Summary of Upcoming Changes to Health Benefits

Upon the recommendation of the Benefits Committee and the approval of our Senior Staff, the College adopted changes to its health benefits, which will be phased in over two years starting July 1, 2019. The new plans are in line with plans offered by peer schools in Ohio and offer a more sustainable mix of options for both the College and employees. The changes are summarized below. Read the April 2019 announcement from Todd Burson, vice president for finance.

Updated February 28, 2020

SUMMARY

• Timing. New plan designs will be phased in over two years, with the most substantial changes going into effect in the second year, July 1, 2020. This phased approach gives employees time to review new options with plan advisors and Kenyon’s human resources team.
• Medical. The College will continue to offer its own medical insurance — what is referred to as a self-funded plan — with UMR as its plan administrator. It also will continue to offer basic and premium coverage within a preferred provider organization (PPO). In the second year, starting July 1, 2020, the College will introduce a third option: a high-deductible health plan (HDHP) and health savings account (HSA).
  
  Benefits remained largely the same in the first year, with a 5 percent increase in premiums for both employees and the College; depending on the plan, that translates to an increase of between $5 and $44 per month. New plan designs (PDF) will go into effect in the second year, starting July 1, 2020, with changes to deductibles, out-of-pocket maximums and other benefits. To help with the transition, premiums will decrease 5 percent for 2020, and the salary bands for premium calculations will be expanded, which may positively impact some employees. The new plan designs are intended to keep premium increases stable over the long term.
• Provider network. The College will retain United Healthcare (UHC) as its network of preferred providers. Effective July 1, 2019, it switched from the UHC Options network to the UHC Choice Plus network, which includes 98.7 percent of the doctors, hospitals and other healthcare professionals Kenyon employees used last year. The deductible for out-of-network providers increased to conform to the new network; in-network benefits remained the same.
• Prescription drugs. The College replaced Express Scripts with OptumRX as its prescription drug plan administrator, effective July 1, 2019. With this change, Kenyon’s plan is subject to all mandates of the Affordable Care Act, such as no co-pay for preventive care. 
• Dental. The College replaced UMR with Delta Dental as its dental plan administrator, effective July 1, 2019. Benefits were enhanced considerably, such as an increase in dental benefits from $1,000 to $1,500 annually for each dental plan participant, at no additional cost to employees or the College. Delta Dental’s provider networks are the largest in the region.
• Vision. The College will introduce expanded vision care benefits beginning July 1, 2020. For those who elect this coverage, the plan will offer a $10 co-pay for annual eye exams, $20 co-pay for materials, $225 retail frame allowance, $180 contact lens allowance and a 12-month benefit frequency. 
• Plan advisors. UMR offers a plan advisor service, which the College will implement July 1, 2020, to assist employees in assessing plan options. This call-in service will be an added benefit to all plans, and serve as an ongoing resource for finding providers, understanding coverage and reviewing claims.
• Teladoc. Beginning July 1, 2020, employees will be able to consult one-on-one with a physician via phone, video or mobile app for routine ailments. With this service, employees can avoid lengthy office waits and visits to urgent care and emergency rooms. Co-pays for the Basic and Premium plans are $10 and the HSA/HDHP plan will be subject to deductible. 

AT-A-GLANCE

Glossary

Co-insurance — the amount, generally expressed as a fixed percentage, an insured must pay against a claim after the deductible is satisfied.

Co-pay — a fixed out-of-pocket amount paid by an insured for covered services, which varies based on the type of provider: primary care physician, preferred specialist, non-preferred specialist.

Deductible — the amount paid out-of-pocket for covered expenses before an insurance company will process the remaining costs subject to co-insurance percentages.

Health savings account (HSA) — a tax-advantaged account created for individuals who are covered under high-deductible health plans (HDHPs) to save for medical expenses that HDHPs do not cover.

High-deductible health plan (HDHP) — a health insurance plan with a high minimum deductible for medical expenses that the insurance holder must pay before insurance coverage kicks in.

Preferred provider organization (PPO) — a medical care arrangement in which medical professionals and facilities provide services to subscribed clients at reduced rates. PPO medical and healthcare providers are called preferred providers.

Premium — the amount of money that an individual or business must pay for an insurance policy.

Definitions from investopedia.com/health-insurance-4427714.