Date: Dec. 11, 2017
From: Human Resources
To: IUOE 882 employees enrolled in Extended Health
Subject: Changes to Vision Care Benefit and Health Spending Account Annual Credit: Jan. 1, 2018
As a result of the new UBC and IUOE 882 Collective Agreement, we are pleased to inform you that effective Jan. 1, 2018, your vision care benefit and health spending account (HSA) credit under your Extended Health plan will be changing as follows:
|Old||New – Effective Jan. 1, 2018|
|Maximum per person||$400 in a 24-month period||$600 in a 24-month period|
|Eligible vision care expenses||
|Health Spending Account (HSA)|
|Annual credit for each IUOE 882 employee enrolled in Extended Health||$400/year||Calendar years 2018, 2019, 2019 and 2021: $1,100/year
Calendar year 2022 and onwards: $1,000/year
*Prescription frames, lenses and contact lenses must be prescribed by an ophthalmologist, licensed optometrist and also obtained from an ophthalmologist, licensed optometrist or optician.
We have compiled a list of frequently asked questions to explain how the change will impact you:
What is my maximum for vision care?
Effective Jan. 1, 2018, the new vision care maximum is $600 in any 24 month period for each covered individual. In other words, you and each of your insured dependents will be reimbursed for eligible vision care expenses up to $600 each.
What if I, or one of my covered dependents, have already submitted and been reimbursed for vision care claims in the last 24 months?
If you, or one of your covered dependents, received reimbursement for eligible vision care benefits in the last 24 months, starting Jan. 1, 2018 you will receive reimbursement for $600 less the amount already reimbursed for vision care benefits in the previous 24 months (Jan. 1, 2016 – Dec. 31, 2017).
If you were reimbursed $175 for eyeglasses during the period Jan. 1, 2016 to Dec. 31, 2017, your vision care balance is $425 ($600 – $175) commencing Jan. 1, 2018.
However, if you, or one of your covered dependents, had no vision care claims from Jan. 1, 2016 to Dec. 31, 2017, you or your covered dependents are eligible for $600 of vision care benefits on Jan. 1, 2018.
How can I find out my current vision care balance?
What kind of claims can I claim under my health spending account?
Your HSA benefit can be used for many expenses that are either not covered or are only partially covered by UBC’s Extended Health and Dental plans.
Here are some examples of eligible expenses you can claim under your HSA:
- The $25 annual deductible for Extended Health;
- Extended Health and Dental claims that you were not fully reimbursed for due to plan limitations such as maximums and reasonable and customary charges or unpaid portions due to coinsurance (for example, if Sun Life covers 80% of your prescription drug claim, you can claim the 20% portion that you pay);
- Medical expenses not covered under the Extended Health and Dental plans, but considered eligible medical expenses by the Canada Revenue Agency (for example, eye exams, laser eye surgery, physician fees for completing forms/reports; and insurance premiums for private health or dental care coverage including out-of-country coverage).
I have unused Health Spending Account credits for the calendar year 2017. What will happen to those credits?
Any unused HSA credits from Jan. 1, 2017, to Dec. 31, 2017, will be carried forward and must be used in the 2018 calendar year. Since you are only able to carry forward credits for one year, any unused credits from 2016 will expire after Dec. 31, 2017.
What credit will I receive for calendar year 2018?
On Jan. 1, 2018, you will receive your new annual HSA credit of $1,100 (previously, you received a $400 annual credit). Your new credit will be updated on the Sun Life Plan Member website by Jan. 5, 2018. If you have any unused credits from calendar year 2017, it will be added to your 2018 credit.
If you have questions about this memo, please email email@example.com.