STRIKE 2005

Daily Update - Local Lodge 2766

26 Nov 2005

FOR IMMEDIATE RELEASE

Health Insurance Alternatives

Recognizing the plight of so many Machinist families across the country with layoffs and job losses, Employee Benefit Systems, Inc., the Machinist worksite, supplemental benefit provider nationwide, has finalized arrangements for temporary and permanent individual major medical policies for Machinists and their families.  EBS has put together three options for high deductible medical plans underwritten by FORTIS and available in more than 40 states nationwide.  Information and application material for all of these plans is available by calling Employee Benefit Systems at 888-521-2900.

Read More About Employee Benefit Systems

Contact Department of Employment Services 1-301-967-4717

Services in Your State

Many states offer families a variety of options for getting health care services.  These options are funded through Medicaid and are administered by the county Department of Jobs and Family Services/Department of Human Services.  The name of the Department varies from state to state.  Some states refer to this program as “Healthy Start” others as “CHIPS”.  Families must be made eligible based on income, which also vary from state to state.  Healthy Start and Healthy Families offer free & low cost health care coverage to families, children (up to age 19) and pregnant women.  Coverage includes: doctor visits, hospital care, pregnancy related services, prescriptions, vision, dental, substance abuse, mental health services and much more.  Contact your local state Medicaid office for information, or call
1-877-KIDSNOW.

www.insurekidsnow.gov

Other Alternatives for Health Insurance

The following website offers resources and alternatives for Health insurance.  These are offered for your information and to assist you in comparing plans. 

·        Office Links to your state

·        Cobra alternatives

·        IRA Rollovers

www.medsave.com

www.ushealthadvisors.net/usaplus2

Be sure and contact your District or Local Lodge or Business Representative to learn of other alternatives that you can explore locally.

Key Questions to ask your insurance provider before purchasing Insurance, so you can avoid unpleasant surprises when you have a claim.

·        What is not covered in the plan?  These are called “exclusions”.

·        Does the plan have a deductible that you must pay for each claim?  What is the maximum deductible?

·        Are there other charges or “co-payments” that you are responsible to pay?

·        What is the worst case “out-of-pocket” amount that you could be responsible to pay?

·        What is the maximum coverage per day or lifetime?

·        Does the plan deny benefits if your medical problem arises because of a health problem you already had when your policy started?  (This is called “pre-existing” condition).

·        Does the plan require you to determine-by yourself-whether you meet the insurance company’s health standards before you can buy?

·        How long is the premium rate guaranteed?  What are the renewal guarantees?

·        Are there specific exclusions that pertain to sport or other activities?

Health Insurance

Exploring my Alternatives

An Overview on COBRA

COBRA coverage works like this: Most workers who are laid off are allowed to remain in their employer-based health plan for up to 18 months, provided they pay the full premium (their share plus the employer share) and a small administrative fee. The problem is, the full premium for employment-based coverage averages about $200 per month for individual coverage ($2,400 a year) or almost $575 per month ($7,000 a year) for family coverage. Since COBRA coverage is very expensive, many laid-off workers choose to remain uninsured, gambling that they won''t get sick before they find another job. However, workers who already have a chronic health condition generally accept COBRA coverage, despite the high cost. Otherwise they would have no protection against high medical bills they know they will face. 

In the jargon of health insurance, employers offering COBRA coverage experience "adverse selection," that is, healthier than average ex-workers decline the continuing coverage sicker than average workers accept. Even though the workers who accept coverage pay the full premium, their costs are actually higher than average, which drives up the premium for the employer''s whole group. That''s why employers dislike the COBRA requirement: even though only a small fraction of ex-employees accept the coverage, it still drives employers'' health costs up.

How a Tax Credit for COBRA Could Work 

The reason employment-based health coverage works is because most employees -- the healthy as well as the sick -- sign up for coverage. Most employers pay at least a 50 percent share of the total premium to encourage just such a result; furthermore, the tax code encourages employers to pay a large share of the premium by making the employer share tax-free to the employee. However, the tax code does not subsidize COBRA coverage. A new  tax credit for COBRA coverage is the key to making COBRA coverage affordable for workers and preventing it from driving up health costs for employers.

You have 60 days from the date you receive notice about your right to elect COBRA coverage or from the date when coverage has ended (whichever is later) to elect COBRA coverage.