2018 EMPLOYEE BENEFITS INFORMATION

Transcription

1 2018 EMPLOYEE BENEFITS INFORMATION

2 UMPHYSICIANS BENEFITS PLAN UMPhysicians is pleased to offer our employees a flexible and comprehensive benefits package that is designed to get at the heart of unique healthcare needs. We focus on providing a range of valuable options so that you can confidently choose the plan that will work best for you and your family. The benefits program is an important part of your compensation, adding significant value to your total rewards that go beyond salary. These benefits help promote physical and financial well-being. In addition to standard benefits like healthcare insurance, retirement benefits, life and disability insurance and paid time off, you also have access to fitness discounts, transportation subsidy, an employee assistance program and more. We are committed to providing the resources needed to help you fully understand the benefits options available. Please take advantage of these tools and make it a priority to be well-informed so you can create a plan that will best take care of you and your loved ones, as well as help you get the most out of your healthcare dollars. Having a valuable benefits offering is an important way for us to continue to attract and retain the talented employees needed to deliver on our strategic priorities, and bring our driving principles of Experience, Excellence and Engagement to life. We are committed to making UMPhysicians a rewarding place to work, and thank you for all you do each day for our patients and their families. Best, Nick Nyhus Vice President Human Resources

3 TABLE OF CONTENTS Contact Information...1 Health Coverage Dental Coverage...5 Vision Coverage...6 Health Savings Accounts...7 Flexible Spending Accounts...7 Life and Accidental Death & Dismemberment (ADD) Coverage...8 Disability Coverage...9 Retirement Savings and 401(k)...9 Flexible Time Off...10 Transportation...10 Additional Benefits... 11

4 CONTACT INFORMATION 1 For General Benefits and Payroll Information, including Tuition Reimbursement, Parking and Fitness Discount Programs Phone: (612) benefits@umphysicians.umn.edu payroll@umphysicians.umn.edu For Additional Information: resource intranet page (HR/benefits) For Health, Dental and Vision Insurance Information Medica (855) General Information Website: welcometomedica.com/ump Website: Find information about your own claims; and information about prescription drugs. Registration is required. Delta Dental (800) Website: Find a dentist and look up claim and coverage information. Vision Service Plan (800) Website: For Reimbursement Account Information Select Account (800) Health Savings Account (HSA) Flexible Spending Account (Medical and Dependent Care) Website: Access your account information. For Employee Assistance Programs Vital WorkLife (800) Call 24 hours a day for free, confidential professional support for personal and work issues. Website: For Identity Theft Coverage ID Watchdog (866) Website: For Disability and/or Life Insurance Information UNUM (866) Website: To file a disability claim or Family Medical Leave Claim For Back-Up Care Bright Horizons (877) Website: To Enroll for Healthcare, Dental, Optional Life Insurance, Vision, and ID Theft Coverage umphysicians/login.htmld For Workday log in assistance and password resets, contact the UMP IT Service Desk at , or support.ostmgds.com. For 401(k) Information Merrill Lynch (800) Enroll in the plan, change contribution amounts, etc. Website: Access your account, set up or change a contribution amount, view account balances, review fund performance information and perform account transactions.

5 HEALTH COVERAGE 2 CUSTOMIZE YOUR CARE Healthcare needs are unique. As you think about your options for 2018, focus on the following three key decision points to help you customize your care to best fit you and your family s needs. Step 1: Pick Between Two Types of Quality Health Plan Designs: HSA and PPO (through Medica) Deductible Coinsurance HSA Deductible Coinsurance Premium Premium The High Deductible Health Plan with Health Savings Account (HSA) brings value through lower biweekly premiums and has the added benefit of including UMP contributions to the HSA (see additional information below). The Preferred Provider Plan (PPO) includes office visit and pharmacy copays which are convenient for some. These positive features need to be weighed against the added cost of higher biweekly premiums. Step 2: Select Among Three Provider Network Options.Network options include Medica Choice Passport and two Accountable Care Organizations (ACOs): VantagePlus and Park Nicollet First. o.the Medica Choice Passport network is an open access network that includes more than 680,000 physicians and 5,300 hospitals nationwide. However, the biweekly premiums are higher than the other two ACO networks. o.each ACO network has its own set of providers and hospitals. They are narrower in breadth than the Medica Choice Passport, but provide excellent options in certain geographic areas and high quality, coordinated care at a lower biweekly cost. Log onto to learn more about which providers and hospitals are in each network. Step 3: Determine the Deductible and Out-of-Pocket Maximum UMP offers three High Deductible Health Plan options (HDHP plans) and two PPO plans.! It s important to remember that UMP also contributes to the cost of your coverage, paying 80% of the premium cost (you pay 20%). In addition, UMP contributes to those enrolled in the High Deductible HSA Plan by making biweekly deposits to HSA accounts. Employee Only Employee + 1* Family Annual UMP Health Savings Account Contribution $750 $1,250 $1,250 Biweekly UMP Health Savings Account Contribution *An Employee + 1 is considered an employee and either a spouse or child. $28.85 $48.08 $48.08

6 HEALTH COVERAGE 3 HEALTHCARE PLANS UMPhysician s offers you the choice of five healthcare plans. Each plan provides 100% coverage for preventive care, including physical exams, well-child care, immunizations and routine eye exams when in-network providers are used. Coverage is provided by Medica (including pharmacy coverage). The healthcare options include a range of providers (ACOs), and include different rates, deductibles, copays and out-of-pocket maximums. For a list of covered services, see the Summary of Benefits and Certificates of Coverage located on resource, and also available on the welcometomedica.com/ump website. To be eligible for healthcare coverage, you must be a.5 FTE or greater. Temporary, contract, and casual employees are excluded. Coverage is effective on the 1st day of the month following your date of hire. If you are hired on September 3, your coverage is effective on October 1, for example. If you have a Qualified Life Event Change, the effective date of the change will be the 1st of the month following the date of change. IN-NETWORK PLAN NAME DEDUCTIBLE COPAY COINSURANCE OUT-OF-POCKET MAXIMUM Employee-Only Deductible Employee + 1 and Family Deductible Office Visits and Prescriptions % Employee-Only Out-of-Pocket Employee + 1 and Family Out-of-Pocket HDHP $2, % $2,250 $4,500 N/A N/A $2,250 $4,500 HDHP $3, % $3,000 $3,000 Individual; $6,000 Combined N/A N/A $3,000 $3,000 Individual; $6,000 Combined HDHP $5, % $5,250 $5,250 Individual; $10,000 Combined N/A N/A $5,250 $5,250 Individual; $10,000 Combined PPO $500-80%-$30 $500 $500 Individual: $1,500 Combined $30 per OV $12/$50/$90 Rx 20% $3,000 $3,000 Individual; $6,000 Combined PPO $2,000-80%-$30 $2,000 $2,000 Individual; $4,000 Combined $30 per OV $12/$50/$90 Rx 20% $4,500 $4,500 Individual; $9,000 Combined OUT-OF-NETWORK PLAN NAME DEDUCTIBLE COPAY COINSURANCE OUT-OF-POCKET MAXIMUM Employee-Only Deductible Employee + 1 and Family Deductible Office Visits and Prescriptions % Employee-Only Out-of-Pocket Employee + 1 and Family Out-of-Pocket HDHP $2, % $3,500 $10,000 N/A 40% $10,000 $20,000 HDHP $3, % $5,000 $5,000 Individual; $10,000 Combined N/A 40% $15,000 $15,000 Individual; $30,000 Combined HDHP $5, % $8,000 $8,000 Individual; $10,000 Combined N/A 40% $20,000 $20,000 Individual; $40,000 Combined PPO $500-80%-$30 $3,000 PPO $2,000-80%-$30 $3,500 $3,000 Individual: $9,000Combined $3,500 Individual; $10,000 Combined N/A 40% $9,000 $9,000 per person N/A 40% $10,000 $10,000 per person

7 HEALTH COVERAGE 4 HEALTHCARE PLANS A good understanding of the following terms will help you make the right decision for your 2018 healthcare coverage. Deductible: A deductible is defined as the amount of covered expense that a member or family must pay each calendar year before healthcare plan benefits begin to pay. Where both an Individual and a Combined deductible (Employee +1 and Family coverage) are listed, two separate deductibles apply the Individual deductible listed applies for one person in the family unit, and the Combined deductible applies for the rest of the covered members in the family. Example: One person meets $500 deductible on the PPO $500-80%-$30 Plan, and begins receiving benefits. The rest of the family members will not begin receiving benefits until the full $1,500 deductible is met, in this case would be an additional $1,000. Copay: A copay is a flat fee that you pay on the spot each time have an office visit or fill a prescription. A copay is only applicable in the PPO Plans. Coinsurance: Coinsurance is a portion of medical cost you pay after your deductible has been met. Out-of-Pocket Maximum: An out-of-pocket maximum is the most you ll have to pay during the calendar year for healthcare services. Once you ve reached your out-of-pocket maximum, your plan begins to pay 100 percent of the allowed amount for covered services. Health Plan Rates Employee-Only Plans Full-Time ( FTE) VantagePlus and Park Nicollet First ACOs Passport Network HDHP $2, % $22 $50 HDHP $3, % $16 $36 HDHP $5, % $7 $14 PPO $500-80%-$30 $61 $87 PPO $2,000-80%-$30 $28 $56 Employee + 1 Plans VantagePlus and Park Nicollet First ACOs Passport Network HDHP $2, % $88 $147 HDHP $3, % $75 $118 HDHP $5, % $39 $65 PPO $500-80%-$30 $171 $225 PPO $2,000-80%-$30 $102 $160 Family Plans VantagePlus and Park Nicollet First ACOs Passport Network HDHP $2, % $134 $223 HDHP $3, % $114 $180 HDHP $5, % $60 $99 PPO $500-80%-$30 $261 $342 PPO $2,000-80%-$30 $155 $244 Employee-Only Plans Part-Time ( FTE) VantagePlus and Park Nicollet First ACOs Passport Network HDHP $2, % $78 $106 HDHP $3, % $72 $93 HDHP $5, % $63 $70 PPO $500-80%-$30 $118 $143 PPO $2,000-80%-$30 $85 $112 Employee + 1 Plans VantagePlus and Park Nicollet First ACOs Passport Network HDHP $2, % $218 $276 HDHP $3, % $204 $248 HDHP $5, % $169 $195 PPO $500-80%-$30 $301 $354 PPO $2,000-80%-$30 $231 $290 Family Plans VantagePlus and Park Nicollet First ACOs Passport Network HDHP $2, % $332 $421 HDHP $3, % $311 $378 HDHP $5, % $257 $297 PPO $500-80%-$30 $458 $540 PPO $2,000-80%-$30 $352 $442 Health Plan premiums will be deducted from you paycheck on a biweekly basis, and will be deducted in any month when coverage is effective, including months where there are three paychecks.

8 DENTAL COVERAGE 5 DENTAL COVERAGE University of Minnesota Physicians provides you with one dental plan option. Summary of Dental Benefits Services/Coverage Comprehensive Plan Diagnostic and preventive* 100% Basic services 80% Endodontics 80% Periodontics 80% Oral surgery 80% Major restorative 50% Prosthetic repairs and adjustments 50% Prosthetics 50% Orthodontics* 50% Annual deductible $50 Annual maximum** $1,500 Orthodontic lifetime maximum $1,500 * Deductible does not apply to diagnostic and preventive or orthodontics. ** Per person. More than 80 percent of the dentists in Minnesota have contracts with Delta Dental. You may see any dentist in the Delta Dental PPO or Delta Dental Premier networks, but you will incur lower out-of-pocket expenses by choosing a dentist from the Delta Dental PPO network. If you choose to see a dentist that is not in either network, your out-of-pocket costs will be higher. Delta s payments are based on its allowable charge, and if your out-of-network dentist s fee is higher you will be expected to pay the difference. Diagnostic and Preventive Examinations and cleanings twice per 12-month period Full mouth X-rays at 60-month intervals Bitewing X-rays: One series of up to four films every 12 months for covered persons up to age 18; one series of up to four films every 24 months for covered persons age 18 and over Fluoride treatment at 12-month intervals for covered persons under age 19 years Sealants for eligible dependents up to age 16 years, limited to once per lifetime for permanent molars Space maintainers for missing posterior primary teeth on covered dependent children Basic Services Emergency treatment for relief of pain Amalgam restorations (silver fillings) Anterior teeth resin restorations (white fillings) Endodontics Pulpotomies on primary teeth for dependent children Root canal therapy on permanent teeth Periodontics Nonsurgical periodontics at 36-month intervals Surgical periodontics at 36-month intervals Oral Surgery Surgical/nonsurgical extractions All other oral surgery Major Restorative Crowns at 60-month intervals per tooth Posterior resin restorations Prosthetic Repairs and Adjustments Denture repairs and adjustments Replacement bridge Bridge repair Prosthetics Dentures (full and partial) at 60-month intervals Bridges at 60-month intervals (no coverage for installation of a prosthetic device to replace teeth missing prior to coverage by Delta Dental) Orthodontics Treatment for the prevention/correction of malocclusion for dependent children, starting at age 8, and adults 2017 DENTAL INSURANCE PREMIUMS Delta Dental comprehensive Full-time FTE Total Premium UMPhysicians Contribution Your Pay Period Cost Employee Only $15 $10 $5 Employee + 1 $30 $11 $19 Family $48 $11 $37 Part-time FTE Total Premium UMPhysicians Contribution Your Pay Period Cost Employee Only $15 $6 $9 Employee + 1 $30 $7 $23 Family $48 $7 $41

9 VISION COVERAGE 6 VSP SIGNATURE PLAN VISION BENEFITS AT A GLANCE Services/Coverage In-Network Out-of-Network Copayments Exam/Materials $10 Exam/$20 Materials $10 Exam/$20 Materials Services/Coverage VSP Participating Providers Non-Participating Providers Exam (every calendar year) Covered after copayment Up to $50 after copayment Lenses (every calendar year) Lens Options Frame (every calendar year) Contacts instead of glasses (every calendar year) Single, Lined Bifocal, Trifocal and Polycarbonate lenses for dependents under 18 covered in full after copayment Standard progressive: $50 copay Premium progressive: $80 $90 copay Custom progressive: $120 $160 copay The most popular lens options are covered in full with a copay, saving our members an average of 35-40% $160 allowance for a wide selection of frames 20% off amount over your allowance $70 Costco Allowance* Contact lens exam (fitting and evaluation) covered in full after not to exceed $60 copayment $160 allowance for contacts Extra Savings and Discounts applies to in-network participating providers only Single Vision up to $50 Lined Bifocal up to $75 Lined Trifocal up to $100 Lenticular up to $125 Not Applicable Frame up to $70 Contacts allowance up to $105 Glasses and Sunglasses Laser Vision Correction Retinal Screenings Affiliate Providers Diabetic Eyecare Plus Program 30% off additional glasses and sunglasses, including lens options, from the same VSP doctor on the same day as your WellVision Exam or get 20% off from any VSP doctor within 12 months of your last WellVision Exam. Average 15% off the regular price or 5% off the promotional price; discounts only available from contracted facilities. After surgery, use your frame allowance (if eligible) for sunglasses from any VSP doctor. Guaranteed-pricing of $39 for retinal screening as an enhancement to your WellVision Exam; retinal imaging is an important benefit to members as it helps VSP Providers find possible signs of a number of diseases that first appear in the retina. The images also provide a permanent and historical record of changes in the eye. *Coverage with a retail chain affiliate may differ from each other. Once your benefit is effective, visit vsp.com for details. Coverage information is subject to change. In the event of a conflict between this information and your organization s contract with VSP, the terms of the contract will prevail. Services related to type 1 and type 2 diabetes; ask your VSP doctor for details. $20 copayment applies. Please note: VSP does not issue cards. Simply alert your provider that you are a VSP member at the time of service. Exclusions The following items are excluded under this plan: plano lenses (non-prescription) medical or surgical treatment two pairs of glasses instead orthoptic, vision training or of bifocals supplemental testing replacement of lenses, frames or contacts Items not covered under the contact lens coverage: corneal refractive therapy or additional office visits for contact orthokeratology lens pathology insurance policies or service contact lens medication, polishing agreements or cleaning artistically painted lenses Low Vision Members with severe visual problems are eligible for this benefit, which can include supplemental testing, low vision prescription services, evaluations, optical and non-optical aids and training. If low vision supplemental testing is approved, VSP will pay up to a maximum of $125 every two years. If low vision aids are approved, VSP will pay 75% of the approved amount up to a maximum of $1,000 per covered individual (less any amount paid for supplemental testing) every two years. This is just a summary of the benefits. YOUR COST PREMIUMS PER PAY PERIOD $3.42 $8.58 Employee Only Family

10 HEALTH SAVINGS AND FLEXIBLE SPENDING ACCOUNTS HEALTH SAVINGS ACCOUNTS (HSA) If you enroll in a High Deductible Health Plan, UMPhysicians will make contributions to your HSA. In addition to monthly employer contributions, you can choose to make pre-tax contributions into this account up to IRS annual limits (see below). Unlike a Flexible Spending Account (FSA), funds in an HSA roll over year to year. Plan carefully. IRS regulations stipulate that your total employee and employer contributions cannot exceed limits of $3,450 for employee only and $6,900 for family in Participants age 55 and older can contribute up to $1,000 more. This means when planning how much you want to contribute to your HSA, you should include the contributions UMPhysicians will be making. Eligible expenses must be incurred after your HSA benefit effective date. Unlike a Healthcare FSA, the amount available to you for reimbursement is your actual account balance at any given time. Select Account, UMPhysicians current reimbursement account administrator, will administer your HSA. FLEXIBLE SPENDING ACCOUNTS (FSA) UMPhysicians provides flexible spending accounts that allow you to set aside money from your pay on a pre-tax basis. You may then use the money in these accounts to reimburse yourself with tax-free dollars for dependent care expenses or eligible health and dental care expenses not covered by insurance. You may only enroll in a Medical Flexible Spending Account if you are enrolling in a PPO plan. Your annual election will be deducted in equal amounts over the number of pay periods between your benefit effective date and the end of the plan year. The plan year coincides with the calendar year. Eligible expenses must be incurred between the same time frame. Estimate your expenses conservatively. You cannot change your annual election during the plan year unless you experience a status change as defined by the IRS. The IRS further mandates that any amount of your election not utilized within the plan year for eligible expenses will be forfeited. When you incur an eligible expense, simply complete and submit a claim form, along with appropriate documentation, to our administrator. A reimbursement check will be sent to your home or you may elect to have reimbursements directly deposited into your bank account. Claims for eligible expenses incurred during the plan year may be submitted up to 90 days following the end of the plan year. A debit card is also provided as a feature of this plan to pay for eligible expenses. Similar to our other reimbursement/spending account plans, you can choose to submit a claim form with appropriate documentation and request reimbursement when you incur an eligible expense or use Select Account s debit card feature to pay for eligible expenses. You also have the additional option of an HSA online withdrawal which allows you to transfer funds from your HSA directly into your bank account. If you have a current reimbursement card through Select Account, you will use this card to access your HSA balance. You will not be issued a new card for this account. UMPhysicians HSA Contribution for Employee-Only Coverage: $28.85 per pay period ($750 annualized) UMPhysicians HSA Contribution for Employee +1 and Family Coverage: $48.08 per pay period ($1,250 annualized) Healthcare Flexible Spending Account If you enroll in a PPO plan or choose to waive medical coverage, you may set aside up to $2,600 each plan year for eligible healthcare expenses. Minimum annual amount is $100. Eligible expenses include out-of-pocket medical and dental related expenses, such as deductibles, prescription glasses, and medical equipment. Cosmetic services are not eligible for reimbursement and over-the-counter medicines are not covered unless prescribed by a physician. If you enroll in an HSA medical plan, you are not eligible to participate in a healthcare FSA. Dependent Care Flexible Spending Account You may set aside up to $5,000 per family ($2,500 if you are married but file separate tax returns) each plan year for eligible child care expenses for a qualified dependent. Minimum annual election amount is $100. Eligible expenses are those incurred while you (and your spouse, if you are married) are at work. The main purpose of the care must be the dependent s care and well-being, although expenses for household services are also eligible if they are provided along with care of the dependent. A qualified dependent is your tax dependent under age 13 or your tax dependent over age 13 and incapable of self-care. You may utilize the dependent care spending account or receive the dependent care tax credit when you file your income tax returns. You may want to consult your tax adviser if you have questions about your options. 7

11 LIFE AND ACCIDENTAL DEATH & DISMEMBERMENT (ADD) COVERAGE 8 LIFE AND ACCIDENTAL DEATH & DISMEMBERMENT (ADD) COVERAGE Coverage is provided through Unum and includes both core coverage for you and optional coverage for you, your spouse and/or children. Core Coverage Provided by UMPhysicians at No Cost to You Life and ADD equal to one times your annual base salary rounded to the next higher $1,000 if not already a multiple, to a minimum of $30,000 and a maximum of $500,000. Optional Life Insurance Coverage is available for you, your spouse and/or dependent children. Coverage is available for you in $10,000 increments to a maximum of $550,000 or 5 times your earnings, whichever is lower. (Employees over age 65 are subject to a reduced benefit schedule.) Coverage up to $150,000 for an employee is guaranteed without evidence of insurability if applied for within 31 days from the date of eligibility. Coverage is available for your spouse in $5,000 increments to $250,000. You may elect coverage for your spouse even if you do not elect coverage for yourself. Coverage up to $20,000 for a spouse is guaranteed without evidence of insurability if applied for within 31 days from the date of eligibility. Coverage for dependent children (from age 14 days to age 19 years or to age 25 years if a full-time student) is available in $1,000 increments up to $10,000. You may elect coverage for your dependent children even if you do not elect coverage for yourself. Cost of coverage is $0.050 per $1,000 worth of coverage per pay period. Additional features: Terminal illness benefit Disability waiver of premium Comprehensive package for financial, bereavement and legal counseling Optional Accidental Death and Dismemberment (ADD) Coverage is available for you and your family. Coverage for you is available up to 10 times the earnings to a maximum of $500,000. Employees and spouses are subject to a reduced benefit schedule at age 65. The benefit paid for family coverage is based on the family members at the time of the accident; 60% for spouse if no children, 50% for spouse if eligible children, 10% for children if eligible spouse, 15% for children if no spouse. The cost for coverage for yourself is $0.015 per $1,000 worth of coverage per month. Coverage for you and your family is $0.025 per $1,000 worth of coverage per month. If an injury from a covered accident results in dismemberment or paralysis, a percentage of benefits will be paid according to severity. Age on January 1 st of the year in which coverage is effective Employee is 34 years old and would like to elect $150,000 in optional life insurance Employee Life Calculation: ($150,000/$10,000) x $0.360 = $5.40 per pay period Spouse is 35 years old and employee would like to elect $20,000 in spouse life insurance Spouse Life Calculation: Dependent Life Calculation: Pay period rate per $10,000 of coverage 0 24 $ $ $ $ $ $ $ $ $ * $ ** $ ** $9.920 * Reduction in benefit to 65% of the original amount at age 65. ** Reduction in benefit to 50% of the original amount at age 70. Example Life Insurance Calculations ($20,000/$10,000) x $0.410= $0.82 per pay period ($10,000/$1000) x $0.050= $0.50 per pay period Employee would like to elect $500,000 of AD&D insurance for themselves and their family (500,000/$1,000) x $0.025= $12.50 monthly rate $12.50 x 12= $150 annual rate $150 / 26 pay periods = $5.77 per pay period rate Please refer to the appropriate summary plan description, certificate of coverage, or Unum enrollment materials for plan details.

12 DISABILITY COVERAGE RETIREMENT SAVINGS AND 401(K) 9 DISABILITY COVERAGE UMPhysicians provides disability coverage at no cost to you, underwritten by Unum. Short-Term Disability Coverage Benefits begin on the 8th day after you become disabled due to illness or injury. Benefits are equal to 60% of your weekly gross base salary up to a maximum benefit of $2,538 per week. Benefits continue for up to 180 days at which time long-term disability benefits may apply if you continue to be disabled. Benefits are taxable since the program is self-insured through UMPhysicians. Maternity is covered. Please note that eligible physicians, executives and AFSCME members are covered through separate disability programs. Please review your certificate of coverage for more information. Long-Term Disability Coverage Benefits begin on the 181st day after you become disabled due to illness or injury (after short-term disability ends). Benefits are equal to 60% of your monthly gross base salary up to a maximum benefit of $11,000 per month. The premium is paid for by UMPhysicians but the benefit is tax free as you pay taxes on the premium cost. Benefits will continue up to 36 months if you are unable to perform the material and substantial duties of the position you held prior to becoming disabled. Benefits will continue after 36 months if you are unable to perform any occupation that your education, training, and experience will reasonably allow. A twelve-month pre-existing condition exclusion will apply to any illness or injury which was diagnosed or for which you received treatment within the three months prior to the effective date of your coverage. Benefits are reduced by any social security and/or workers compensation benefit payments. Please note that eligible physicians and executives have long-term disability coverage through a separate disability plan. RETIREMENT SAVINGS AND 401(K) The University of Minnesota Physicians Retirement Savings and 401(k) Plan provides for retirement saving and allows flexibility in investment options. The plan includes two components a 401(k) elective deferral (pre-tax and Roth), and a 401(a) defined contribution. Assets of both are held in a trust administered by Merrill Lynch and invested according to your decisions in the 401(k) Plan. You are able to access your account at anytime at 401(k) You may defer up to 75% of your gross earnings on a pretax basis to a maximum of $18,500 in You may begin contributing the first of the month following your hire date. Participants age 50 or over can contribute an additional $6,000 towards the IRS catch-up contribution. A 2% automatic deferral is set up based on your eligibility date. You are always 100% vested in this plan. Generally speaking, you may not make withdrawals from the 401(k) and 401(a) plans prior to age 59 1/2. The exceptions to this rule loans and hardship withdrawals are described in detail in the summary plan description. As an additional benefit, Merrill Lynch offers free Financial Advice Services to every employee. Frank Summers from Merrill Lynch is available to help you manage your investments and prepare for retirement. Please call (612) to schedule an appointment with Frank. 401(a) There are two parts to UMPhysicians 401(a) employer contribution. First, if you contribute 2% of your own salary to UMPhysicians 401(k) plan, UMPhysicians will match that 2% contribution. Also, UMPhysicians will contribute 6% of your gross earnings to the plan. There is a three year vesting schedule associated with the 401(a) plan. You will be 30% vested in the employer contributions after one year of service, 60% after two years and 100% after three years.

13 FLEXIBLE TIME OFF TRANSPORTATION FLEXIBLE TIME OFF Flexible Time Off (FTO) Program Flexible Time Off is a combined pool of paid time to be used for vacations, holidays, short-term sick leave absences, and other personal needs. The FTO program allows you to use your time off in the manner that works best for you. You accrue FTO each pay period. All FTO usage is subject to supervisor approval, which is granted based on the needs of the department. FTO is accrued based on FTE (full-time equivalent), years of service and exempt status. The rates listed to the right are based on a full-time FTE status. If you work less than full-time, your accrual and maximums will be prorated. While we encourage everyone to use their FTO each year, you may maintain a balance year-over-year which is equal to the maximum accrual hours. Once your balance reaches the maximum accrual, your biweekly accruals will stop. When you utilize FTO and your balance reduces to below the maximum level, you will begin accruing FTO again. Employees below.5 full-time employment are not eligible for FTO. Physicians have a separate time off program. Parental Leave Benefit eligible employees, not eligible for short-term disability (i.e. new fathers or adoptions), who become mothers and fathers may be eligible for parental pay of up to 10 work days or a maximum of 80 hours. This maximum amount will be prorated for benefit eligible part-time employees based upon the employee s FTE status. Years of Service Years of Service Annual Days Annual Days Non-Exempt Employees Annual Exempt Employees Annual Biweekly Biweekly Maximum Days Maximum Days 10 Maximum Maximum Years of Service Annual Days The FTO Rates are: Advanced Practice Provider Annual Biweekly Maximum Days Maximum TRANSPORTATION Parking Subsidy Employees required to pay for contract parking at their home work location may be eligible for a parking subsidy. Eligible employees, who obtain a parking contract, will automatically have the subsidy applied to their parking payroll deductions. To obtain a parking contract, please visit the parking facility directly (i.e. University of Minnesota or Fairview Parking Office). Metro Transit Subsidy UMPhysicians provides a subsidy for employees who choose to enroll with a Metro Transit Metropass. For $10 per pay period, employees will be allowed unlimited rides on regional buses and light rail trains (additional fees apply to the NorthStar Commuter Rail Line.) Please note: Employees are only eligible to participate in one of the Transportation Subsidy programs.

14 ADDITIONAL BENEFITS 11 ADDITIONAL BENEFITS Tuition Benefit You may be reimbursed for accredited courses you take to develop skills that will be useful in your current job or for personal and career development. You are eligible for tuition reimbursement after you have worked for UMPhysicians for at least six months. UMPhysicians will pay up to $2,500 per calendar year for tuition reimbursement for employees who work 30 or more hours a week and up to $1,500 a year for employees who work hours a week. You must have tuition reimbursement approved by Human Resources before a class begins. You will be reimbursed after you successfully complete the class (a minimum grade of C or pass). Tuition reimbursement does not cover lab fees, books, or other materials and fees, and will be offset by any additional funding. Please refer to the Tuition Policy under Human Resources/Benefits/Additional Employee Benefits on the resource website. Reimbursement for career training and development activities is also available. Check with your supervisor about eligibility. Back-Up Care Through the Bright Horizon s Care Advantage you have access to programs and services to support the well-being of your entire family. This includes: Access to high-quality, low-copay back-up care for your child in your home or in a center; In-home care for adult/elder loved ones throughout the U.S.; and Access to additional family support including regular caregivers, pet care, tuition discounts and more services to make life a little easier. University of Minnesota Physicians Fitness Credit Program You are eligible for up to a $20 per month credit from UMPhysicians provided you and/or other family members on the membership visit a fitness center 12 or more times per month. Credits are added to your paycheck each quarter. You are responsible for providing a usage report. Please contact Employee Benefits for more information. Medica s Health Club Reimbursement Program: Fit Choices You can earn a $20 credit toward your monthly health club dues every time you visit a participating health club at least 12 or more times per month. Employee Assistance Program (EAP) You can get help with personal or work-related concerns through Vital WorkLife ( EAP services are free to you and your family and include problem assessment, short-term counseling and referrals to other resources. The kinds of problems EAP may help with include: Grief and loss Financial difficulties Support for managers and supervisors Family and parenting issues Chemical health Stress Referrals for legal, financial or eldercare needs Anxiety and depression Support is available 24 hours every day at (800) or (651) Identify Theft Protection You may choose to receive a complete identity theft protection program from ID Watchdog. This optional coverage is designed to alert you to any changes to your credit, financial transactions and personal information. Key services include: Proactive Credit Monitoring Comprehensive Identity Monitoring Advanced Identity Tools Restoration Customer Care Center (24/7 Access) National Provider Identifier (NPI) Alerts The biweekly cost is $4.13 for Employee-only coverage or $8.28 for Family coverage. University of Minnesota Physicians and its subsidiaries reserves the right to modify, amend or terminate any of these benefit plans or practices at any time. This is a summary of benefits provided to you under these plans. Please note, in the event of conflict, the Summary Plan Description will control.

15 2018 EMPLOYEE BENEFITS INFORMATION Human Resources Employee Benefits 720 Washington Ave SE Suite 200 Minneapolis, MN Campus Mail: MMC 126 Phone: Fax: