Open Enrollment 2018Select AlaskaCare Benefits FAQs

Enrollment is now closed.

  1. Are there any changes to the AlaskaCare Benefits for this upcoming year?
  2. What facility should I choose that is in-network?
  3. Are there changes to the Pharmacy Benefits for this upcoming year?
  4. Are there changes to the Health Flexible Spending Accounts for this upcoming year?
  5. Are there any changes to the Dental Benefits for this upcoming year?
  6. Are there any changes to the Vision Benefits for this upcoming year?
  7. What are the premiums for the new coverages?
  8. Why do I need to provide my dependent's Social Security number?
  9. Consumer Choice Health Plan — What is it? And more...
Are there any changes to the health plans effective January 1, 2018?
  • There is a new Consumer Choice lower-premium medical plan with a higher deductible.
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    What facility should I choose that is in-network?

    Out-of-network providers can charge any amount they choose, so if the facility does not accept the allowed amount from your current plan, they can bill you for the rest. This is called balance billing. It is more important than ever to use a preferred facility to avoid costly balance bills and increased cost share.

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    Are there changes to the Pharmacy Benefits for this upcoming year?

    Yes, there are some important changes to the pharmacy benefit in 2018. To ensure you get the most out of your benefits, consider using mail order services and choosing a lower level drug (generic) when appropriate. This can provide access to necessary medications to stay healthy at a cost.

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    Are there changes to the Health Flexible Spending Account (HFSA) for this upcoming year?

    Yes, the Maximum Monthly contribution amount has been increased to $220.

    2018 Health Flexible Spending Account Rates
    Minimum Monthly Amount $20.00
    Maximum Monthly Amount $220.00
    Effective: Jan. 1 - Dec. 31, 2018

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    Are there changes to the Dental Plan for this upcoming year?

    No, there are no changes to the Dental plan for this upcoming year.

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    Are there changes to the Vision Plan for this upcoming year?

    No, there are no changes to the Vision plan for this upcoming year.

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    What are the premiums for Medical Coverages for this upcoming year?

    The new AlaskaCare premiuns effective Jan. 1, 2018 are as follows:

    AlaskaCare 2018 Active Employee Premiums
    Benefit Standard Economy Consumer Choice
    Monthly Employee -
    Only Contribution
    $136 $0 MEBA/IBU/ ACOA/TEAME
    $40 All Others
    $23
    Monthly Employee Contribution for Employee and Family $388 $0 MEBA/IBU/ ACOA/TEAME
    $115 All Others
    $66
    Deductible $400 / Individual
    $800 / Family
    $600 / Individual
    $1,200 / Family
    $2,500 / Individual
    $5,000 / Family
    Coinsurance 1 2 80% of allowable amount 70% of allowable amount 70% of allowable amount; 50% for out-of-network services
    Annual Out-of-Pocket Limit (See plan document for to see exclusions) $1,850 individual / $3,700 individual if out-of-network for facility services outside of Alaska or in the Municipality of Anchorage $2,850 individual / $5,700 individual if out-of-network for facility services outside of Alaska or in the Municipality of Anchorage $5,500 individual / $11,000 individual if out-of-network for facility services outside of Alaska or in the Municipality of Anchorage

    1 See section 2.1.1 of the plan booklet for a list of coinsurance exceptions, such as 100% for in-network preventive care, or reduced coinsurance levels for receiving services at some out-of-network facilities.
    2 Coinsurance will be 30% of covered charges for dependents that are covered by a State employee health trust and that coverage: has been waived, pays less than 70% of covered expenses, or has an individual out-of-pocket maximum, including deductibles, of more than $3,500.

    Effective: Jan. 1 - Dec. 31, 2018

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    Why do I need to provide my dependent's Social Security number?

    Under the individual shared responsibility provision of the Affordable Care Act (ACA), individuals must indicate their enrolled dependents, as well as themselves, have had a full year of qualifying health care coverage (called minimum essential coverage), qualify for an exemption, or pay a penalty when filing their income taxes. By providing your dependent social security numbers, we can report proof of minimum essential health care coverage to help you avoid a tax penalty or the hassle of having to prove to the IRS that your dependents had coverage. Please take a moment to review the dependents listed in the Online Enrollment system, and update the information as appropriate.

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    What is the new Consumer Choice health plan?

    The AlaskaCare Employee Health Plan is offering a new lower-premium medical plan option this year with a higher deductible than medical plans traditionally offered by AlaskaCare. The new Consumer Choice plan is a consumer driven health plan with an employer sponsored Health Reimbursement Arrangement (HRA).

    There are several things you can do to ensure you get the most value from your plan.

    Using "network" providers can provide substantial benefits to members through the elimination of what's known as "balance billing." It can also generate substantial savings to members through negotiated provider discounts. To find out whether your doctor is a member of the Aetna network, call Aetna's Health Concierge at 1-855-784-8646 or visit the Find a Doctor page.

    Get recommended preventive checkups, screenings, vaccines, prenatal care, and contraceptives. You won’t have to pay out-of-pocket for these preventive visits, when provided in network, and getting regular exams and screenings will help you live healthier. For a list of covered preventative services visit the Preventative Care Coverage Information Flyer [PDF] and the Women’s Preventive Care Coverage Information Flyer [PDF]

    Use generic drugs when available. Generic drugs offer you a safe and effective alternative to brand name drugs - but at a lesser cost. Choosing a lower tiered drug when it is appropriate can provide access to the necessary medications to stay healthy, at a cost that is more affordable.

    1. What is a Health Reimbursement Arrangement (HRA)?
    2. How does a HRA work?
    3. How does a HRA work for a family?
    4. Is this a high deductible health plan and does it qualify for a Health Savings Account (HSA)?
    5. Are all AlaskaCare members eligible for a HRA?
    6. Are preventive services subject to a plan deductible?
    7. Is the HRA part of my health benefits plan?
    8. Can I contribute funds to a HRA?
    9. Are HRA Funds considered taxable income?
    10. Can HRA funds be rolled over from year to year?
    11. How do I check my HRA balance?
    12. What happens to the money in my HRA if I leave my job or retire?
    13. Can I be enrolled in both a HRA and a Health Flexible Spending Account (HFSA)?
    14. What if I enroll in the Consumer Choice plan mid-year?
    What is a Health Reimbursement Arrangement (HRA)?

    The HRA is a tax-free medical reimbursement plan funded by the employer for members enrolled in the Consumer Choice plan. The balance of the HRA is applied towards the Consumer Choice deductible each benefit year until the HRA balance is exhausted. Unused HRA money can be rolled over to be applied towards the next benefit year deductible.

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    How does a HRA work?

    Participants in the Consumer Choice plan will receive an HRA contribution from the state in the amount of $750.00 annually for a single employee, or $1,500.00 for a family. As long as you are enrolled in the Consumer Choice plan with the state, any unused HRA funds can rollover from year to year, for a maximum of up two years (prior benefit year and the current benefit year). Once you are no longer enrolled in the Consumer Choice plan any remaining balance in your HRA will be forfeited.

    Select Alaska Benefits

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    How does a HRA work for a family?

    The family HRA account balance of $1500.00, will be applied towards the deductible before any family member must pay.

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    Is this a high deductible health plan and does it qualify for a Health Savings Account (HSA)?

    No. The Consumer Choice Health Plan does not meet the Internal Revenue Code standards for a High Deductible Health Plan, and it does not have a Health Savings Account (H.S.A.) option. Instead, the Consumer Choice Health Plan has an embedded Health Reimbursement Account (HRA), fully funded by the state, applied to the deductible, to help reduce member costs.

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    Are all AlaskaCare members eligible for a HRA?

    No. Only those employees enrolled in the Consumer Choice plan are eligible.

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    Are preventive services subject to a plan deductible?

    No, not when in-network providers are use. The health plan covers eligible preventive services at 100% when received at a network provider, so its important to make sure you are using a network provider. This means you will you have no out-of-pocket costs (no co-insurance or deductible) for eligible preventive services, including checkups and age-appropriate preventive testing (such as routine blood tests, mammograms or colonoscopies). See the Preventive Care Coverage Information Flyer [PDF] and the Women’s Preventive Care Coverage Information Flyer [PDF] for additional information on covered preventive services.

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    Is the HRA part of my health benefits plan?

    Yes, the HRA is integrated with the Consumer Choice plan to help offset your annual deductible.

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    Can I contribute funds to a HRA?

    No. IRS regulations do not allow an employee to contribute to an HRA. Only the employer can contribute to your HRA.

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    Are HRA Funds considered taxable income?

    No. Payments applied to the deductible from the HRA are benefits and not considered taxable income.

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    Can HRA funds be rolled over from year to year?

    Yes. Unused funds from a current year can rollover to the next benefit year if you remain enrolled in the Consumer Choice plan. HRA funds rollover is limited to a maximum of two years, this means that the maximum balance a single employee can have at any time is $1,500. Once you are no longer enrolled in the Consumer Choice plan, any remaining HRA funds will be forfeited.

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    How do I check my HRA balance?

    You can keep track of your account balance by keeping track of your medical claims. You can also get a copy of your claims history from Aetna.

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    What happens to the money in my HRA if I leave my job or retire?

    Any funds left in your HRA when you terminate employment or retire are forfeited. Active employees who elect COBRA have the option of continued enrollment in the Consumer Choice plan with HRA. Remaining HRA funds will remain available if you elect COBRA after leaving state employment. You should contact your health plan administrator for more information on COBRA.

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    Can I be enrolled in both a HRA and a Health Flexible Spending Account (HFSA)?

    Yes. A HRA can work in conjunction with a HFSA, but you can’t be reimbursed from your HFSA for expenses already covered by the HRA.

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    What if I enroll in the Consumer Choice plan mid-year?

    New employees will be entitled to the same HRA contribution at any time during the plan year. HRA contributions will not be pro-rated.

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