Preparing for Retirement

Your Institution’s Retirement Health Plan

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Putting the Pieces Together

Is my pension enough?

Will I need additional insurance?

What will Medicare cover?

What about out-of-pocket expenses?

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Medicare Coverage & Costs

*Source: National Institute on Aging, Newsroom, Dramatic changes in U.S. highlighted in new census, NIH report, June 26, 2013.

Is Medicare Enough?

Medicare is the primary payer, but retirees also need supplemental health insurance

62%

Medicare is Not EnoughMedicare covers only about 62% of total healthcare expenses in retirement.*

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Medicare Expenses in Retirement Add Up

Annual deductible, copays & coinsurance

Part A - Hospital Annual premiums,

copays & coinsurance

Part B - Doctor

Annual premium, copays & coinsurance

Part C – Medicare Advantage Annual premium, deductible,

copays, coinsurance, Coverage Gap cost shares

Part D – Rx

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Healthcare Expenses in Retirement Add Up

Supplemental or Medicare Advantage premiums and deductibles

Medical equipment not covered by insurance

Vision & hearing

Long-term care

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Your Institution Has You Covered

• General retirement

expenses

• Taxble distribution

• Beneficiaries

• Assets passed to

estate

Retirement Plan

Retirement Health Plan

• Exclusively for

health expenses

• Tax-free

distribution

• Dependents

• Assets passed

back to plan

Income Security + Healthcare Security = Retirement Readiness

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Emeriti Retirement Health Benefit

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Institution makes tax-free contributions to your health account

You may make after-tax contributions

Upon separation of service, use assets, tax-free, for reimbursement of qualified medical expenses

Upon turning 65, enroll in the plan’s group health insurance

Pay premiums tax-free out of your health account

Triple Tax Advantage

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Reimbursement BenefitFor You & Your Dependents

Pre-65 & COBRA premiums

Supplemental Insurance, long term care and related nursing or in-home health services

Medicare premiums& cost shares

Vision, dental, hearing, and other post-65 insurance premiums

Dependent relatives

Permanently disabled children

Dependent children (to age 26)

Same sex and opposite sex domestic partner (pre- or post-65)

Spouse (pre- or post-65)

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2016 Post-65 Group Health Plans

5 Medical Plans

• Three Medicare Advantage PPO/ PPO ESA Plans

• Two Medicare supplemental plans ( L & K)

3 Part D Rx Plans

• Rx Premium Plan• Rx Plus Plan• Rx Standard Plan

Optional Dental

Plan

Available with medical/Rx combination or with the Rx Standard stand-alone plan

In and out-of-network coverage

Medicare-approved

One time enrollment

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How Medicare Advantage Plans Work

Aetna provides Medicare Parts A & B

benefits(Aetna is primary)

One plan. One card.(you still need to get your Medicare card.

You still pay Part B premium)

Ongoing support for health and wellness:Aetna Nurse Case Manager

Wellness Coach

Extra benefits at no additional cost:

Annual eye & hearing examsSilver & Fit Exercise

& Aging Program

Medicare Advantage

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How Standard Medicare Part D Works

You pay first $360 as deductible

You pay 25% of drug costs

You pay 45% of brand drugs(50% manufacturers discount and Plan pays 5%)

You pay 58% of generic drugs

You pay 5%• Greater of $2.95

or 5% for covered generic.

• Greater of $7.40 or 5% for all other drugs.

DeductibleInitial Coverage Period

Coverage Gap

Catastrophic Coverage

You reach the Coverage Gap at $3,310 in total Part D covered drug expenditures.

You reach Catastrophic Coverage at $4,850 in True Out-of-Pocket costs.

Baseline for how Aetna plans work

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2016 Post-65 Group Health Plans

Permanently disabled children**

Dependent children (to age 26)

Same sex and opposite sex domestic partner (pre- or post-65) plan*

Spouse (pre- or post-65)

Available for You and Your Dependents

Attain retirement status

Be age 65 +

Be enrolled in Medicare Parts A & B

When can you enroll in insurance?

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Your Emeriti Retirement Health Plan

Automatic Billing

Dependent CoveragePortability

Guaranteed Issue Annual Choice

Enroll spouse/dependents in plans of their choice.

Take plans wherever you live in

retirement.*

Switch between plans annually, with no medical

underwriting ever.

Premiums deducted from your health account.

*Based on state insurance requirements.

Emeriti’s Group

Insurance Advantage

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Next Steps

Let your Human Resources Director know and get

Emeriti’s nearing retirment kit.

Have a retirement date in mind?

Contact Social Security 3 months prior to your

retirement date to enroll in Medicare Parts A and B.

Ready to retire?

Contact the Emeriti Service Center to request an

insurance enrollment kit.

Already enrolled in Medicare?

1 2 3

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For More Information

Emeriti Service Center

1-866-EMERITI (1-866-363-7484)

Call or visit us online.

Visit the Emeriti website

www.EmeritiHealth.org

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Accumulation

Insurance

Dis

burs

em

ent

Overs

ight

Founded the Program, oversight, legal, insurance renewal.

EMERITI

TIAA-CREF

AETNA

SAVITZ

Emeriti’s Service Delivery

Accumulation record keeper, investment trust management.

Disbursement record keeper, insurance enrollment and billing, QME adjudication.

National insurance underwriter.

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ThankYouFOR JOINING US

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2016 Post-65 Group Medical PlansPlan Type Aetna Medicare

Advantage Premium ESA

Aetna Medicare Advantage

Plus PPO/ESA-PPO

Aetna Medicare Advantage

Standard PPO/ESA-PPO

Aetna SRM Plan L

Aetna SRMPlan K

Plan Deductible

$0 in- and out-of-network

$0 in- and out-of-network

$0 in- and out-of-network

$0 $0

Medicare Deductible

$0 $0 $0 25% of Part A100% of Part B

50% of Part A100% of Part B

Primary Care $15 copay * 15% coinsurance (in-network) 25% (out-of-network)

$15 copay (in-network) 30% coinsurance (out-of-network)

25% coinsurance 50% coinsurance

Specialist $15 copay * 15% coinsurance (in-network) 25% coinsurance (out-of-network)

$40 copay (in-network) 30% coinsurance(out-of-network)

25% coinsurance 50% coinsurance

Preventive Care

100% by the Plan 100% by the Plan 100% by the Plan Some preventive care paid by Medicare

Some preventive care paid by Medicare

Out-of-Pocket Limit

$2,000 * $2,750 (in-network)$5,500 (out-of-network)

$6,700 (in-network)$10,000 (out-of-network)

$2,470 (2015 calculation)

$4,940(2015 calculation)

*In- and out-of-network

NOTES: The ESA-PPO Plan has the same benefits as the In-Network PPO Plan.Aetna’s GMS Plans A and L will be offered in Florida in place of SRM Plans K and L.

For 2016, the SRM Plans are not available in VT, MD, MN, and U.S. Territories.

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Emeriti Retirement Health Solutions provided this information and is responsible for its content. Emeriti, TIAA-CREF, Savitz, Aetna Life Insurance Company, and HealthPartners are independent corporations and are not legally affiliated.

Emeriti Retirement Health Solutions is not an insurance company, insurance broker or insurance provider.

Summary Plan Description (SPD)This presentation is intended to provide you with a brief summary of some of the details of your Employer’s Emeriti Plan and the Emeriti Program. For a full summary of the terms of your Employer’s Emeriti Plan you must consult the SPD, which will be provided to you upon enrollment or upon request.

Investment Adviser StatusEmeriti Retirement Health Solutions is a registered investment adviser for purposes of selecting the range of investment options available under the Emeriti Program. Emeriti may provide non-personalized educational materials to plan participants relating to their and their employer’s contribution to their Emeriti Plan and the allocation of their Emeriti Health Account balances among available investment options. Emeriti does not provide personalized investment advice to participants.

The participation interests in the voluntary employee contribution VEBA trusts associated with the Emeriti plans (the “Interests”) may be treated as securities under federal or various state securities laws. The offering of these Interests is subject to compliance with any applicable federal or state law. For residents of Georgia, the Interests are being offered in reliance on paragraph 13 of Code Section 10-5-9 of the Georgia Securities Act of 1973, as amended (the “Georgia Act”). The Interests may not be sold or transferred except in a transaction which is exempt under the Georgia Act or pursuant to an effective registration under the Georgia Act.

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Interests in any retiree healthcare plan discussed herein are offered solely by the employer.

Teachers Insurance and Annuity Association of America (TIAA) will provide services to the plan and may issue plan communications on behalf of the plan sponsor, in its capacity as a plan recordkeeper.

TIAA-CREF Individual & Institutional Services, LLC serves as a broker-dealer with respect to underlying mutual funds only, and does not offer, market or sell interests in such plans or otherwise provide broker-dealer services with respect to the interests in such plans.

TIAA-CREF products may be subject to market and other risk factors. See the applicable product literature, or visit tiaa-cref.org for details. Investment, insurance and annuity products are not FDIC insured, are not bank guaranteed, are not deposits, are not insured by any federal government agency, are not a condition to any banking service or activity, and may lose value.

The tax information contained herein is not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding tax penalties that may be imposed on the taxpayer. It was written to support the promotion of the products and services addressed herein. Taxpayers should seek advice based on their own particular circumstances from an independent tax advisor.

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addendum

Current Health Account Investment Options

Ticker Fund Name (Retirement Class)

TIEXX TIAA-CREF Money Market R

TLIRX TIAA-CREF Lifecycle Retire Income

TCLEX TIAA-CREF Lifecycle 2010 Retire

TCLIX TIAA-CREF Lifecycle 2015 Retire

TCLTX TIAA-CREF Lifecycle 2020 Retire

TCLFX TIAA-CREF Lifecycle 2025 Retire

TCLNX TIAA-CREF Lifecycle 2030 Retire

TCLRX TIAA-CREF Lifecycle 2035 Retire

TCLOX TIAA-CREF Lifecycle 2040 Retire

TTFRX TIAA-CREF Lifecycle 2045 Retire

TLFRX TIAA-CREF Lifecycle 2050 Retire

Make voluntary after-tax contributions via payroll deduction or online at tiaa-cref.org

Investments accumulate tax-free and are disbursed tax-free