3. Follow up with your supervisor/manager to ensure that your status change to a Retiree is implemented through Workday.

Transcription

1 BB&T 2012 Retirement Guide You ve made it! You re ready to retire, or perhaps you re getting to a point in life where you re beginning to think about it seriously. This Retirement Guide has been prepared to help you understand how your benefits will change when you retire. This guide will answer many of your questions and concerns about this change in your employment status and explain the steps you ll need to take to ensure that your transition to Retiree status is a smooth one. The Benefits Administration staff designed this publication with you in mind. On the following pages, you ll find information concerning the benefits that will be available to you in retirement and conversion privileges for those coverages that will end when you retire. This guide also includes important information about your rights to continue certain coverages under the Consolidated Omnibus Budget Reconciliation Act of 1986 (COBRA). STEPS TO RETIREMENT When you make the decision to retire, you will need to follow these steps to transition into Retiree status: 1. Notify your Regional Employee Relations Manager and your supervisor/manager of your intent to retire. 2. Notify Benefits Administration of your intent to retire 60 days prior to your intended retirement date. To notify us, call the BB&T Human Systems Service Center at , option 1. You will complete your retirement application over the phone. You will need the following information at the time you call to complete your application: your date of birth and Social Security number, as well as your spouse s full name, date of birth and Social Security number (if you are married). A Retirement Summary Package from Benefits Administration will be mailed to you within 15 business days of your application. This package will provide you with general information pertaining to your pension benefits, 401(k) benefits and insurance benefits. 3. Follow up with your supervisor/manager to ensure that your status change to a Retiree is implemented through Workday. BB&T CORPORATION PENSION PLAN The BB&T Corporation Pension Plan (BB&T Pension Plan) is a defined benefit plan funded entirely by the company, and it can provide you with a substantial portion of your retirement income. BB&T employees who are age 21 or older become participants in the BB&T Pension Plan after completing 12 consecutive months of service in which they have performed at least 1,000 hours of service (generally employees scheduled for 20 or more hours each week). If you are an employee who was a participant in a defined benefit plan of a merged employer, you generally became a participant in the BB&T Pension Plan on the date the prior plan was merged into the BB&T Pension Plan. If you are an employee who was part of a merged group that did not have a prior defined benefit plan, you generally became a participant in the BB&T Pension Plan on the date you become eligible for BB&T s Flexible Benefits. Under this type of plan, your benefit at retirement, or your accrued benefit, is defined by using a formula based on your BB&T years of service, average annual compensation and age. Your accrued benefit is the benefit that accumulates during your employment. Under the BB&T Pension Plan, you will become vested in your accrued benefit after you have completed five years of service with the company. Vested means you are entitled to the accrued benefit you have earned. You receive one year of vesting service for each plan year in which you complete at least 1,000 hours of service.

2 Simply put, the BB&T Pension Plan offers a formula-driven benefit that dramatically increases in value with years of service. It rewards loyalty, provides a protected benefit and is fully funded with more than $1 billion in plan assets. BB&T pays 100% of the cost of this benefit! Some subsidiaries of BB&T Corporation (Scott & Stringfellow, Farr Associates, Clearview Correspondent Services and BB&T Insurance Services of California) have chosen not to participate in the BB&T Corporation Pension Plan. For more information, please refer to the Plan s Summary Plan Description located on BBTBenefits.com. Eligibility Requirements to Elect Normal or Early Retirement Depending on your age and years of service, you may elect normal or early retirement. Normal Retirement You can elect to retire when you reach your normal retirement age under the Plan, which is the first day of the month on or after attainment of age 65, with at least five years of participation. Early Retirement You can elect early retirement the first day of the month on or after you reach age 55 and complete at least 10 years of vesting service. Your early retirement date will be the first day of any month after you are eligible for and elect early retirement. For more information regarding the BB&T Pension Plan provisions, refer to the Summary Plan Description located on BBTBenefits.com. Pension Annuity Payment Options The information below outlines the annuity payment options available in the BB&T Pension Plan. You will receive an election form within 45 days of completing the retirement application (refer to Step 1 on page 1 of this guide). This form will include all the payment options available to you. Life Annuity Provides you with a monthly benefit for your lifetime. No benefits are provided after your death. Ten-Years Certain and Life Annuity Provides a monthly benefit to you for 10 years (120 months) and each month thereafter for the remainder of your life. If you die within 10 years of payments beginning, payments will continue to your named beneficiary until the end of the 10- year period. No benefits are provided to your beneficiary after the end of the 10-year period. Joint and 50% Survivor Annuity Provides a monthly benefit to you for your lifetime. After your death, the beneficiary you designated at retirement will receive 50% of that monthly benefit amount for the rest of his or her lifetime. Joint and 75% Survivor Annuity Provides a monthly benefit to you for your lifetime. After your death, the beneficiary you designated at retirement will receive 75% of that monthly benefit amount for the rest of his or her lifetime. Joint and 100% Survivor Annuity Provides a monthly benefit to you for your lifetime. After your death, the beneficiary you designated at retirement will receive 100% of that monthly benefit for the rest of his or her lifetime. 2

3 Level Payments with Social Security at Age 62 This option is available only if you retire before age 62. Monthly benefits from the Plan are higher at first, and then they decrease at age 62. Beginning at age 62, your monthly benefit will be reduced so that the sum of your estimated Social Security benefit and your Plan benefit at age 62 will be approximately equal to your monthly Plan benefit prior to age 62. The Social Security estimate used in this calculation may not be the same as your actual Social Security benefit payable at age 62. Your Plan benefit will reduce at age 62 whether or not you elect to begin collecting your Social Security benefit at that time. No benefits are provided after your death. Level Payments with Social Security at Age 65 This option is available only if you retire before age 65. Monthly benefits from the Plan are higher at first, and then they decrease at age 65. Beginning at age 65, your monthly benefit will be reduced so that the sum of your estimated Social Security benefit and your Plan benefit at age 65 will be approximately equal to your monthly Plan benefit prior to age 65. The Social Security estimate used in this calculation may not be the same as your actual Social Security benefit payable at age 65. Your Plan benefit will reduce at age 65 whether or not you elect to begin collecting your Social Security benefit at that time. No benefits are provided after your death. Additional Payment Options If you came to BB&T through a merger, you may have additional payment options available. The BB&T Pension Plan Election Form will provide all payment options available to you. Special Note for December 31 Retirements If you plan to retire at the end of the calendar year, December 31, there are several items you will need to know. With a December 31, 2012, retirement date, you will be eligible for your first pension payment on January 1, However, your first payment will be delayed. We must wait until we have received the updated Treasury Rate that governs all pension payment options for payments beginning in This rate is set by the U.S. Government and is usually available by mid-december. That means your pension calculation cannot be requested until after that time, and you will receive your pension benefit election forms in late December. With this delay in getting your election forms to you, you can expect to receive your January 1, 2013, pension payment within business days after we have received your completed pension paperwork. This means you will not receive your January pension payment until the end of January. If we receive your completed pension paperwork later than January 15, 2013, your February payment may also be delayed. Be assured, however, that you are receiving your full monthly pension benefit for each month receiving it may simply be delayed. 3

4 BB&T CORPORATION 401(k) SAVINGS PLAN The BB&T Corporation 401(k) Savings Plan (BB&T 401(k) Savings Plan) was designed to provide income for you during your retirement. You now have the opportunity to withdraw funds from the Plan or wait until a future date to make a withdrawal. Retirees have the option of taking their entire balance out of the Plan in one payment, requesting withdrawals as needed (but no more than two per calendar year), or setting up recurring payments on a monthly, quarterly or annual cycle. You may defer your decision on withdrawals no later than age 70½ when the current tax laws require distributions to begin. Please note that if your BB&T 401(k) Savings Plan balance is less than $5,000 you will not have the option of deferring your distribution. To withdraw funds from your 401(k) account, access BBTBenefits.com, to complete a distribution form. The completed form should be mailed to the address on the form; your distribution should be processed within approximately one week. You may also call the Human Systems Service Center at , option 1. Outstanding 401(k) Loans If you have an outstanding loan balance in the BB&T 401(k) Savings Plan, you have the following repayment options: 1) Request a total distribution from the Plan. Your distribution will be reduced by the amount of your outstanding loan balance. That amount will automatically be considered defaulted and treated as a taxable distribution; or 2) Pay off your loan in full. If you have questions about your 401(k) account, please call the Human Systems Service Center at , option (k) Rollover BB&T Investment Services, Inc. If you opt to withdraw funds from your BB&T 401(k) Savings Plan for the purpose of reinvestment, a licensed Investment Counselor from BB&T Investment Services, Inc. is available to advise you. Depending upon your personal financial goals, you will have a wide selection of securities products from which to choose, including: stocks, bonds, mutual funds, annuities and more. Transferring money directly from the BB&T 401(k) Savings Plan into a Rollover IRA at BB&T Investment Services, Inc. will ensure that you avoid a taxable event while maintaining control over your money. Your Investment Counselor will provide all of the necessary paperwork and will work with BB&T to accomplish the designated rollover in a timely manner. To explore your rollover options, please arrange a meeting with a local Investment Counselor by calling (800) during weekday business hours. Investment products offered through BB&T Investment Services, Inc. are: NOT A DEPOSIT NOT FDIC-INSURED NOT GUARANTEED BY THE BANK NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY MAY GO DOWN IN VALUE Member FINRA and SIPC. Neither Branch Banking and Trust Company nor BB&T Investment Services, Inc. is a tax adviser. We suggest you consult your tax adviser before making any tax-related investment decisions. 4

5 BB&T RETIREE MEDICAL PROGRAM Our Retiree Medical Program offers coverage for: Retirees or Dependents Under Age 65 Retirees or Dependents Age 65 or Older Eligibility Requirements to participate in the Retiree Medical Program: Age 55 or older Ten years of service based on your anniversary (adjusted service) date* Participation in the Medical Program as an active employee *Retirees who have not reached the 10 th anniversary of their adjusted service date are not eligible for the Retiree Medical Program. Medical Program for Retirees or Dependents Under Age 65 BB&T offers retiree medical coverage to retirees and dependents under age 65 through BlueCross BlueShield of North Carolina (BCBSNC) using the BlueCard Program. This program provides nationwide coverage and superior customer service no matter where medical assistance is needed. BB&T offers two Medical Options for retirees and dependents under 65: the Select Option and the Consumer Option with Health Savings Account (HSA). These Medical Options are the same as the options we offer to our active employees. Select Option The Select Option is designed to offer medical services at an affordable cost and allows you to use innetwork and out-of-network providers. Since in-network providers contract with BCBSNC at a discount, the plan offers incentives such as co-payments for most office visits and lower co-insurance (that is, the insurance pays a higher percentage of covered charges) to you if you use participating providers. While there are some exceptions to the deductible, many medical services, such as surgery, inpatient or outpatient mental health services, diagnostic services and lab services, must be paid by the retiree until the deductible is met. Once the covered members have met the deductible, the insurance will pay a benefit of 90% on most services at in-network providers and 80% on these services at out-of-network providers. The Select Option prescription drug benefits are set up on a four-tier benefit structure and are divided into different groups: generic, preferred brand, non-preferred brand and specialty drugs. Each group has a different cost. The Select Option requires participants to select a generic form of the medication if it is available. If you enroll in the Select Option and elect Family coverage, once any covered individual in your family meets the $1,000 individual deductible, insurance will begin paying for covered services for that individual family member. Insurance will begin paying on the entire family s covered expenses once the combination of family members covered expenses meets the $2,500 family deductible. 5

6 Consumer Option with HSA Under the Consumer Option, all charges for office visits, prescriptions, hospitalization, etc. go toward your deductible. The deductible for Retiree Only coverage is $2,500. The deductible for Retiree and Spouse, Retiree and Domestic Partner, Retiree and Child(ren) or Family coverage is $5,000. Until you meet your deductible, you will pay all charges out of pocket. Once you have met your deductible, the insurance will pay 80% on covered services at in-network providers and 60% on these services at out-of-network providers. The premiums for this option are lower than premiums for the Select Option; however, you will pay more out of pocket at the time you receive medical services. If your physicians have contracted with BCBSNC, your out-of-pocket expenses will be lower because of the BCBSNC-negotiated rates. To access the most up-to-date list of participating physicians, visit the BCBSNC website at If you enroll in the Consumer Option and elect Retiree and Spouse, Retiree and Domestic Partner, Retiree and Child(ren) or Family coverage, you will have to meet a $5,000 in-network deductible ($10,000 out-ofnetwork deductible) before insurance will begin paying. Insurance will begin paying on the entire family s covered medical expenses once the combination of family members covered medical expenses meets the $5,000 family in-network deductible ($10,000 out-of-network deductible). If you enroll in the Consumer Option, and elect the HSA, BB&T will automatically make a $500 contribution (prorated monthly) to an HSA in your name to help offset some of your out-of-pocket expenses. During enrollment, you also may elect to make additional contributions to your HSA through a monthly bank draft. Any unused funds in your HSA at the end of 2012 will remain in your account for use in future years. In addition, these funds earn interest (earnings are tax free), and no taxes must be paid on the funds when used to pay for qualified medical expenses. If you enroll in the Consumer Option with an HSA, you may not elect to continue contributing to a Health Care Flexible Spending Account through COBRA. Information about COBRA can be found on page 13. Details of these two options can be found on the chart on pages 8-9. Medical Program for Retirees or Dependents Age 65 or Older BB&T offers two Medical Options for our Medicare-eligible retirees and dependents through UMR. UMR specializes in processing claims for retirees 65 and older. UMR utilizes Medicare Crossover, which means that you will not have to submit claims twice. Once your physician submits your claim to Medicare, UMR will receive information directly from Medicare letting them know what portion of the claim was paid by Medicare. The remainder of the claim will be considered for payment under the BB&T Medicare Supplement Option. The Medical Program for Retirees or Dependents Age 65 or Older is designed to allow retirees the choice of receiving prescription coverage through the BB&T Medicare Supplement Option or through the Federal Medicare Program. The two options for retirees and dependents age 65 or older are: Medicare Supplement Option with Prescription Drug Coverage* This option coordinates with Medicare and pays the (generally) 20% of allowed charges that Medicare does not cover. This option also pays the Part A deductible for Medicare. In addition, it provides prescription drug benefits through retail and mail-order pharmacies. 6

7 Medicare Supplement Option without Prescription Drug Coverage* This option also coordinates with Medicare and pays the (generally) 20% of allowed charges that Medicare does not cover. This option also pays the Part A deductible for Medicare. However, under this option, prescription drugs are not covered. *Details of these two options can be found on the chart on pages Additional Details of These Options Additional details of both plans can be found in the Retiree Medical Program Summary Plan Description available on BBTBenefits.com or by calling the Human Systems Service Center at , option 1. Medical Program for Retirees and Dependents in which one person is Under Age 65 and one person is Age 65 or Older BB&T offers coverage for a retiree or spouse/domestic Partner under age 65 with one of the two BCBSNC Medical Options outlined previously and covers a retiree or spouse/domestic Partner over age 65 with one of the two Medicare Supplement Options. Under this option, one person (either the retiree or a covered dependent) must be age 65 or older. The retiree or covered dependent under age 65 can elect coverage under the Select Option or the Consumer Option. The retiree or covered dependent age 65 or older will be covered with one of the Medicare Supplement Options and will elect either the supplement with prescription drug coverage or the supplement without prescription drug coverage. In summary, your choices are: For the member under 65 Select Option For the member 65 or over Medicare Supplement with prescription drug coverage or For the member under 65 Select Option For the member 65 or over Medicare Supplement without prescription drug coverage or For the member under 65 Consumer Option For the member 65 or over Medicare Supplement with prescription drug coverage or For the member under 65 Consumer Option For the member 65 or over Medicare Supplement without prescription drug coverage 7

8 How the Program Works Summary of the Select Option For a detailed description, contact the Human Systems Service Center at , option 1, for a Retiree Medical Summary Plan Description. Services in the Physician's Office Primary Care Physician (PCP) Office Visits Specialist Office Visits Diagnostic Imaging**, Lab and X-ray Services Maternity Care (pre- and post-natal) Preventive Services Well Child Care through Age 5 (including immunizations) Annual Gynecological Exam Annual PAP Smear Annual Prostate Specific Antigen (PSA) Tests Annual Mammogram Annual Physicals and Other Well Care over Age 5 (including immunizations) Select Option - Under Age 65 Choice of in-network or out-of-network providers Annual Deductible (per person) of $1,000 in-network or out-of-network Annual Deductible (per family) of $2,500 in-network or out-of-network Out-of-Pocket Max (per person per year) of $1,500 in-network or $2,000 out-of-network (includes deductibles) Out-of-Pocket Max (per family per year) of $3,000 in-network or $3,500 outof-network (includes deductibles) You do not have to select a primary care physician (PCP) Covers all contraceptives (co-pays apply) Covers well child care through age 5 (co-pays apply) Preventive services are generally covered at 90% in-network (no deductible) or 80% out-of-network (no deductible) Option Pays All charges except co-pay of $30 (in-network) All charges except co-pay of $40 (in-network) All charges except $30 PCP or $40 Specialist co-pay in-network; no coverage out-of-network LifeForce: 100%; Non-LifeForce: 90% (no deductible) 90% in-network (no deductible) or 80% out-of-network (no deductible) Colonoscopy Screenings Allergy Injections Billed with Office Visit Billed without Office Visit Allergy Serum Diabetic Supplies^^ Insulin, Test Strips, Syringes 90% in-network (no deductible) or 80% out-of-network (no deductible) All charges except co-pay of $30 PCP or $40 Specialist in-network; 80% after deductible out-of-network All charges except $30 co-pay in-network; 80% after deductible out-ofnetwork Covered at Pharmacy: $30 co-pay in-network; no coverage out-of-network Glucose Meters, Insulin Pumps All charges except co-pay of $30 PCP or $40 Specialist in-network; 90% Diabetic Nutritional Counseling (billed as office visit) after deductible out-of-network Diabetic Nutritional Counseling (billed as outpatient facility charge) Inpatient Hospital Services Hospital Charges* Emergency Ambulance Service After deductible: 90% in-network, 90% out-of-network Semi-Private Room Intensive Care Surgery and Anesthesia Diagnostic and X-ray Services Blood and/or Plasma Emergency Room All charges except $150 co-pay Delivery of Baby Outpatient Services Outpatient Surgery* Durable Medical Equipment (visit maximums Home Health Care apply) Diagnostic Imaging** and X-ray Services Rehabilitation & Therapy Services (includes PT, ST, OT, Respiratory Therapy, Chiropractic Services, Dialysis, Cardiac Rehabilitation) (visit maximums Office Visit Outpatient Facility Home Setting Chemotherapy Services All charges except $40 co-pay in-network; 80% after deductible out-ofnetwork Office Visit Outpatient Facility Home Setting Mental Health and Substance Abuse Services All charges except $40 co-pay in-network; 80% after deductible out-ofnetwork Office Visits Inpatient/Outpatient Services Prescription Drugs All except co-pay of $15 (generic) / $30 (preferred) / $50 (non-preferred) / 25% (specialty) coinsurance Min. $50 and Max. $150 (maintenance drug Retail - 30-day supply refill limits apply) All except co-pay of $30 (generic) / $60 (preferred) / $100 (non-preferred) / Mail Order - up to a 90-day supply 25% (specialty) coinsurance (30-day limit) *Pre-certification is required. If pre-certification is not obtained, a $100 penalty applies for Outpatient Surgery; a $200 penalty applies **Prior plan approval is required for high-tech diagnostic imaging performed in an outpatient or office setting. If prior plan approval is not obtained, the service will not be covered. The Plan's benefit will not increase to 100% for preventive services, even after the out-of-pocket maximum has been met. ^^Participates in BCBSNC's Diabetes Member Health Partnership Program, may receive an increased benefit towards durable medical equipment This is a summary only. Please refer to the Health Care Summary Plan Description located on BBTBenefits.com. These benefits are s 8

9 How the Program Works Summary of the Consumer Option Consumer Option - Under Age 65 Choice of in-network or out-of-network providers Annual Deductible (retiree only coverage) of $2,500 in-network or $5,000 out-ofnetwork Annual Deductible (retiree/spouse, retiree/domestic Partner, retiree/child(ren), or family coverage) of $5,000 in-network or $10,000 out-of-network For a detailed description, contact the Human System Service Center at , option 1, for a retiree Medical Summary Plan Description. Out-of-Pocket Max (retiree only coverage) of $5,000 in-network or $7,500 out-ofnetwork (includes deductibles) Out-of-Pocket Max (retiree/spouse, retiree/domestic Partner, retiree/child(ren), or family coverage) of $10,000 in-network or $15,000 out-of-network (includes deductibles) You do not have to select a primary care physician (PCP) Covers all contraceptives (after deductible) Covers well child care through age 5 (no deductible) Preventive services are generally covered at 80% in-network (no deductible) or 60% out-of-network (no deductible) Option Pays Services in the Physician's Office Primary Care Physician (PCP) Office Visits Specialist Office Visits Diagnostic Imaging**, Lab and X-ray Services Maternity Care (pre- and post-natal) Preventive Services Well Child Care through Age 5 (including immunizations) All charges covered at 100% in-network or out-of-network (no deductible) Annual Gynecological Exam Annual PAP Smear 80% in-network (no deductible) or 60% out-of-network (no deductible) Annual Prostate Specific Antigen (PSA) Tests Annual Mammogram Annual Physicals and Other Well Care over Age 5 (including immunizations) Colonoscopy Screenings Allergy Injections Billed with Office Visit Billed without Office Visit 80% in-network (no deductible) or 60% out-of-network (no deductible) 80% in-network (no deductible) or 60% out-of-network (no deductible) Allergy Serum Diabetic Supplies^^ Insulin, Test Strips, Syringes Glucose Meters, Insulin Pumps Diabetic Nutritional Counseling (billed as office visit) Diabetic Nutritional Counseling (billed as outpatient facility charge) Inpatient Hospital Services Hospital Charges* Emergency Ambulance Service Semi-Private Room Intensive Care Surgery and Anesthesia Diagnostic and X-ray Services Blood and/or Plasma Emergency Room Delivery of Baby Outpatient Services Outpatient Surgery* Durable Medical Equipment Home Health Care Diagnostic Imaging** and X-ray Services Rehabilitation & Therapy Services (includes PT, ST, OT, Respiratory Therapy, Chiropractic Services, Dialysis, Cardiac Rehabilitation) (visit maximums apply) Office Visit Outpatient Facility Home Setting Chemotherapy Services Office Visit Outpatient Facility Home Setting Mental Health and Substance Abuse Services Office Visits Covered at Pharmacy: 80% after deductible in-network; no coverage out-ofnetwork After deductible: 80% in-network, 80% out-of-network (visit maximums apply) Inpatient/Outpatient Services Prescription Drugs After deductible: 80% in-network (maintenance drug refill limits apply). No out-ofnetwork benefits Retail - 30-day supply Mail Order - up to a 90-day supply After deductible: 80% in-network *Pre-certification is required. If pre-certification is not obtained, a $100 penalty applies for Outpatient Surgery; a $200 penalty applies for Inpatient Surgery. **Prior plan approval is required for high-tech diagnostic imaging performed in an outpatient or office setting. If prior plan approval is not obtained, the service will not be covered. The Plan's benefit will not increase to 100% for preventive services, even after the out-of-pocket maximum has been met. ^^Participates in BCBSNC's Diabetes Member Health Partnership Program, may receive an increased benefit towards durable medical equipment This is a summary only. Please refer to the Health Care Summary Plan Description located on BBTBenefits.com. These benefits are subject to change. 9

10 Medicare Supplement Option with Presription Drug Coverage How the Program Works No provider network Plan covers annual deductible for Part A Services $155 annual deductible for Part B Services (not covered by Plan) Summary of Medicare Supplement Option with Presription Drug Coverage You do not have to select a primary care physician (PCP) For a detailed description, contact the Human Systems Service Center at , option 1, for a Retiree Medical Summary Plan Description. Covers oral contraceptives (co-pays apply) Well child care not covered Only services allowed by Medicare are covered Option Pays Services in the Physician's Office Primary Care Physician (PCP) Office Visits Medicare Pays 80% / Plan Pays 20% Specialist Office Visits Medicare Pays 80% / Plan Pays 20% Diagnostic Imaging**, Lab and X-ray Services Medicare Pays 80% / Plan Pays 20% Maternity Care (pre- and post-natal) Preventive Services Well Child Care through Age 5 (including immunizations) Annual Gynecological Exam Only preventive services approved by Medicare are covered Annual PAP Smear Medicare Pays 80% / Plan Pays 20% Covered once every 24 months (low risk for cervical and vaginal cancers) or 12 months (high risk); no charge for PAP lab test; Medicare Pays 80% / Plan Pays Annual Prostate Specific Antigen (PSA) Tests 20% for PAP test collection, pelvic exam and breast exam PSA Test: Medicare Pays 100% Annual Mammogram Related services: Medicare Pays 80% / Plan Pays 20% Annual Physicals and Other Well Care over Age 5 (including immunizations) Medicare Pays 80% / Plan Pays 20% Colonoscopy Screenings Only services allowed by Medicare are covered Allergy Injections Billed with Office Visit Billed without Office Visit Allergy Serum Diabetic Supplies^^ Insulin, Test Strips, Syringes Covered at Pharmacy (see Prescription Drug Section) Glucose Meters, Insulin Pumps Medicare Pays 80% / Plan Pays 20% Diabetic Nutritional Counseling (billed as office visit) Medicare Pays 80% / Plan Pays 20% (limitations apply) Diabetic Nutritional Counseling (billed as outpatient facility charge) Medicare Pays 80% / Plan Pays 20% (limitations apply) Inpatient Hospital Services First 60 days: Plan Pays Part A Deductible Days : Plan Pays difference between Medicare allowable amount and what Medicare actually pays Hospital Charges* After day 150: Emergency Ambulance Service Medicare Pays 80% / Plan Pays 20% Semi-Private Room Medicare Pays 80% / Plan Pays 20% Intensive Care Medicare Pays 80% / Plan Pays 20% Surgery and Anesthesia Medicare Pays 80% / Plan Pays 20% Diagnostic and X-ray Services Medicare Pays 80% / Plan Pays 20% Blood and/or Plasma Medicare Pays 80% / Plan Pays 20% Emergency Room Medicare Pays 80% / Plan Pays 20% Delivery of Baby Outpatient Services Outpatient Surgery* Medicare Pays 80% / Plan Pays 20% Durable Medical Equipment Medicare Pays 80% / Plan Pays 20% Home Health Care Medicare Pays 80% / Plan Pays 20% (limitations apply) Diagnostic Imaging** and X-ray Services Medicare Pays 80% / Plan Pays 20% Rehabilitation & Therapy Services (includes PT, ST, OT, Respiratory Therapy, Chiropractic Services, Dialysis, Cardiac Rehabilitation) (visit maximums apply) Office Visit Medicare Pays 80% / Plan Pays 20% Outpatient Facility Medicare Pays 80% / Plan Pays 20% Home Setting Medicare Pays 80% / Plan Pays 20% Chemotherapy Services Office Visit Medicare Pays 80% / Plan Pays 20% Outpatient Facility Medicare Pays 80% / Plan Pays 20% Home Setting Medicare Pays 80% / Plan Pays 20% Mental Health and Substance Abuse Services Office Visits Medicare Pays 80% / Plan Pays 20% Medicare Pays 50% / Plan Pays 20% (Inpatient mental health limited to 190 Inpatient/Outpatient Services days in a lifetime) Prescription Drugs All except co-pay of $15 (generic) / $30 (preferred) / $50 (non-preferred) (31-day Retail - 30-day supply supply) All except co-pay of $30 (generic) / $60 (preferred) / $100 (non-preferred) (90- Mail Order - up to a 90-day supply day supply) *Pre-certification is required. If pre-certification is not obtained, a $100 penalty applies for Outpatient Surgery; a $200 penalty applies for Inpatient Surgery. **Prior plan approval is required for high-tech diagnostic imaging performed in an outpatient or office setting. If prior plan approval is not obtained, the service will not be covered. The Plan's benefit will not increase to 100% for preventive services, even after the out-of-pocket maximum has been met. ^^Participates in BCBSNC's Diabetes Member Health Partnership Program, may receive an increased benefit towards durable medical equipment This is a summary only. Please refer to the Health Care Summary Plan Description located on BBTBenefits.com. These benefits are subject to change. 10

11 Medicare Supplement Option without Presription Drug Coverage How the Program Works No provider network Plan covers annual deductible for Part A Services $155 annual deductible for Part B Services (not covered by Plan) You do not have to select a primary care physician (PCP) Medicare Supplement Option without Presription Drug Coverage Contraceptives not covered For a detailed description, contact the Human Systems Service Center at , option 1, for a Retiree Medical Summary Plan Description. Well child care not covered Only services allowed by Medicare are covered Option Pays Services in the Physician's Office Primary Care Physician (PCP) Office Visits Medicare Pays 80% / Plan Pays 20% Specialist Office Visits Medicare Pays 80% / Plan Pays 20% Diagnostic Imaging**, Lab and X-ray Services Medicare Pays 80% / Plan Pays 20% Maternity Care (pre- and post-natal) Preventive Services Well Child Care through Age 5 (including immunizations) Annual Gynecological Exam Only preventive services approved by Medicare are covered Annual PAP Smear Medicare Pays 80% / Plan Pays 20% Covered once every 24 months (low risk for cervical and vaginal cancers) or 12 months (high risk); no charge for PAP lab test; Medicare Pays 80% / Plan Pays Annual Prostate Specific Antigen (PSA) Tests 20% for PAP test collection, pelvic exam and breast exam PSA Test: Medicare Pays 100% Annual Mammogram Related services: Medicare Pays 80% / Plan Pays 20% Annual Physicals and Other Well Care over Age 5 (including immunizations) Medicare Pays 80% / Plan Pays 20% Colonoscopy Screenings Only services allowed by Medicare are covered Allergy Injections Billed with Office Visit Billed without Office Visit Allergy Serum Diabetic Supplies^^ Insulin, Test Strips, Syringes (unless used with an insulin pump) Glucose Meters, Insulin Pumps Medicare Pays 80% / Plan Pays 20% Diabetic Nutritional Counseling (billed as office visit) Medicare Pays 80% / Plan Pays 20% (limitations apply) Diabetic Nutritional Counseling (billed as outpatient facility charge) Medicare Pays 80% / Plan Pays 20% (limitations apply) Inpatient Hospital Services First 60 days: Plan Pays Part A Deductible Days : Plan Pays difference between Medicare allowable amount and what Medicare actually pays Hospital Charges* After day 150: Emergency Ambulance Service Medicare Pays 80% / Plan Pays 20% Semi-Private Room Medicare Pays 80% / Plan Pays 20% Intensive Care Medicare Pays 80% / Plan Pays 20% Surgery and Anesthesia Medicare Pays 80% / Plan Pays 20% Diagnostic and X-ray Services Medicare Pays 80% / Plan Pays 20% Blood and/or Plasma Medicare Pays 80% / Plan Pays 20% Emergency Room Medicare Pays 80% / Plan Pays 20% Delivery of Baby Outpatient Services Outpatient Surgery* Medicare Pays 80% / Plan Pays 20% Durable Medical Equipment Medicare Pays 80% / Plan Pays 20% Home Health Care Medicare Pays 80% / Plan Pays 20% (limitations apply) Diagnostic Imaging** and X-ray Services Medicare Pays 80% / Plan Pays 20% Rehabilitation & Therapy Services (includes PT, ST, OT, Respiratory Therapy, Chiropractic Services, Dialysis, Cardiac Rehabilitation) (visit maximums apply) Office Visit Medicare Pays 80% / Plan Pays 20% Outpatient Facility Medicare Pays 80% / Plan Pays 20% Home Setting Medicare Pays 80% / Plan Pays 20% Chemotherapy Services Office Visit Medicare Pays 80% / Plan Pays 20% Outpatient Facility Medicare Pays 80% / Plan Pays 20% Home Setting Medicare Pays 80% / Plan Pays 20% Mental Health and Substance Abuse Services Office Visits Medicare Pays 80% / Plan Pays 20% Medicare Pays 50% / Plan Pays 20% (Inpatient mental health limited to 190 Inpatient/Outpatient Services days in a lifetime) Prescription Drugs Retail - 30-day supply Mail Order - up to a 90-day supply *Pre-certification is required. If pre-certification is not obtained, a $100 penalty applies for Outpatient Surgery; a $200 penalty applies for Inpatient Surgery. **Prior plan approval is required for high-tech diagnostic imaging performed in an outpatient or office setting. If prior plan approval is not obtained, the service will not be covered. The Plan's benefit will not increase to 100% for preventive services, even after the out-of-pocket maximum has been met. ^^Participates in BCBSNC's Diabetes Member Health Partnership Program, may receive an increased benefit towards durable medical equipment This is a summary only. Please refer to the Health Care Summary Plan Description located on BBTBenefits.com. These benefits are subject to change. 11

12 Monthly Retiree Medical Premiums Medical Options and Categories All Under Age 65 Or All Over Age 65 Select Option Retiree Only Retiree and Spouse/ Retiree and Domestic Partner Retiree and Child(ren) Family Coverage $ $1, $1, $1, Consumer Option $ $ $ $ Medicare Supplement with Rx $ $ N/A N/A Medicare Supplement without Rx One Over Age 65 and One Under Age 65 $ $ N/A N/A Retiree Only Retiree and Spouse/ Retiree and Domestic Partner Retiree and Child(ren) Family Coverage Retiree under age 65 with Select + Spouse over age 65 with Prescriptions N/A $ N/A $1, Retiree under age 65 with Select + Spouse over age 65 w/o Prescriptions N/A $ N/A $1, Retiree under age 65 with Consumer + Spouse over age 65 with Prescriptions N/A $ N/A $ Retiree under age 65 with Consumer + Spouse over age 65 w/o Prescriptions N/A $ N/A $ Dependent under age 65 with Select + Retiree over age 65 with Prescriptions N/A $ $ $1, Dependent under age 65 with Select + Retiree over age 65 w/o Prescriptions N/A $ $ $1, Dependent under age 65 with Consumer + Retiree over age 65 with Prescriptions N/A $ $ $ Dependent under age 65 with Consumer + Retiree over age 65 w/o Prescriptions N/A $ $ $ Medical and Term Life Insurance premiums are paid monthly through drafting of your bank account. 12

13 RETIREE TERM LIFE INSURANCE PROGRAM Eligibility Requirements to participate in the Retiree Term Life Insurance Program: Age 55 or older Ten years of service based on your anniversary (adjusted service) date* Participation in the Term Life Insurance Program as an active employee As a retiree, you have the option to continue one or two times your ending Benefits Annual Rate for Term Life Insurance. For example, if your Benefits Annual Rate at the time of your retirement is $30,000, you could purchase a policy value of $30,000 or $60,000. Premiums are based on your age, Benefits Annual Rate and the level of coverage you choose. Retirees may also choose to convert a portion of their active Term Life Insurance coverage. If you are interested in this option, you must contact Benefits Administration within 31 days after your retirement date at , option 1. *Retirees who have not yet reached the 10 th anniversary of their adjusted service date are not eligible for Term Life Insurance. OTHER FLEXIBLE BENEFITS As a BB&T employee, you have the option to participate in many other benefit programs. These benefits will change upon your retirement as follows: Dental Program, Vision Program and Flexible Spending Accounts Continued coverage under BB&T s Dental Program and Vision Program is available for a limited 18-month period of time through COBRA. You will automatically receive a COBRA enrollment form for continuation of dental and vision benefits after your status is changed to Retiree. You can expect this form to arrive approximately 2-3 weeks later. If you participate in the Health Care or Dependent Care Flexible Spending Accounts (FSAs), you may use your remaining balance for expenses incurred during your months of employment in the current plan year. To continue unrestricted access to your Health Care FSA, you may elect to continue contributions on an after-tax basis by completing the appropriate COBRA enrollment form. Contact the Human Systems Service Center at , option 1, if you have questions pertaining to the administration of the FSA in conjunction with COBRA. Remember, any balances remaining in an FSA at the end of the calendar year are forfeited. You may not elect COBRA for your Health Care FSA if you enroll in the Retiree Medical Program s Consumer Option with HSA. Disability Program, Accidental Death and Dismemberment Program and Dependent Life Insurance Program Your coverage under the Disability Program ends at your retirement. Coverage under the Accidental Death and Dismemberment Program (AD&D) and the Dependent Life Insurance Program also ends at retirement. However, you do have the option of converting AD&D coverage and Dependent Life coverage to an individual policy. Please call Benefits Administration within 31 days after your retirement date at , option 1, for more information. OTHER PROGRAMS BB&T Insurance Services If your homeowners insurance or automobile insurance is currently deducted from your pay, please contact Travelers Insurance at to make payment arrangements for your insurance premiums. 13

14 BB&T employees, retirees and board members receive competitive auto* and homeowners insurance rates through Travelers Insurance Company.** For information, or to request an insurance quote, please call the appropriate number below. Have your current insurance information available when you call. Personal insurance (auto, home, RV, boat): NC, SC, GA, TN, VA, KY, MD, AL, DC, FL, TX WV All other states **Travelers Employee Program is not available in West Virginia Branch Banking and Trust Company. Insurance products are offered through BB&T Insurance Services, Inc., a wholly owned subsidiary of Branch Banking and Trust Company. Insurance products are: Not a deposit. Not FDIC insured. Not guaranteed by Bank. Not insured by any Federal Government agency. May be subject to investment risk. BB&T Insurance Services, Inc. CA License # 0C Insurance.BBT.com. Critical Illness Coverage BB&T offers critical illness coverage through Aflac to benefits-eligible employees who are actively at work. This benefit is not part of the Flexible Benefits Plan and has a separate annual enrollment. If you have any questions, please contact the Aflac Group Critical Illness Insurance Customer Service Center at Representatives are available Monday through Friday, from 9:00 a.m. to 6:00 p.m. Eastern Time. BB&T Discounted Banking Services: As a retiree, you are eligible to receive two of the following personal deposit accounts with no monthly maintenance fees and no minimum balance requirements. You may have two of the same account or one of each; the choice is yours. Bright Banking Regular Savings As a BB&T retiree, you will continue to receive the following discounted banking services: No-fee Automatic Overdraft Protection Transfers No-fee official checks (one per statement cycle) No-fee money orders (one per statement cycle) Free BB&T Check Card with Cash Rewards Free Mobile Banking Free BB&T OnLine Banking and OnLine Bill Payment Unlimited BB&T Phone24 Automated Services and BB&T Check Card transactions Discount on The Plus Package (only $1 per monthly statement cycle) Preferential rate for Constant Credit of 14 percent APR*. BB&T offers many types of mortgage loan options and terms to fit your home financing needs. And as a BB&T employee, you are entitled to a 1% discount credit that can be used to buy down your rate.** This 1% discount credit may be used for all new purchases of primary residences and BB&T Refinances of non-bb&t mortgages on primary residences.*** A 10% discount on all Discount Brokerage trades No sales charge when investing in A-shares of BB&T Funds. For more information, employees should contact BB&T Investment Services to arrange for a no obligation meeting with an Investment Counselor. *Subject to credit approval. **Please note that this 1% discount credit is not a 1 % discount (or reduction) in the actual interest rate. Please contact your local BB&T Mortgage Loan Professional for more details. ***A 1% discount credit may be used for all new purchases of primary residences and BB&T Refinances of non-bb&t mortgages on primary residences. It does not apply to refinances of existing BB&T Mortgages, nor the purchase or refinance of second homes or investment properties. Not valid with any other offer. Loans Subject to Credit Approval. Loan products are offered through Branch Banking & Trust Company. Equal Housing Lender. 14

15 Stock Options and Restricted Stock If you have unexercised stock options or restricted stock units, it is important that you review the retirement provisions of your stock option and/or restricted stock unit agreements. Please note that effective January 1, 2008, future grants are subject to a six-month post-grant service requirement. If you have any questions, please call the Executive Programs team at Service Awards To be eligible for service awards, you must work until the anniversary of your hire date. For instance, if you work 40 hours per week and plan to retire in August, you will have met the 1,000-hour requirement to receive credit in the BB&T Pension Plan for this year. However, if this is a year in which you are eligible for a service award and you were hired in October, you will need to work until the anniversary of your hire date in October to receive your service award. Please contact Lisa Hedgpeth at if you have questions about service awards. 15

16 Get Straight Answers to Your Payroll and Benefits Questions by contacting the Human Systems Service Center or Benefits - benefits@bbandt.com Payroll - payroll@bbandt.com NOTE: BB&T Corporation retains the right to change or terminate all benefits offered to retirees at any time. These changes include, but are not limited to: changing the terms of any policy or contract and changing the schedule of medical benefits or the amount you must pay to obtain coverage for you and your dependents.