APS Renewal Options Benefit Year: November 1, 2017 – October 31, 2018

What are our current medical plan options? Through Kaiser Permanente, both PSE and Exempt / Excluded currently offer the following medical plans: HMO Plan PPO $100 deductible plan PPO $750 deductible plan PPO $1,500 deductible plan Qualified High Deductible Health Plan (QHDHP) with HSA option Lets take a look at some of the key benefits and current monthly rates of these plans...

Current Coverage Arlington Public Schools Medical/Rx Plans - Non-AEA   Arlington Public Schools Medical/Rx Plans - Non-AEA Benefit Outline and Cost Summary Current Coverage Network Benefit Outline HMO PPO $100 PPO $750 PPO $1,500 QHDHP w/ HSA Carrier Kaiser Permanente Plan Type Alliance HMO (RQ 105545) Access PPO (RQ 105545) Access QHDHP HSA (RQ 102382) Deductible (In/Out) $200 (2x Family) $100/$200 (3x Family) $750 (2x Family) $1,500 (3x Family) $1,500/$3,000 (2x Family Agg.) OOP Max incl. Deductible (In/Out) $2,000 (2x Family) $1,000/Unlimited (3x Family) $3,000 (2x Family) $4,000 (3x Family) In: $5,100 ($6,850 Family) Out: $10,200 ($13,700 Family) Coinsurance (In/Out) 100/0% 90/70% 80/60% 80/60% Enhanced: 90/60% Office Visit $15/100% $15/100% (dw) Enhanced: $5/100% (dw) First 4 Visits: $25/100% (dw) 5+ Visits: $0/80% $20/80% Enhanced: $10/80% $0/80% Outpatient Lab/X-Ray $0/100% $0/90% First $500: $0/100% (dw) $501+: $0/80% Emergency Room $100/100% $75/90% $75/80% $100/80% Prescription Drugs $15/$30 (2x Mail) In: $15/$25/$45 (2x Mail) Out: Not Covered In: $20$45/$65 (2x Mail) Out: Not Covered After Ded.: $10$35/$70 (2x Mail) Out: Not Covered Preventive Care $0/100% (dw) $0/100% (dw); Net. Only Monthly Rates Non-AEA Employee 35 34 18 12 29 811.99 926.24 758.96 607.97 533.81 Employee + Spouse 6 5 3 7 1,490.77 1,700.54 1,393.41 1,116.20 980.05 Employee + Child(ren) 17 8 1,087.82 1,240.90 1,016.78 814.50 715.15 Employee + Spouse & Child(ren) 1 2 9 1,786.95 2,038.41 1,670.25 1,337.96 1,174.77 Total Employees 58 52 30 26

HMO Renewal Kaiser Permanente **Will continue to be offered will all options EXCEPT the PEBB program

Current Plan Renewal 33/21 Arlington Public Schools   Arlington Public Schools Medical/Rx Plans - Non-AEA Benefit Outline and Cost Summary Current Plan Renewal Network Benefit Outline HMO Carrier Kaiser Permanente Plan Type Alliance HMO (RQ 105545) Core HMO (RQ 115377) Deductible (In/Out) $200 (2x Family) OOP Max incl. Deductible (In/Out) $2,000 (2x Family) Coinsurance (In/Out) 100/0% Office Visit $15/100% Outpatient Lab/X-Ray $0/100% Emergency Room $100/100% Prescription Drugs $15/$30 (2x Mail) Preventive Care $0/100% (dw) Monthly Rates Non-AEA Employee 35 811.99 936.37 Employee + Spouse 6 1,490.77 1,719.13 Employee + Child(ren) 17 1,087.82 1,254.46 Employee + Spouse & Child(ren) 1,786.95 2,060.69 Total Employees 58 33/21

2017-2018 Medical Renewal Plan Options Arlington Public Schools (Non-AEA) The Benefit Committee has thoroughly reviewed the current plans and is presenting four medical plan renewal options for the 2017-2018 year: Renew with Kaiser Permanente “as-is.” The WEA (Aetna and UHC) Plans The Premera K-12 Pool The PEBB Program 1 2 3 4

OPTION # 1 Kaiser Permanente

Renewal Choice 1 This option would renew our current medical plans “as-is.” The 2017 renewal increase for each plan is as follows: PPO $100 deductible plan PPO $750 deductible plan PPO $1,500 deductible plan QHDHP with HSA option Lets review the increase in monthly premiums for employees and their dependents with this option... 18.0% Overall increase of 17.2% 18.0% 18.0% 17.7%

Renewal Choice 1 Arlington Public Schools Medical/Rx Plans - Non-AEA   Arlington Public Schools Medical/Rx Plans - Non-AEA Benefit Outline and Cost Summary Renewal Choice 1 Network Benefit Outline PPO $100 PPO $750 PPO $1,500 QHDHP w/ HSA Carrier Kaiser Permanente Plan Type Access PPO Access QHDHP HSA Deductible (In/Out) $100/$200 (3x Family) $750 (2x Family) $1,500 (3x Family) $1,500/$3,000 (2x Family Agg.) OOP Max incl. Deductible (In/Out) $1,000/Unlimited (3x Family) $3,000 (2x Family) $4,000 (3x Family) In: $5,100/$7,150 (Family) Out: $10,200/$14,300 (Family) Coinsurance (In/Out) 90/70% 80/60% 80/60% Enhanced: 90/60% Office Visit $15/100% (dw) First 4 Visits: $25/100% (dw) 5+ Visits: $0/80% $20/80% Enhanced: $10/80% $0/80% Outpatient Lab/X-Ray $0/90% First $500: $0/100% (dw) $501+: $0/80% Emergency Room $75/90% $75/80% $100/80% Prescription Drugs In: $15/$25/$45 (2x Mail) Out: Not Covered In: $20$45/$65 (2x Mail) Out: Not Covered After Ded.: $10$35/$70 (2x Mail) Out: Not Covered Preventive Care $0/100% (dw) $0/100% (dw); Net. Only Monthly Rates Non-AEA Employee 35 34 18 12 29 1,092.54 895.26 717.21 628.26 Employee + Spouse 6 5 3 7 2,005.87 1,643.66 1,316.78 1,153.46 Employee + Child(ren) 17 8 1,463.70 1,199.39 960.86 841.69 Employee + Spouse & Child(ren) 1 2 9 2,404.40 1,970.22 1,578.39 1,382.63 Total Employees 58 52 30 26

OPTION # 2 Washington Education Association (WEA) - Aetna - UHC

Renewal Choice 2 Choose a carrier This option replaces Kaiser Permanente plans with WEA (Aetna and UHC) plans aside from a Kaiser HMO plan. Total of 28 plan options available 7 plans (QHDHP, Basic Plan, Easy Choice A, Easy Choice B, PPO Plan 3, PPO Plan 2 and PPO Plan 5) 2 carriers (Aetna and United HealthCare) each with 2 networks _______ Aetna PPO High Performance UHC Step 1: Select Plan Step 2: Choose a carrier Step 3: Pick a network

Step 1: Select a Plan Renewal Choice 2 The 2017-18 plans options are as follows: QHDHP Basic Plan Easy Choice A Easy Choice B PPO Plan3 PPO Plan 2 PPO Plan 5 Lets review the benefits for employees and their dependents with this option...

UnitedHealthcare: PPO Network Renewal Choice 2 Network Benefit Outline   QHDHP Basic Plan Easy Choice A Easy Choice B PPO Plan 3 PPO Plan 2 PPO Plan 5 Carrier WEA Network Deductible (Individual / Family) $1,750 / $3,500 $2,100 / $4,200 $1,250 / $3,750 $750 / $2,250 $500 / $1,500 $300 / $900 $200 / $600 Out-of-Pocket Maximum (Individual / Family) $5,000 / $10,000 $6,600 / $13,200 Med: $4,000 / $8,000 Rx: $2,500 / $5,000 Med: $3,500 / $7,000 Rx: $2,500 / $5,000 Med: $3,000 / $9,000 Rx: $2,000 / $4,000 Med: $2,000 / $6,000 Rx: $2,000 / $4,000 Med: $1,000 / $3,000 Rx: $2,000 / $4,000 Coinsurance (In/Out) 80% / 50% 70% / 50% 75% / 50% 80% / 60% 90% / 70% Primary Care Office Visit $0/80%, Ded. Applies $35/100% (dw) $25/100% (dw) $30/100% (dw) $20/100% (dw) Monthly Rates Aetna: PPO Network Employee 505.70 551.20 658.33 684.23 883.50 972.29 1,135.00 Employee + Spouse 926.58 1,013.88 1,199.78 1,250.40 1,620.77 1,783.32 2,185.31 Employee + Children 674.14 734.88 879.09 913.85 1,183.91 1,303.25 1,544.89 Employee + Spouse & Children 1,100.05 1,206.52 1,432.16 1,492.46 1,941.52 2,137.89 2,633.37 UnitedHealthcare: PPO Network 531.95 579.82 692.61 719.89 929.71 1,023.14 1,194.42 975.19 1,067.11 1,262.77 1,315.79 1,706.19 1,877.25 2,300.00 709.00 772.96 925.08 961.41 1,245.83 1,371.77 1,625.68 1,158.05 1,269.64 1,507.46 1,571.09 2,043.66 2,250.17 2,771.99

Step 2: Choose a Carrier Renewal Choice 2 The 2017 renewal increase for each plan is as follows: QHDHP Basic Plan Easy Choice A Easy Choice B PPO Plan3 PPO Plan 2 PPO Plan 5 Lets review the monthly premiums for employees and their dependents with this option... Aetna PPO Network UHC PPO Network

Step 3: Pick a Network Renewal Choice 2 1. PPO Network 2. High Performance Network Lets review the premiums for employees and their dependents with these options...

Renewal Choice 2 Network Benefit Outline QHDHP Basic Plan   QHDHP Basic Plan Easy Choice A Easy Choice B PPO Plan 3 PPO Plan 2 PPO Plan 5 Carrier WEA Network Deductible (Individual / Family) $1,750 / $3,500 $2,100 / $4,200 $1,250 / $3,750 $750 / $2,250 $500 / $1,500 $300 / $900 $200 / $600 Out-of-Pocket Maximum (Individual / Family) $5,000 / $10,000 $6,600 / $13,200 Med: $4,000 / $8,000 Rx: $2,500 / $5,000 Med: $3,500 / $7,000 Rx: $2,500 / $5,000 Med: $3,000 / $9,000 Rx: $2,000 / $4,000 Med: $2,000 / $6,000 Rx: $2,000 / $4,000 Med: $1,000 / $3,000 Rx: $2,000 / $4,000 Coinsurance (In/Out) 80% / 50% 70% / 50% 75% / 50% 80% / 60% 90% / 70% Primary Care Office Visit $0/80%, Ded. Applies $35/100% (dw) $25/100% (dw) $30/100% (dw) $20/100% (dw) Monthly Rates Aetna: PPO Network Employee 505.70 551.20 658.33 684.23 883.50 972.29 1,135.00 Employee + Spouse 926.58 1,013.88 1,199.78 1,250.40 1,620.77 1,783.32 2,185.31 Employee + Children 674.14 734.88 879.09 913.85 1,183.91 1,303.25 1,544.89 Employee + Spouse & Children 1,100.05 1,206.52 1,432.16 1,492.46 1,941.52 2,137.89 2,633.37 Aetna: High Performance Network 485.86 529.54 632.36 657.23 848.49 933.72 1,089.88 889.84 973.63 1,152.07 1,200.66 1,556.14 1,712.17 2,098.02 647.54 705.83 844.25 877.62 1,136.83 1,251.38 1,483.32 1,056.34 1,158.54 1,375.11 1,432.99 1,864.02 2,052.50 2,528.09 UnitedHealthcare: PPO Network 531.95 579.82 692.61 719.89 929.71 1,023.14 1,194.42 975.19 1,067.11 1,262.77 1,315.79 1,706.19 1,877.25 2,300.00 709.00 772.96 925.08 961.41 1,245.83 1,371.77 1,625.68 1,158.05 1,269.64 1,507.46 1,571.09 2,043.66 2,250.17 2,771.99 UnitedHealthcare: High Performance Network 480.71 523.90 625.61 650.20 839.35 923.67 1,078.14 880.30 963.22 1,139.67 1,187.46 1,539.39 1,693.79 2,075.03 640.33 698.03 835.20 867.95 1,124.35 1,238.02 1,467.01 1,045.15 1,145.80 1,360.28 1,417.64 1,843.65 2,030.04 2,500.62

OPTION # 3 Premera Blue Cross K-12 Pool

Renewal Choice 3 This option would move our current medical benefits to Premera. The 2017 renewal increase for each plan is as follows: PPO $100 deductible plan PPO $750 deductible plan PPO $1,500 deductible plan QHDHP with HSA option Lets review the increase in monthly premiums for employees and their dependents with this option... 7.0% Overall increase of 7.0% 7.0% 7.0% 7.0%

Renewal Choice 3 Arlington Public Schools Medical/Rx Plans - Non-AEA   Arlington Public Schools Medical/Rx Plans - Non-AEA Benefit Outline and Cost Summary Renewal Choice 3 Network Benefit Outline PPO $100 PPO $750 PPO $1,500 QHDHP w/ HSA Carrier Premera Plan Type Your Choice PPO Your Future QHDHP HSA Deductible (In/Out) $100/$200 (3x Family) $750 (2x Family) $1,500 (3x Family) $1,500/$3,000 (2x Family Agg.) OOP Max incl. Deductible (In/Out) $1,000/Unlimited (3x Family) $3,000 (2x Family) $4,000 (3x Family) In: $5,100 ($6,850 Family) Out: $10,200 ($13,700 Family) Coinsurance (In/Out) 90/70% 80/60% 80/60% Enhanced: 90/60% Office Visit $15/100% (dw) $25/80% $20/80% $0/80% Outpatient Lab/X-Ray $0/90% First $500: $0/100% (dw) $501+: $0/80% Emergency Room $75/90% $75/80% $100/80% Prescription Drugs In: $15$25/$45 Mail: $20/$40/$80 In: $20$45/$65 Mail: $40/$80/$120 20% After Deductible Preventive Care $0/100% (dw) $0/100% (dw); Net. Only Monthly Rates Non-AEA Employee 34 18 12 29 991.08 812.08 650.52 571.18 Employee + Spouse 5 3 7 1,819.58 1,490.85 1,194.33 1,048.65 Employee + Child(ren) 8 1,327.76 1,087.96 871.51 765.21 Employee + Spouse & Child(ren) 1 2 9 2,181.10 1,787.17 1,431.62 1,257.00 Total Employees 52 30 26

OPTION # 4 Public Employee Benefits Board (PEBB) Program

What is the PEBB Program? Administered by the Health Care Authority (HCA) of Washington State Key Considerations Covers over 350,000 people (including public employees, retirees and their dependents) Comprehensive insurance coverage that includes: Medical Dental Vision Life LTD

Renewal Choice 4 Arlington Public Schools Medical/Rx Plans - Non-AEA   Arlington Public Schools Medical/Rx Plans - Non-AEA Benefit Outline and Cost Summary Renewal Choice 4 Network Benefit Outline UMP Classic UMP CDHP Carrier PEBB Deductible (In/Out) $250 (3x Family) $1,400 (2x Family) OOP Max incl. Deductible (In/Out) $2,000 (2x Family) $4,200 (2x Family) ($6,850 per person in a family) Office Visit 85% Outpatient Lab/X-Ray Emergency Room $75/85% Prescription Drug Deductible $100 (3x Family) (Tier 2 & 3 ONLY) n/a Prescription Drug OOP Max $2,000 per person Prescription Drugs $10/$25/$75 Preventive Care $0/100% (dw) Monthly Rates Employee 982.00 913.00 Employee + Spouse 1,086.00 948.00 Employee + Child(ren) 1,053.00 943.00 Employee + Spouse & Child(ren) 1,157.00 967.00 Total Employees

PEBB: HSA Contribution Who’s Covered? How much is deposited into the HSA each month? Total HSA contribution by the end of the year Just you $558.34 x 12 (months) $700.08 You and your family $116.67 x 12 (months) $1,400.04

PEBB: Key Considerations Eligibility Coverage available to…. Employee Spouse Domestic Partner Eligible Dependents Medical Waiver Fee If you choose to waive medical benefits… You are responsible for the $888.00 waiver fee, and You will remain enrolled for dental, life and LTD

As a review, the Medical Renewal Plan Options are… Renew with Kaiser Permanente “as-is.” The WEA (Aetna and UHC) Plans The Premera K-12 Pool The PEBB Program 1 2 3 4

Questions?