Flexible Benefits Administration Solutions

Transcription

1 Flexible Benefits Administration Solutions

2 THE CONEXIS SOLUTION: ADD BENEFITS. SUBTRACT TAXES. What's one of the biggest problems facing employers today? Easy soaring healthcare costs. While identifying the problem is simple, finding the solution that's best for your people and your company can seem nearly impossible at times. Adding further to employers benefit challenges is that while recent court rulings have made flexible benefits even more attractive, they have also placed the burden on employers to validate and track employee expenses. But we can help. CONEXIS Flexible Benefits Administration offers a The employee benefit that saves the employer money. comprehensive, integrated and easy-to-use Web-based system that can help you develop, implement and manage benefit programs that work for you and your employees. Our leading-edge technology offers both employees and employers real-time access to their information. Your employees can access their claim and payment status and year-to-date summary reports 24/7. You ll have similar reporting capabilities, online deduction ledgers, imaged check ledgers and much more! Employees can set aside pre-tax dollars for qualifying healthcare expenses.

3 ADVANTAGES OF STARTING A FLEXIBLE BENEFITS PROGRAM WITH CONEXIS CONEXIS is one of the nation s most experienced Flexible Benefits Administrators. Since 1986, we ve delivered a streamlined service that saves you time and more importantly money. We provide a complete solution, including initial implementation, expert claim adjudication, instantaneous tracking, comprehensive reporting, easy-to-use online forms and informative employee communication materials. Additionally, our real-time "Flash" video presentation can be linked to your HR Intranet Web site for open enrollment meetings. Employees can take full advantage of the tax savings afforded them through participation in a Flexible Benefits program. CONEXIS provides participants timely claim reimbursements to maximize interest and participation while relieving you of the administrative burdens often associated with these programs. And, employees using the CONEXIS Benefit Card for their approved purchases, including some over-the-counter (OTC) medications and other eligible items, can have expenses deducted automatically from their account. The only requirement is maintaining and providing receipts as requested. Flexible Benefit Plan: A Savings Comparison With Without Average Employee CONEXIS CONEXIS Monthly Salary Before $2,500 $2,500 Deductions Group Insurance Premiums -$150 Healthcare Expenses -$50 Dependent Care Expenses -$300 Monthly Salary $2,000 $2,500 Employee Taxes FICA (7.65%) $153 $191 Federal (15%) $300 $375 State (7.35%) $147 $184 Total $600 $750 Employee Savings Monthly (per employee) $150 Annual (per employee) $1,800 Employer Taxes FICA (7.65%) $153 $191 Workman s Comp (4.35%) $87 $109 Total $240 $300 Employer Savings Monthly (per employee) $60 Annual (per employee) $720 Employer Savings example for 100 Eligible Employees *Participating Employees Group Insurance 100 $15,000 Premiums ($150) Healthcare Expenses ($50) 20 $1,000 Dependent Care 10 $3,000 Expenses ($300) Total Employee Pre-Tax $19,000 FICA (7.65%) + 12% Workman s Comp (4.35%) Monthly Tax Savings $2,280 Annual Tax Savings $27,360 *Assumes average participation levels of 20% Healthcare & 10% Dependent Care. The ultimate in convenience for all approved Flex expenses including some OTCs!

4 WE RE WITH YOU EVERY STEP OF THE WAY 24/ 7 Our benefits experts are trained to quickly, and costeffectively manage every aspect of your program. CONEXIS customer service representatives are available for your employees by telephone or during regular 24/7 via our Interactive Voice Response (IVR) system. You ll also have 24/7 access to real-time data, activity logs, online reports and other meaningful information that can help you ensure your plan is running smoothly. business hours, and automated responses are available Employees can take full advantage of the tax savings afforded them through participation in a Flexible Benefits program. PERFORMANCE MEASUREMENTS We don t just talk about our results we can prove them. We have a wide range of performance metrics with reports that will show you how CONEXIS: Reduces errors Manages claims liabilities Provides administrative efficiencies Lowers costs We go even further to meet your needs through our "Service of Unequalled Excellence" Certification Program. This ongoing multi-faceted improvement initiative further ensures that we ll meet or exceed leading industry performance measures by obtaining customer feedback and using that information to improve our programs and customer service. Improves customer service

5 CONEXIS PROVIDES PROFESSIONALLY MANAGED, AUTOMATED FLEXIBLE BENEFITS ADMINISTRATION FOR THE FOLLOWING TYPES OF PLANS: Premium Only Plans A portion of the participant s salary is redirected on a pre-tax basis to pay for a variety of employer-sponsored medical benefits. By paying premiums from gross wages before taxes are calculated and deducted, employees may actually see an increase in their net paychecks. Section 125 Healthcare Flexible Spending Accounts (FSAs) Money is set aside on a pre-tax basis to pay for eligible unreimbursed medical, dental and vision expenses. These expenses cannot be reimbursed by any other benefit plan and must be eligible under IRS guidelines. Eligible expenses include those incurred by the employee, his/her spouse and/or dependents and may include health plan deductibles and copayments. Regulatory compliance includes non-discrimination testing, Plan Documents and SPDs. Dependent Care Assistance Plan (DCAP) Contributions are made pre-tax to this account for employment-related dependent care expenses to enable the employee and his/her spouse to work or attend school full-time. The expense must be for a dependent a dependent or spouse who is physically or mentally incapable of self-care and is considered a dependent under IRS guidelines, and for whom the employee must pay for care, in order to work. Tuition for school age children is not an eligible expense; however, expenses for before- and after-school care for children under age 13 are eligible up to an annual household maximum of $5,000 per year ($2,500 if the employee is married, but filing separately). Section 132 Parking and Transit Plans Transit passes, parking and vanpooling expense money is set aside on a pre-tax basis. During the year, employees are reimbursed from this account as they incur transportation expenses up to the monthly maximum of $200 for parking and $105 for mass transit or vanpooling. Section 105 Health Reimbursement Arrangements(HRAs) HRAs are a new form of self-directed healthcare and an important addition to the benefits marketplace. These accounts are exclusively employer-funded but can ideally complement and enhance healthcare and other types of Flexible Spending Accounts. The value of the CONEXIS approach, for both employers and employees, is our ability to administer integrated HRAs and FSAs through carriers, health plans and third party administrators (TPAs), and provide in-depth, easy-to-understand reports. One of the best features of HRAs is that they are not subject to the FSA use-it-or-lose-it rule you may choose to have funds carry over from year to year. under age 13 who lives in the employee s household or

6 OUR SERVICES INCLUDE: Implementation Plan Design A CONEXIS professional will work together with your management team to develop a plan design that meets your corporate and employee benefits objectives. Development of Plan Document and Summary Plan Description (SPD) CONEXIS will create a model plan document, required by the IRS, which formally details the technical provisions of your Flexible Benefits program. In addition, CONEXIS will develop the IRS-required SPD, which communicates in easy-to-understand language how the plan works, plan eligibility processes and claims reimbursement procedures. Corporate Resolution CONEXIS will provide you with a charter designed to become part of your corporate minutes that documents the adoption of your plan. Administration Claims Adjudication We will audit and adjudicate your employees reimbursement claim forms and proof of expense receipts. Claims will be adjudicated according to all industry, state and federal standards and guidelines. Reimbursement Check Disbursement Reimbursement checks will be sent to the employee s home address. Each check contains an Explanation of Benefits (EOB) with details of the employee s account status. Depending on your preference, you can receive on-demand reports via the Web or your CONEXIS team can develop and provide reports monthly, quarterly or as needed. Direct Deposit (CONEXIS Fast Fund) Participants can receive claim reimbursements directly into their checking or savings account. CONEXIS Benefits Card Communication Introductory Information We have a suite of tools available to increase employee participation in the plan you ve developed with CONEXIS. We ll assist you in generating employee interest, and our presentation materials will introduce your employees to the plan and speed along the enrollment process. For example, our "Flash" presentation can be linked to your Employees can access their account funds at the pointof-service with the swipe of our debit card using MasterCard technology. Additional Services We also provide toll-free telephone support, an IVR system, discrimination testing, plan renewal services, comprehensive management reports and quarterly employee benefit statements. HR Intranet Web site. Plan information is presented to your employees in easy-to-understand language, and enrollment forms are simple to complete.

7 EXPERIENCE For more than 17 years, CONEXIS has delivered employee benefits administration solutions to more than 10,000 organizations nationwide, including major health plan carriers, third party administrators, business outsourcing partners, market leaders in various industries and government municipalities. SOLUTIONS YOU CAN COUNT ON Innovation and nationally recognized experience have ANYTIME ACCESS TO YOUR ACCOUNT AND PARTICIPANT INFORMATION Here s just some of the functionality and information available through the CONEXIS Web site: All Account Details current balance, deposits, claims status and historical transactions established CONEXIS as one of the most trusted benefits administrators. At CONEXIS, we re CONNECTED with the industry s only fully integrated, Web-based system used to administer all of our services. We offer the most COMPREHENSIVE end-to-end benefits administration solutions. And, we re COMMITTED to always deliver Service of Unequalled Excellence. Review Real-time Dynamic Reports including Activity, Eligibility, Exception, Scheduled reports and many more Track Documents using our system, find imaged documents sent to plan participants View and Update Your Account Information including eligible employees, security settings and case status Ask Questions Online CONEXIS any time with your questions HAVE CONEXIS DEVELOP A FLEXIBLE BENEFITS PROGRAM FOR YOUR COMPANY Call us today toll-free at 877.CONEXIS ( ) or go online at to request a quote. A CONEXIS benefit expert will assist you to design a flexible benefits program that is right for you.

8 721 South Parker Suite 300 Orange, CA CONEXIS ( ) North State Highway 161 Suite 400 Irving, TX Copyright 2005 CONEXIS. CX A Word & Brown Company