Important Notices!

2008

Important Notice from
Teamsters Union 25 Health Services & Insurance Plan
About Your Prescription Drug Coverage and Medicare

Please read this notice carefully and keep it where you can find it. This notice has information about your current prescription drug coverage with Teamsters Union 25 Health Services & Insurance Plan and about your options under Medicare’s prescription drug coverage. This information can help you decide whether or not you want to join a Medicare drug plan. If you are considering joining, you should compare your current coverage, including which drugs are covered and at what cost, with the coverage and costs of the plans offering Medicare prescription drug coverage in your area. Information about where you can get help to make decisions about your prescription drug coverage is at the end of this notice.

1. Medicare prescription drug coverage became available in 2006 to everyone with Medicare. You can get this coverage if you join a Medicare prescription drug plan or join a Medicare Advantage Plan (like an HMO or PPO) that offers prescription drug coverage. All Medicare drug plans provide at least a standard level of coverage set by Medicare. Some plans may also offer more coverage for a higher monthly premium.
   
   
2. Teamsters Union 25 Health Services & Insurance Plan has determined that the prescription drug coverage offered through the Teamsters Union 25 Health Services & Insurance Plan and Blue Cross Blue Shield is, on average for all plan participants, expected to pay out as much as standard Medicare coverage pays and is therefore considered Creditable Coverage.______________________________________________________________________________

Because your existing coverage is Creditable Coverage, you can keep this coverage and not pay a higher premium (a penalty) if you later decide to join a Medicare drug plan.

When Can You Join A Medicare Drug Plan?
You can join a Medicare drug plan when you first become eligible for Medicare and each year from November 15th through December 31st. However, if you lose your current creditable prescription drug coverage, through no fault of your own, you will also be eligible for a two (2) month Special Enrollment Period (SEP) to join a Medicare drug plan.

What Happens To Your Current Coverage If You Decide To Join A Medicare Plan?
If you decide to join a Medicare drug plan, your current Teamsters Union 25 Health Services &
Insurance Plan-sponsored coverage will be affected. Please remember that prescription drug coverage offered through Teamsters Union 25 Health Services & Insurance Plan is part of your medical plan coverage. If you decide to enroll in a Medicare prescription drug plan and drop your Teamsters Union 25 Health Services & Insurance Plan-sponsored prescription drug coverage, be aware that you and your dependents will also be dropping your medical plan coverage. You will not be able to re-enroll in a Teamsters Union 25 Health Services & Insurance Plan-sponsored medical plan at a later date.

When Will You Pay A Higher Premium (Penalty) To Join A Medicare Drug Plan?
You should also know that if you drop or lose your current coverage with Teamsters Union 25 Health Services & Insurance Plan and don’t join a Medicare drug plan within 63 continuous days after your current coverage ends, you may pay a higher premium (a penalty) to enroll in Medicare prescription drug coverage later.

If you go 63 continuous days or longer without creditable prescription drug coverage, your monthly premium may go up by at least 1% of the Medicare base beneficiary premium per month for every month that you did not have that coverage. For example, if you go nineteen months without creditable coverage, your premium may consistently be at least 19% higher than the Medicare base beneficiary premium. You may have to pay this higher premium (a penalty) as long as you have Medicare prescription drug coverage. In addition, you may have to wait until the following November to join.

For More Information About This Notice Or Your Current Prescription Drug Coverage…
Please contact TeamstersCare Member Services at 617-241-9220. NOTE: You will receive this notice of creditable coverage each year. You will also get it before the next period you can join a Medicare prescription drug plan, and if this coverage through Teamsters Union 25 Health Services & Insurance Plan changes. You also may request a copy of this notice at any time.

For More Information About Your Options Under Medicare Prescription Drug Coverage…
More detailed information about Medicare plans that offer prescription drug coverage is in the “Medicare & You” handbook. You’ll get a copy of the handbook in the mail every year from Medicare. You may also be contacted directly by Medicare drug plans.

For more information about Medicare prescription drug coverage:

• Visit www.medicare.gov for personalized help;
• Call your State Health Insurance Assistance Program (see the inside back cover of your
  copy of the “Medicare & You” handbook for their telephone number) for personalized help;
• Call 1-800-MEDICARE (1-800-633-4227). TTY users should call 1-877-486-2048.

If you have limited income and resources, extra help paying for Medicare prescription drug coverage is available. For information about this extra help, visit Social Security on the web at
www.socialsecurity.gov, or call them at 1-800-772-1213 (TTY 1-800-325-0778).

Teamsters Union 25 Health Services & Insurance Plan
16 Sever Street
Sullivan Square
617.241.9220
Charlestown, MA 02129-1305

AN IMPORTANT NOTICE FOR ACTIVE TEAMSTERSCARE MEMBERS ENROLLED IN AN OUT OF AREA MEDICAL OPTION

November, 2006

We are writing to inform you that effective January 1, 2007, all active TeamstersCare members currently enrolled in the Tufts Out of Area Medical Option will become enrolled in the Blue Care Elect Preferred Option. TeamstersCare is making this change to provide you with a much broader provider network, thus saving money for you and for the Fund.

Important Note: You have full responsibility for forwarding all benefits-related information, including Identification Cards and Provider Directories, to your dependents on a timely basis. If you or your legal dependents living out of the New England area move, please notify Charlestown Member Services.

If you have specific questions about any of your benefits, call Charlestown Member Services at: 617-241-9220, ext 2 (local); 1-800-442-9939, ext 2 (in MA); 1-800-225-6135, ext 2 (outside MA).

Health Bonus Account

Coverage Period January 1, 2007 through December 31, 2007.
We are pleased to announce that the Board of Trustees has voted to continue the Health Bonus Account (HBA) for the next Coverage Period of 1-1-2007 through 12-31-2007 in the amount of $200 for eligible health care expenses. This is in addition to the $100 HBA already available for eligible health care expenses for the Coverage Period July 1, 2006 through December 31, 2006.

Health Bonus Account

The Trustees have reinstated a Health Bonus Account in the amount of $100 for Active, NCH and UPS part-time members. The $100 Health Bonus Account is designed to help pay health care costs that would normally have to be paid out of your own pocket. Examples include deductibles, co payments and certain expenses that your plan doesn’t cover.

The 2006 Health Bonus Account features include:

• The account may be used for eligible medical, pharmacy, dental or vision expenses incurred by you or your eligible dependents.
• The expense must be incurred while you are an eligible TeamstersCare participant.
• Expenses must be incurred from July 1, 2006 through December 31, 2006. Unused balances cannot be carried over to the following plan year.
• Claims and receipts must be submitted to TeamstersCare Member Services by March 31, 2007. (If possible, accumulate your bills and submit them as a single claim.)
• Claims will be processed and Health Bonus checks issued on October 31, January 31, May 31, and July 31.

Working to Enrich Your Benefits

The TeamstersCare Trustees are continually reviewing benefit enhancement opportunities and are pleased to provide two additional benefit improvements for you and your family:

• Expanded eligibility rules include an 1800 hour look-back over the previous 12-month period

Expanded Eligibility
We have added another eligibility rule to make it easier to qualify for TeamstersCare benefits. This addition will allow more members to enjoy TeamstersCare coverage.

This eligibility rule allows you to continue TeamstersCare benefits if your employer has made contributions for you of at least 1800 hours in the previous 12-month period and you have worked at least one hour in the current eligibility determination period. TeamstersCare Member Services will track your hours, and if you have not worked at least 400 hours during a fixed three month period, they will “look-back” over the preceding 12-month period to verify continued coverage eligibility.

To recap, effective September 1, 2006, continuing eligibility rules include:

Rule 1: You must work at least 400 hours during a fixed three-month period; or

Rule 2: Your employer has made contributions of at least 1800 hours in the previous 12-month period and you have at least one hour in the current eligibility determination period.

Rule 3: If you are unable to meet the requirements for the first two rules, you may be eligible to continue coverage by “buying up” the number of hours you need to remain eligible.

The TeamstersCare Eligibility Cycle chart details eligibility review dates, periods during which hourly requirements must be met and continued eligibility periods.

Note: As a UPS part-timer working at least 225 hours but less than 400 hours in a fixed three month period, you are eligible for all TeamstersCare benefits except weekly disability, life, dependent life, and AD&D. If you work at least 400 hours, you are eligible for all benefits.

Continuing coverage through COBRA may be an option if you do not meet any of the rules listed above. You can also reinstate eligibility by working at least 400 hours in a rolling three-month reinstatement period within 12 months of your loss of coverage.

For more information about Health and Welfare eligibility rules, contact TeamstersCare Member Services.
Local: 617-241-9220, in MA: 1-800-442-9939 and outside MA: 1-800-225-6135

Active Plan Change Effective 2006

Our mission as TeamstersCare Trustees is to protect you and your family. To accomplish this, TeamstersCare asks for member solidarity in making one of life’s important decisions – living a healthier lifestyle.

We at TeamstersCare are proud of the excellent benefits package that we provide to members and their families. At a time when most health and welfare funds are reducing benefits and shifting costs to their members, TeamstersCare is pleased to be improving your health, welfare and preventive care coverage.

As your caring partner, the TeamstersCare Trustees are united in sharing a vision for a strong Health and Welfare Fund. Over the years we have built strategic health alliances to provide comprehensive benefits, achieve cost reductions and support healthy living. Effective May 1 we are implementing the following improvements to help protect you,our most valuable asset.

• Reduction in preventive well-visit copay to only $5 for active members and retirees.
• Reimbursement of up to $150 for fitness and weight loss programs for Active members and Early Retiree Medical Program members living in New England.
• Increase in maximum disability benefits up to $600 per week for active members.
• New coverage for dental implants (effective January1,2006) for active and NCH members.
• Increase in lifetime benefit to $500,000 per person in TeamstersCare Early Retiree Medical Program. TeamstersCare needs members to stand strong and unite for good health and wellness.

If you are not as healthy as you want to be, now is the time to take action. Use the many TeamstersCare preventive benefits available to you and your family to stay as healthy as you can. Looking to the future, TeamstersCare will increase monthly subsidies paid for members entering the TeamstersCare Early Retiree Program on or after July1, 2006.

TeamstersCare Early Retiree Medical Program
Monthly Premium Subsidy

* Monthly premium is per person. TeamstersCare monthly subsidy amount will not change; retiree contribution amount may change.

We are your voice for benefit programs, and will continue to campaign for comprehensive benefit coverage. We are committed to helping you make healthier lifestyle choices by taking advantage of your wellness and preventive care options. Please partner with us and Unite for Healthy Living.
STAND STRONG. Unite for Healthy Living.

Active Plan Changes Effective 9/1/05

Pharmacy
Effective September 1, 2005, the retail prescription drug coverage has changed from the RESTAT network to TeamstersRx. The new TeamstersRx card may be used at most major retail pharmacy chains across the country, except Wal-Mart and Sam’s Club. The current co-payment amounts and managed drug limitations remain the same as listed in the Summary Plan Description Booklet and the Highlights Brochure.

The TeamstersCare Pharmacy benefit remains unchanged. This includes the use of the Charlestown and Stoughton TeamstersCare Pharmacies for walk-in service, and the use of the Charlestown TeamstersCare Pharmacy for mail-order.

Eligibility - Buy-Up of Coverage
Effective September 1, 2005, the TeamstersCare policy regarding the buy-up to continue coverage will change. If you buy-up for a quarter, you may not reinstate coverage during that same quarter; therefore, no portion of a member’s buy-up payment will be reimbursed. The only exception to this policy is the case where an employer submits late hours to TeamstersCare which result in the member’s reinstating for the entire quarter. See the Summary Plan Description booklet for more information.