Plan 100 Participants: Selecting a Different Plan
Plan 100, a medical plan administered by Independence Blue Cross (IBC), will no longer be offered by the University beginning July 1, 2005. Plan 100 is a “traditional indemnity” type of plan—one that has become less common and, as a result, more expensive to maintain than newer types of plans like Preferred Provider Organizations (PPOs) and Point-of-Service (POS) plans. Currently, there are about 400 participants in Plan 100, which was closed to new faculty and staff hired on or after July 1, 2001. This number is down considerably from over 1,000 participants in the year 2000. The vast majority of eligible Penn faculty and staff are currently enrolled in one of the other four available plans (3,400 in the PENNCare/Personal Choice PPO plan, 1,300 in the UPHS POS plan, 4,500 in the Keystone HMO and 1,600 in the Aetna HMO).
Because Penn is one of only two remaining IBC clients that provide this type of program, the administrative costs are extremely high relative to other plans. In an environment of continually escalating health care costs, it has not been costÅ]efficient for Penn to maintain this plan, especially when the other options offer the same—if not better—benefits. In addition, employee contributions for the other plans are significantly less than those for Plan 100.
Faculty and staff who are currently enrolled in Plan 100 will need to select a different plan during this year’s open enrollment in April. The University offers several different medical plan options—the PENNCare/Personal Choice plan (a PPO), one of two HMOs or the UPHS POS plan. Each of these options differs in terms of the need to coordinate care through a primary care physician (PCP) or see doctors who are in a network. While benefits are greater if the participant uses in-network providers, both the PENNCare/Personal Choice plan and the UPHS POS plan do offer out-of-network benefits. More details on the specific provisions of these plans will be provided with the open enrollment materials that will be sent to your home address in early April.
A letter was recently sent by Human Resources to Plan 100 participants. The letter contains details about the change and a complete list of the features of the other plan options. Anyone with questions is urged to call the Penn Benefits Center at 1-888-PENNBEN (1-888-736-6236).
—Division of Human Resources
Almanac, Vol. 51, No. 23, March 1, 2005
March 1, 2005
Volume 51 Number 23