HRA Plan FAQs
Why are the Trustees making changes to our benefits?
The Trustees have tried to address rising health care costs in recent years by increasing employer contributions and making small benefit changes. We can’t continue to provide reliable, high-quality medical coverage, that is still affordable, without a bigger change. With the new HRA Program and medical plan options, we can continue offering comprehensive coverage to you and your dependents, while keeping costs in check for you, the Plan, and our contributing employers.
What are the medical plan options?
Plan A is identical to the plan we offer now, and t requires the most Credits for eligibility. Plan B has a higher deductible and higher cost-sharing than Plan A, and it requires fewer Credits for eligibility than Plan A. Plan C has the highest deductible and cost-sharing, and it requires the fewest Credits for eligibility.
How do I become eligible for a medical plan option?
You can elect coverage during open enrollment only if your HRA Account Credit balance is equal to or greater than three months of the cost of coverage for the plan option you elect. If you do not have enough Credits to enroll in a plan, or choose to wait until you have enough Credits for the plan you prefer, you can request to enroll in coverage at any point during the year once you’ve met the Account Balance requirement.
How do I remain eligible for medical coverage?
You remain eligible for coverage each month when you have enough Credits in your HRA Account to pay for the health plan you have selected. If you don’t have enough Credits in your HRA Account in a month for the plan option you elected, you may self-pay the difference for that month. You may also elect COBRA coverage (if you’re eligible), purchase other coverage under a public health exchange at healthcare.gov, or waive coverage. When your HRA Account Credit balance is once again equal to or greater than three months of the cost of coverage for the plan option you previously selected, you can request to re-enroll in coverage under that plan.
What is a Health Reimbursement Arrangement (HRA)?
An HRA is an account you can use to be reimbursed for eligible health care expenses on a pretax basis. Beginning March 1, 2021, the Plan created an account for all eligible participants. That account will receive Credits on your behalf for each hour of covered employment that you work. You’ll use those Credits to determine if you’re eligible for coverage and to maintain your coverage, and/or to be reimbursed for eligible health care expenses.
What can I use my HRA for?
You’ll receive Credits in your HRA Account based on employer contributions received on your behalf for each hour you work in covered employment. You’ll then use those Credits to be eligible for coverage and/or to be reimbursed for eligible health care expenses. Qualified health care expenses include amounts paid by you or your covered dependents for deductibles, copayments and coinsurance under this Plan or any other qualified group health plan in which you’re enrolled.
Can I enroll during the year?
If you don’t have enough Credits to be eligible to enroll in a medical plan option during open enrollment, but you accrue enough during the year, you can request to enroll during the year by contacting the Plan Office.
What are Credits?
Credits are the contributions to the Plan your employer makes for every hour you work in covered employment, less $1.10 for General Account Expenses. You’ll use Credits to determine if you’re eligible for a medical plan option or to be reimbursed for qualified health care expenses.
What are qualified health care expenses?
Qualified health care expenses include amounts paid by you or your covered dependents for deductibles, copayments and coinsurance under this Plan or any other qualified group health plan in which you’re enrolled.
What are General Account Expenses?
General Account Expenses include administrative costs, stop-loss insurance, long-term disability, life insurance, waiver of premium, and fees that may be associated with the Affordable Care Act.
What if I don’t have enough Credits in my HRA Account to enroll in a medical plan option during open enrollment?
You can enroll in COBRA coverage (if you’re eligible), purchase coverage under a public health exchange at healthcare.gov, or waive coverage. When your HRA Account Credit balance is once again equal to or greater than three months of the cost of coverage for the plan option you previously selected, you can request to re-enroll in coverage based on that plan option.
Can I choose a more expensive medical plan option once I’ve accrued enough Credits?
It depends. You can switch medical plan options in the middle of the year only if you experience a qualifying event, such as marriage, divorce, or the birth of your child. Otherwise, the coverage option you choose—and the dependents you cover—will remain in effect through December 31, 2022. You’ll be able to choose a different medical plan option during the next open enrollment period in the fall of 2022, for coverage effective January 1, 2023.
What is open enrollment?
Open enrollment is your once-per-year opportunity to change your medical plan and add or drop coverage for your dependents. Outside of experiencing a qualifying event, it’s the only time you can make coverage changes.
When is open enrollment?
This year, open enrollment will be held October 18, 2021–November 1, 2021, for coverage effective January 1, 2022. In future years, open enrollment will be held in October, for coverage effective January 1–December 31 of the following year.
How do I enroll in coverage?
Fill out the enrollment form available on this website or contact the Fund Office and submit it to the Fund Office by November 1, 2021 for the 2022 calendar year.
Why can’t I withdraw Credits from my HRA?
You accrue Credits separately from your wages for each hour you work in covered employment. It’s a notional account, which means you accrue Credits—not money. Although you can use HRA Credits for your own health care expenses, those Credits belong to the Plan. For instance, if you lose eligibility for coverage, you will not receive any money from the account.
Can I keep the same coverage I had before?
It depends. If you have enough Credits to elect Plan A, you can elect to keep the same coverage as before. If you don’t have enough Credits for Plan A, you can select another coverage option or you can wait until you save up enough Credits for Plan A coverage.
What should I do if there’s an error on my personal statement?
Contact the Plan Office immediately.
What happens to my HRA Account balance if I stop working?
Credits in your HRA Account are forfeited if you’re an active member and no employer contributions are received on your behalf, or no HRA Credits are grated to you due to disability, for a period of 12 consecutive months.
What happens to my HRA Account balance when I retire?
When you retire, you’ll keep your HRA Account balance. Although you won’t receive additional Credit contributions to your HRA Account, you can use any remaining Credits to be reimbursed for eligible health care expenses.* If you retired on or before August 31, 2020, you are not eligible to participate in the HRA. If you retire and then return to covered employment, you will accrue Credits in your HRA when you begin working again.
* The $100 that is deducted from retirees’ monthly pension benefit for Plan Coverage is not an eligible health care expense.