As reported last week by the Benefits Advisory Committee, Stetson University is making several changes to the current benefit offerings. Human Resources will provide information about these changes and about the upcoming open enrollment process over the next few weeks in Stetson Today and StetsonConnect. This first article provides a brief recap of the changes:
The university will be changing from our current group health insurance provider, Florida Blue, to United Healthcare, effective Jan. 1, 2016. Although we had a 0 percent increase in health care rates in 2015, our plans had a significant increase in large claims experience throughout the year. This resulted in a 27 percent initial renewal increase for 2016. Working with our health care consultant, the Benefits Advisory Committee looked at alternative plans that would provide quality health insurance with a similar design to our existing plans. United Healthcare (UHC) offered a largely similar plan design at an overall average rate increase between the HMO and PPO plans of 10.1 percent, a rate that Florida Blue was not able to nearly approximate. UHC is a well-respected and highly rated company whose network uses 98.4 percent of the top providers used by Stetson members through Florida Blue. Overall, HMO rates will be capped at a 10.1 percent increase due to a subsidy provided by the University, and PPO rates have decreased by approximately 13 percent. The university will continue to provide a premium subsidy so that no employee pays more than 7.2 percent of their Stetson salary, based on the HMO rate. Further information about the UHC plans and individual contributions will be available shortly in anticipation of Open Enrollment. In the meantime, feel free to check out the UHC website at uhc.com. Our networks are listed within the United Choice Plus and United Choice Plus HMO plans.
Effective October 1, 2015, the one-time-salary cap of $50,000 will be increased to $250,000 at no cost to employees.
Stetson will also be making changes to the defined contribution plan investment platform administered by TIAA-CREF. These changes will allow for better institutional review and oversight of performance while also reducing fees paid by employees. Employees have the option to remain with the current products but will be responsible for the higher associated fees and current annuity participants will not have to change products.
Please watch for upcoming articles in Stetson Today and StetsonConnect and as always, please feel free to contact Human Resources if you have any questions.