRS Rules: • Fund balances are non-transferrable between plans • Any leftover money will be forfeited • Reimbursement Process: • Debit card option • Keep/reuse card (3 years) • Keep receipts • Paper form option • Submit forms with receipts to Benefit Consulting Group (BCG) • Must have separate direct deposit form on file with Benefit Consulting Group

24. Flexible Spending Accounts (FSA):

25. University Retirement Plans CMU CONTRIBUTION Defined Contribution Plan Immediate vesting Pension based on accrued earnings Pre-enrolled in TIAA-CREF Life Cycle Fund Defined Benefit Plan 10-year vesting period Pension based on formula Eligible only if worked at certain Michigan Universities prior to 1/1/96 Michigan Public Schools Employees Retirement System (MPSERS) 403(b) Basic Retirement Plan TIAA-CREF FIDELITY

26. 403(b) Basic Retirement Plan • CMU contributes10% of earnings • No contributions or matching requirement by employee • University contributions are effective date of hire • Pre-enrollment into TIAA-CREF life cycle fund effective with first pay • At any time you may: • Change the investment fund option with TIAA-CREF, and/or • Elect to invest part or all of the university contribution with Fidelity Investments. • You are strongly encouraged to discuss your retirement investment options with a TIAA-CREF and/or Fidelity Investments counselor.

27. Tax-Deferred Investment Plans EMPLOYEE CONTRIBUTION Voluntary Plan Loan provision with TIAA-CREF only Distribution without penalty at age 59 ½, even if still working at CMU Taxes applied at time of withdrawal Voluntary Plan No loan provision Distribution without penalty after separation from CMU employment Taxes applied at time of withdrawal 403(b) Supplemental Tax-Deferral Plan 457(b) Public Deferred Compensation Plan TIAA-CREF FIDELITY TIAA-CREF

28. Tax-Deferred Investment Plans • All contributions made by the employee as a % of earnings - minimum $25 per pay on 457(b) • Salary reduction agreement form must be completed and returned to Benefits office • Vendor application must also be completed for TIAA (online) or Fidelity (paper) • Maximum employee deferrals for 2012: • $17,000 for employees under age 50 • $22,500 for employees age 50+ • May defer up to maximum in both 403(b) and 457(b)

29. StraightLine Advisors • StraightLine Advisors • Independent investment research firm • Pro(b) • ProAdvice • Fees based on CMU retirement balance • Free if CMU balance under $5,000 • Contact to learn about upcoming events or to schedule an individual meeting www.myRplan.com/cmu Phone: 877-338-4032 email: info@myRplan.com

30. Additional Benefits • Tuition Benefit Plan • 24 credits per year • Eligible: employee, spouse, dependents, OEI, dependents of OEI • Taxation: • Grad and Dr. level classes for spouse and dependents • Grad and Dr. level classes for employee exceeding $5,250 • All classes for OEI and their dependents • Discount Programs • CMU Discount Card • Use CMU ID for local discounts • YouDecide • Save on a variety of merchandise/services nationally • Visit Discounts website for more information

31. Additional Assistance: HR - Benefits & Wellness 108 Rowe Hall 989-774-3661 benefits@cmich.edu CentralLink.cmich.edu – then search keyword “Benefits”