retirement program changes affect orp and optional tax sheltered accounts offered through ut
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Retirement Program Changes (Affect ORP and Optional Tax-Sheltered Accounts Offered through UT). Brett L. Morris Assistant VP for Human Resources June 29, 2006. Definitions. ORP : Optional Retirement Plan. Alternative to TRS offered mostly to faculty members.

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retirement program changes affect orp and optional tax sheltered accounts offered through ut

Retirement Program Changes(Affect ORP and Optional Tax-Sheltered Accounts Offered through UT)

Brett L. Morris

Assistant VP for Human Resources

June 29, 2006

  • ORP: Optional Retirement Plan. Alternative to TRS offered mostly to faculty members.
  • Tax-Sheltered Accounts: Optional retirement plans offered to both faculty and staff. They take pre-tax money from your paycheck. There are no matching funds from the UT System.
  • Include UT Saver Tax-Sheltered Annuities and UT Saver Deferred Compensation Plans.
overview of changes
Overview of Changes
  • Competitive bid process
  • New enrollees must select an approved vendor
  • Vendor list updated
  • More products available
competitive bid process
Competitive Bid Process
  • First time ever done by UT System
  • Common set of vendors for all programs
  • Goal to select superior products and wide variety of investment options
  • Improve vendor accountability
  • Brand as UT System program
about approved vendors
About Approved Vendors
  • Effective September 1, all new enrollees must choose from list of approved vendors
  • Also effective 9/1, all non-approved vendors must meet minimum standards
    • Vendors who meet standards and choose to participate in UT program can continue to receive contributions (are grandfathered).
    • All others may not receive new contributions.
    • Employees will not be required to transfer accumulated balances.
approved vendor list
Approved Vendor List
  • Fidelity Investments
  • ING
  • Lincoln Financial Group
  • MetLife Resources
not on the list
Not on the List
  • GreatWest did not respond to UT System communications.
  • CitiStreet was acquired by MetLife Resources
grandfathered vendors
Grandfathered Vendors
  • Must be approved by January 1, 2007, to continue participation.
  • Grandfathered vendors to be contacted by UT System Benefits on November 1.
products available
Products Available
  • Mutual Funds
    • Single Decision Options
    • Core Menu
    • Expanded Menu
  • Annuities
  • Fixed Accounts
  • Brokerage Accounts
group insurance

Group Insurance

Annual Enrollment July 1-31, 2006

most insurance rates have not gone up
Most insurance rates have not gone up.
  • Fort Dearborn Group Term Life Insurance same
  • Fort Dearborn Accidental Death and Dismemberment the same
  • Hartford Long and Short Term Disability the same
  • CNA Long-Term Care the same
  • UT Dental Select (Delta Dental) the same
  • Superior Vision the same (and increased discounts for glasses and contact lenses)
  • Some change in rate for the basic standard term life insurance ($10,000)
assurant dental plan
Assurant Dental Plan
  • Premiums changed slightly.
    • Less cost for employee/retiree only and employee/children
    • Small increases in other coverages
    • Small changes to copays
evidence of insurability
Evidence of Insurability
  • Most forms can now be filled in online during Annual Enrollment. Form will be part of UT TOUCH.
  • One exception: EOI for Long Term Care insurance
  • Must print the form and mail to the vendor (insurer)
  • Please handle EOI early in annual enrollment.
  • Processing is done by insurance companies, and that takes time.
medco savings advisor for ut select members
Medco Savings Advisor for UT SELECT Members
  • Tool designed to help you save money on your prescriptions.
  • Available at
  • Can identify cost-saving alternatives for prescriptions
  • Can print information to discuss with doctor
  • Can print a fax form for doctor to request new prescription
other changes
Other Changes
  • Three options when you need a specialty dentist with Assurant Dental
  • Personal Health Manager available for HMO Blue members
  • Special Beginnings prenatal program for participants in both UT SELECT and HMO Blue.
    • Blue Cross/Blue Shield gives mothers-to-be who enroll during first trimester a $50 gift card from Target.
medical insurance
Medical Insurance
  • Choices
    • HMO Blue to be offered FY 06-07 for the last time.
    • FY 07-08 will offer UT SELECT alone.
  • Price
    • Costs higher for both plans. UT absorbs part of higher cost.
    • Cost for HMO higher than for UT Select.
    • First time ever, a cost for full-time employee-only coverage for HMO Blue (not UT SELECT).
employees who cover a grandchild on hmo blue
Employees Who Cover a Grandchild on HMO Blue
  • Please check with our Benefits office about eligibility criteria for UT SELECT before making your final choice.
positive enrollment
Positive Enrollment
  • UT System didn’t want anyone surprised by the increased cost for the HMO.
  • The default UT TOUCH choice will be UT SELECT.
  • Even if employees now have HMO Blue, they must still select HMO Blue during open enrollment.
  • This process is called a positive enrollment for HMO.
how does ut flex work
How Does UT FLEX Work?
  • UT FLEX Accounts
    • Lower taxes
    • Reduce medical expenses
    • Can also be used for day care expenses
  • How UT FLEX Works
    • Must re-enroll every year at annual enrollment.
    • Set aside pre-tax money to pay for expenses.
ut flex
  • Medical Care
    • Medically necessary health care expenses
    • Some over-the-counter items
    • Optional FLEX Convenience Card (debit card)
    • $15 - $416/month
  • Dependent Day Care
    • Children under 13
    • Qualified disabled dependents of any age
    • $15 - $416/month
  • “Use it or lose it.” (Grace period till about mid-November of following plan year)
for more information about ut flex
For More Information about UT FLEX
  • Call our Benefits office at 210.567.2610
  • Email [email protected]
  • Call PayFlex Systems, Inc., at 866.887.3539
  • On the Web, go to:
    • and
transitional benefits when you change medical plans
Transitional BenefitsWhen You Change Medical Plans
  • If you and are being treated for a chronic or ongoing medical condition, you may be eligible for Transitional Benefits.
  • Transitional Benefits give you up to 3 months to find a new Network provider while continuing to see your current doctor.
  • Claims will be paid at new plan’s Network benefit level.
  • Happens when the doctor under your current plan is not a contracting provider with next year’s plan.
transitional benefits
Transitional Benefits
  • Some medical conditions that might be eligible for Transitional Benefits consideration include:
    • Pregnancy
    • Cancer
    • Heart Failure
    • Diabetes
    • Physical Therapy
    • Allergy Treatments
    • Organ Transplant
    • Behavioral Health Care
new hiring procedures

New Hiring Procedures

When Hiring Employees from Other UT Components

(Recruiting between Components)

new directive from executive vice chancellors of ut system
New Directive from Executive Vice Chancellors of UT System
  • This process is called “recruiting between components.”
  • We must notify the other institution in advance that we’re making a job offer.
  • In San Antonio, we must be especially careful about UTSA since that component is in the same city.
next presentation

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