EFTA01834236

To: jeevacation©gmail.com(jeevacation©gmail.com) From: Rich Kahn Sent Mon 1/24/2011 9:37:08 PM Subject: re: United Healthcare - NES (2/1/11 Renewal) Attached is feedback from Health Insurance broker regarding renewal. I had asked her if we could have a 1 month extension to renew policy. Unfortunately they do not allow that and need a decision by 1/31/2011. To recap our conversation from Friday: United Health care monthly increase is from 19,414.12 to 25,801.37 (6,387.25 per month or 76,647 per annum — 33% increase). I have outlined a number of options to help offset that cost. a) Have employees contribute a % of total health care costs: a. At 10% contribution net JEE additional cost = $45,685 per annum — equivalent to JEE increase of 19.6% i. Single would pay 585.73 (monthly cost) x 12 months x 10% = 702.87 ii. Family would pay 1,815.76 (monthly cost) x 12 months x 10% = 2,178.91 b. At 15% contribution net JEE additional cost = $29,518 per annum — equivalent to JEE increase of 12.7% i. Single would pay 585.73 (monthly cost) x 12 months x 15% = 1,054.31 u. Family would pay 1,815.76 (monthly cost) x 12 months x 15% = 3,368.37 c. At 20% contribution net JEE additional cost = $14,723 per annum — equivalent to JEE increase of 6.3% i. Single would pay 585.73 (monthly cost) x 12 months x 20% = 1,405.75 ii. Family would pay 1,815.76 (monthly cost) x 12 months x 20% = 4,357.82 EFTA_R1_00213150 EFTA01834236 b) Eliminate Dental coverage at a total cost savings to JEE of $26,128 a. Net JEE Health insurance additional cost = $50,519 per annum — equivalent to JEE increase of 21.7% c) Eliminate Life and Disability coverage at a total cost savings to JEE of $41,693 a. Net JEE Health insurance additional cost = $34,954 per annum — equivalent to JEE increase of 15.0% d) Keep as is and use as a future offset against raises and bonuses Please advise which option or combination of options you prefer Rich Kahn HBRK Associates Inc. 301 East 66th Street, Suite 101 New York, NY 10065 tel 646-862-4811 fax 646-350-0954 cell 917-414-7584 From: Janice Lichtenstein Sent: Monday, January 24, 2011 12:13 PM To: 'Rich Kahn' Cc: Subject: United Healthcare - NES (2/1/11 Renewal) EFTA_R1_00213151 EFTA01834237 Rich, United Healthcare has indicated that the request for an off-renewal plan change was denied due to high utilization. Any plan change must be received before the end of this month for a 2/1/11 date. I'm sorry that the response was not more favorable. Please let me know if you have any other questions. Thank you. Janicc Janice Lichtenstein Employee Benefits Insurance Office of Central Ohio 614.939.5448 614.939.5453 7 7 ianiceibioco-columbus.com This e-mail and any files transmitted with it are confidential and intended solely for the use of the individual or entity to which they are addressed. Any other use of this information is strictly prohibited. If you have received this e-mail in error, please notify our office and delete the file immediately. Thank you. EFTA_R1_00213152 EFTA01834238