0. Active Medical and Dental Benchmarking Retirement Related Benefits
(Excludes Federal Government)
November, 2016
Prepared by Aon Hewitt Health & Benefits Consulting

1. 2017 Medical/ Rx Recommendations Dental Benchmarking
About the Study
Current State
Medical Benchmarking
2017 Medical/ Rx Recommendations
Dental Benchmarking
Retirement Related Benefits

2. Current Medical/ Dental State - Offerings
Two medical/prescription vendors (prescription is carved in)
CIGNA
Kaiser
Three medical plans offered to Actives
One dental plan offered to Actives – Delta Dental
Enrollees
Plans Offered
Actives
CIGNA High Plan
1,016
CIGNA Low Plan
734
Kaiser HMO
1,695
Enrollees
Plans Offered
Actives
Delta Dental PPO Premier
3,176 2

3. Active Medical Benchmarking

4. Active Healthcare Plan – Current Medical Plan Offerings
Benchmarked Arlington Public School’s medical and Rx plans against 14 local employers:
Medical Vendors
Low Option
High Option
HMO Option
CDHP
Arlington Public Schools
CIGNA
Kaiser √
Alexandria City Public Schools
United Healthcare
Anne Arundel County Public Schools
CareFirst
√-2
√-3
Arlington County Government
√- 3
Baltimore City Public Schools
√ -
√ - 3
Baltimore County Public Schools
Anthem
√ - 2
D.C. Public Schools
Aetna
Fairfax County Public Schools

5. Active Healthcare Plan – Current Medical Plan Offerings
Benchmarked Arlington Public School’s medical and Rx plans against 14 local employers:
Medical Vendors
Low Option
High Option
HMO Option
CDHP
Arlington Public Schools
CIGNA
Kaiser √
Falls Church Public Schools
Anthem
√-2
Frederick County Public Schools
UHC
Howard County Public Schools
Aetna
CareFirst
Loudoun County Public Schools
Montgomery County Public Schools
√-3
Prince George’s County Public Schools
Prince William County Public Schools

6. Assessment of APS’ In-Network Active Medical Health Program Design – Cigna High Option
APS’ primary benefit features compared to local employers
Richness of benefits from employees’ standpoint relative to the benchmark employers with same type of plan
Arlington Public Schools
Cigna High Option
(In-Network)
VA Schools
MD /DC Schools
Deductible Individual / Family
$300/ $600
$0-$500/
$0-$1,000
$0- $750/
$0-$1,500
Out of Pocket Maximum Individual/Family
$3,000/ $6,000
 $1,500-$4,000/
$3,000-$8,000
$500-$6,350/
 $1,500-$12,700
PCP
$20
$20-$25
$5- $20
Specialists
$40
$35-$50 
$10-$30
Coinsurance
10%
0%-20% 
0%-15% 
Inpatient Hospital
$250 copay + coinsurance
$0-$400 $0
Outpatient Facility
$100 copay+ coinsurance
$0-$200
Emergency
$200
 $25-$100
Urgent Care
$50
$0-$50
Note: VA Schools range includes Arlington County Government
APS is not as rich
APS is within range
APS is richer

7. Assessment of APS’ Out-of-Network Medical Active Health Program Design – Cigna High Option
APS’ primary benefit features compared to local employers
Richness of benefits from employees’ standpoint relative to the benchmark employers with same type of plan
Arlington Public Schools
Cigna High Option
(Out-of-Network)
VA Schools
MD/DC Schools
Deductible Individual / Family
$750/ $1,500
$300-$1,000/
$600-$2,000
$100-$1,500/
$300-$3,000
Out of Pocket Maximum Individual/Family
$3,750/ $7,500
 $2,500-$7,000/
$5,000-$14,000
$500-$3,000/
$1,000-$6,000  
PCP
30%
30%-40%
20%-25%
Specialists
30%-40% 
20%-25% 
Coinsurance
10%-25% 
Inpatient Hospital
$250 copay + coinsurance
$0-$400 $0
Outpatient Facility
$100 copay+ coinsurance
 $0-$200
 $0
Emergency
$200
$0-$200 
 $25-$100
Urgent Care
$50
$0-$50
$10-$30
Note: VA Schools range includes Arlington County Government
APS is not as rich
APS is within range
APS is richer

8. Assessment of APS’ In-Network Active Medical Health Program Design – Cigna Low Option
APS’ primary benefit features compared to local employers
Richness of benefits from employees’ standpoint relative to the benchmark employers with same type of plan
Arlington Public Schools
Cigna Low Option
(In-Network)
VA Schools
MD Schools
Deductible Individual / Family
$400/ $800
$0-$250/ $0-$500
$0 
Out of Pocket Maximum Individual/Family
$3,000/ $6,000
 $1,000- $3,000/
$2,000- $6,000
$1,000- Unlimited/
$2,000- Unlimited 
PCP
$40
$20
$5-$20
Specialists
$80
 $20-$40
 $10-$30
Coinsurance
20%
0%-10% 
 0%
Inpatient Hospital
$250 copay + coinsurance
$0-$250 copay
 $0-$100
Outpatient Facility
$100 copay+ coinsurance
$0-$200 copay
$0-$20 copay
Emergency
$250
$125-$200 copay
$50-$100 copay
Urgent Care
$50
$20-$50 copay
$0-$20 copay
Note: DC Public Schools does not have this plan option
APS is not as rich
APS is within range
APS is richer

9. Assessment of APS’ Out-of-Network Active Medical Health Program Design- Cigna Low Option
APS’ primary benefit features compared to local employers
Richness of benefits from employees’ standpoint relative to the benchmark employers with same type of plan
Arlington Public Schools
Cigna Low Option
(Out-of-Network)
VA Schools
MD Schools
Deductible Individual / Family
$800/ $1,600
$500-$750/
$1,000-$1,800
$100-$300/
$100-$600 
Out of Pocket Maximum Individual/Family
$5,000/ $10,000
 $2,000-$4,000/
$4,000-$9,000
$1,000-$1,250/
$2,000-  $2,500
PCP
40%
20%-40%
20%-30%
Specialists
20%-40% 
20%-30% 
Coinsurance
 20%-50%
Inpatient Hospital
$250 copay + coinsurance
$0-$150 copay
$0 copay
Outpatient Facility
$100 copay+ coinsurance
Emergency
$250
$0-$150 copay 
$0-$100
Urgent Care
$50
$0-$25 copay
$0-$20
Note: DC Public Schools does not have this plan option
APS is not as rich
APS is within range
APS is richer

10. Assessment of APS’ Active Medical Health Program Design – Kaiser HMO Option
APS’ primary benefit features compared to local employers
Richness of benefits from employees’ standpoint relative to the benchmark employers with same type of plan
Arlington Public Schools
VA Schools
MD/ DC Schools
Out of Pocket Maximum Individual/Family
$3,500/ $9,400
$2,250-$6,600/
$4,500- $13,200 
$1,000- $6,350/
$2,000- $12,700
PCP
$10
$15-$20
$5-$30
Specialists
 $15-$60
 $5-$40
Coinsurance 0%
0%-10% 
 0%-30%
Inpatient Hospital copay
$0 copay
$150-$500 
$0-$10 
Outpatient Surgery copay
$10 copay
$50-$250 
$0-$25 
Emergency copay
$50 copay
$100-$200
$35-$300
Urgent Care copay
$15-$75
$5-$100
Note: VA Schools range includes Arlington County Government
APS is not as rich
APS is within range
APS is richer

11. Assessment of APS’ Active Medical Health Cost Share
APS’ cost share (as a % of total premium) compared to those of benchmark group
Richness of benefits from employees’ standpoint relative to the benchmark employers with same type of plan
Arlington Public Schools
VA Schools
MD / DC Schools
Cigna High Option
Individual
68%
55%-98%
70%-90%
Individual + Child(ren)
64%
50%-91%
Individual + Spouse
52%-85%
Family
57%
52%- 82%
Cigna Low Option
72%
77%-95%
75%-97%
67%
70% -79%
90%-96%
70%-77%
75%-96%
62%
Kaiser HMO Option
77%
77%-85%
73%
75%-77%
75%-80%
APS is not as rich
APS is within range
APS is richer
DC Public Schools does not have a low option plan.
Premiums for Falls Church not provided
Arlington County Government included in VA Schools
Some Public Schools does not have a EE+ Child tier

12. Recommendations
Continue to increase plan differential between Cigna High and Low Plans. Changes may include:
Change network co-pays
Change out-of-pocket maximum amounts
Move to coinsurance on certain prescription drug
Change the cost-sharing formula:
Larger School Board subsidy on the Cigna Low plan
Reduce School Board subsidy on Cigna High Plan. These changes better align with industry benchmarks.
For 2017, APS reduced the co-pays on the Cigna Low Plan to better align with benchmarks, and moved to the Standard Rx Formulary on both Cigna plans.

13. Active Dental Benchmarking

14. Assessment of APS’ In-Network Active Dental Design – Delta Dental PPO
APS’ primary dental benefit features compared to local employers
Richness of benefits from employees’ standpoint relative to the benchmark employers with same type of plan
Arlington Public Schools
Delta Dental PPO Premier
VA Schools
MD/DC Schools
Deductible
Individual
$50
$0-$55
$0-$50
Family
$0-$150
Annual Benefit Max
$1,500
$1,200-$2,000
$1,000-$4,000
Orthodontics Lifetime Max
$1,000-$1,500
$1,000- unlimited
Diagnostic/ Preventative
Basic
20%
0%-20%
Major
35%
40%-50%
20%-50%
Orthodontics
50%
Periodontics and Endodontics Covered under Basic or Major Services?
75% Basic
50% Major
APS is not as rich
APS is within range
APS is richer

15. Assessment of APS’ Active Dental Cost Share
APS’ cost share (as a % of total premium) compared to those of benchmark group
Richness of benefits from employees’ standpoint relative to the benchmark employers with same type of plan
Arlington Public Schools
Delta Dental PPO
VA Schools
MD Schools1
Individual
35%
57%-98%
48%-77%
Individual + Child(ren)
70%-97%
48%-65%
Individual + Spouse
27%-85%
48%-83%
Family
24%-82%
1Howard county public school dental program is 100% Employee paid
APS is not as rich
APS is within range
APS is richer

16. Retirement Related Benefits

17. Retirement Related Benefits
APS Sick Leave Payout features compared to local employers
Sick Leave Pay Out
APS Sick Leave
Payout Policy
Competitor Summary
Employed before 7/1/11: Paid 50%(accrued without limit) at daily rate upon retirement.
Employed Post 7/11: Paid 25% of all sick days
3 out of 9 employers do not pay out for unused sick days
Of the employers who payout (6),
the majority pay 20%-40%
Of the employers who payout,
Some include caps i.e., $10,000 lifetime maximum or the maximum dollar value changes annually and is equivalent to 25% of the previous year’s average salary.
Defined Contribution
APS Defined Contribution features compared to local employers
APS Policy
Competitor Summary
Greater of .4% of salary or $240 per year
4 out of 9 employers do not offer a company match
Of the employers who match (5), the percent is
based on gross or base pay
Two employers offer $20 per pay period ($520 annually)
APS is not as rich
APS is within range
APS is richer