Benefit Options Annual Report 2009

              David Raber
Interim Director
Arizona Department of Administration
Janice K. Brewer
Governor
State of Arizona
Arizona Department of Administration
Benefit Services Division
Annual
Check-Up
Benefit Options
October 1, 2008 through
September 30, 2009
FORWARD
Benefit Options is the name for the various insurance benefits offered to Arizona State
employees by the State of Arizona. This report was prepared to give a broad overview
of Benefit Options.
The information provided in the report was gathered from contractors participating in the
Benefit Options insurance programs. This report was compiled to meet the
requirements of A.R.S. §38-652 (G) and A.R.S. §38-658 (B).
The data shown is presented for the period October 1, 2008 through September 30,
2009. The active Plan Year runs October 1, 2008 through September 30, 2009.
However, all retiree statistics herein are adjusted to reflect that same period, despite the
fact that the retiree Plan Year runs January 1 to December 31.
Any questions relating to the contents of this report should be addressed to:
Benefit Options
Department of Administration
100 N. 15th Avenue
Suite 103
Phoenix, Arizona 85007
Telephone: 602-542-5008
Fax: 602-542-4048
Contents
Report Background 1
Executive Summary 2
Health Insurance Trust Fund Summary 4
Enrollment in Benefit Options Medical Plans 5
Networks for Active Employees and Non-Medicare-Eligible Retirees 6
Networks for Medicare-Eligible Retirees 7
Expenses vs. Premiums for Active and Retired Members 8
Expenses for Benefit Options Self-Funded Plans 9
Medical Expenses Associated with Medical Diagnoses 10
Hospital Care 11
Emergency Room Visits 13
Physician Visits 13
Urgent Care Visits 13
Generic and Name-Brand Prescription Use 15
Prescription Use by Therapeutic Class 15
Prescription Use by Type of Drug 16
Annual Prescription Use 17
Annual Pharmacy Expenses by Age 18
Benefit Options Dental Plans 19
Dental Rates 20
Life, Disability, Vision Insurance and Flexible Spending Accounts Premiums 21
Health Insurance Vendor Performance Standards 22
Glossary of Terms 25
Appendix A - Plan Year Cash Flow Reconciliation 28
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
1
Report Background
This document has been assembled to report the financial status of the Employee
Health Insurance Trust Fund pursuant to A.R.S. §38-652 (G), which reads:
G. The department of administration shall annually report the financial
status of the trust account to officers and employees who have paid
premiums under one of the insurance plans from which monies were
received for deposit in the trust account since the inception of the health
and accident coverage program or since submission of the last such
report, whichever is later.
The State’s Benefit Options programs fall into two major categories. The first of these
provides medical and pharmaceutical benefits; the second is comprised of various
health benefit programs including dental, vision, disability insurance, life insurance and
a flexible spending account plan.
The medical and pharmaceutical programs fall into one of two types—fully-insured and
self-funded. The health benefit programs, except for the flexible spending account plan,
are fully insured.
The State’s self-funded medical plan began on October 1, 2004. As a part of the design,
two distinct options were created: the “integrated” and “non-integrated” options. The
integrated option combines the functions of claims review and payment, network
administration, utilization review, and disease management, while the non-integrated
option contracts multiple services providers for each function.
Schedules of premiums received, incurred and paid medical/drug claims, and expenses
related to the self-funded plans are included within this document. Also included is
information regarding enrollment and the distribution of self-funded medical and
pharmacy expenses.
Although not related to the Health Insurance Trust Fund, a summary of premiums
collected and paid for life insurance, vision insurance and flexible spending accounts
has also been included. The Cash Flow Reconciliation charts for the two funds used
by Benefit Options (3015 and 3035) can be found in Appendix A. There may be
disparities in the values presented in Appendix A and the Health Insurance Trust Fund
(HITF) Summary on page 4 as a result of timing differences between when services are
rendered and when the services are paid. Appendix A was prepared on a paid basis,
where as, the HITF Summary was prepared on accrual or incurred and paid basis.
All data provided herein is for the active employee Plan Year 2008-2009 (October 1,
2008 – September 30, 2009). Except where indicated, data related to the fully-insured
Blue Cross Blue Shield and Secure Horizons plans is excluded.
Notable administrative changes for Plan Year 2008-2009 include; the removal of
coverage for political subdivisions, new dental insurance contracts, the inclusion of a +1
tier under dental coverage, and the removal of Schaller Anderson as a medical network.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
2
Executive Summary
During the Plan Year 2008-2009 the State Health Plan offered a comprehensive
insurance package to over 130,000 members. Through the Health Insurance Trust
Fund the State provided benefits to active state and university employees, retirees, and
their qualified dependents. The benefit options include; medical, pharmaceutical,
dental, flexible spending, life, and disability insurances.
To ensure the efficiency and effectiveness of the State Health Plan, during 2008-2009
BSD Audit Services developed a multi-directional audit plan which includes; contract
compliance auditing, quality management reviews, process improvement, and plan
design evaluation. Audits scheduled and completed this plan year consist of;
dependent eligibility, chiropractic and osteopathic plan allowance, preventive care plan
allowance, pharmaceutical benefit manager compliance audit among others. The audit
plan has been strategically developed to identify potential loss and facilitate corrective
action, further protecting the State and offering additional stability to insured members.
For the 2008-2009 Plan Year, the annual total expense calculated under for the plan
was $757,347,735, and the total amount collected in premiums equaled $717,332,341,
resulting in an expected net operational loss of $40,015,394. The net loss coupled with
the 2008 Contribution Strategy placed 10% of the total premium on employees, while
the State agencies absorbed the remaining 90%. This cost sharing method
successfully made for a full, affordable bundle of insurance services for members.
The analysis of expenses for Plan Year 2008-2009 showed that the average cost to
insure each member this year was $5,178. However, when divided by the type of
subscriber; the active members average cost was $5,096 compared to the average
retiree cost of $8,150. This difference in average cost between active and retiree
members is a common trend. There is a direct relationship between the age of an
insured member and their cost for health care. As the age of the State’s insured
members’ increases it is expected there will be a resultant increase in costs.
Medical claims expenses alone accounted for $500,098,992 of the total cost the health
plan during 2008-2009. When broken down by cost per diagnosis the notable leading
diagnoses include; musculoskeletal system (muscles and joints), Neoplasms (cancers),
and the circulatory system. More dollars were spent on musculoskeletal system
medical expenses than on any other diagnosis with $64,462,760 or 12.89% of claims
paid.
The examination of the hospital care reveals that inpatient care represents a significant
portion of the total medical expenses: 30% and 35% for active and retired members
respectively. Other considerable statistics show the type of medical care visits
members are utilizing. Per 1,000 members covered under the self-insured plan there
were 251.4 emergency room, 4,270 physician, and 224.7 urgent care visits, which
indicates members are seeking the care of a physician or specialist for the majority of
their medical needs.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
3
Executive Summary (continued)
The annual cost of prescription drug claims for 2008-2009 totaled $114,299,093 and a
reported 1.5 million prescriptions were filled. The top five most expensive drugs classes
could be described as maintenance drugs used to control and prevent chronic diseases.
Cholesterol-lowering drugs were the leading drug topping the list with 12 million dollars
or 10.76%. Others were anitdepressants, ulcer medications, antidiabetics, and blood
pressure controlling prescriptions. In fact, the most prescribed drug according to total
expense is Prevacid. Prevacid is typically prescribed for treating and preventing
stomach and intestinal ulcers, and remains as the leading prescription since the 2007-
2008 plan year.
Retirees on the State health plan filled an average of 30.4 prescriptions per year, while
actives fill only 10.6 per year. Similar to the medical cost per member, the
pharmaceutical expense per utilizer increases as the population of members age
increases. The analysis of data shows that the 40-64 year old members cost $1,840
compared to the cost of the 65+ members who cost $3,060 a year. As a result the
smaller population of covered retirees attributes the majority of prescription health
insurance expenses.
In addition to managing the volume statistics and expenses on the Health Plan, the
State negotiates performance measures with specific financial guarantees. These
financial guarantees are tied to the contracted performance of the vendors providing
services. If a vendor fails to meet any of the measures, a percentage of the annual
administrative fee is withheld by ADOA as liquidated damages. Over the 2008-2009
Plan Year the total collected penalties was $94,068.48 compared to the prior year’s
$123,602.28, which indicated the vendors’ performance improved during the 2008-2009
Plan Year.
In review, the 2008-2009 Plan Year demonstrated a balance of expenses and premiums
that allowed the State to offer members comprehensive and affordable insurance
coverage. The State effectively controlled the rise in health care costs through quality
benefit design, administrative oversight, strategic audit planning and efficient contracts
management. Detailed evidence of the State’s Health Plan accomplishment can be
reviewed herein.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
4
Health Insurance Trust Fund Summary
Table 1 provides a summary of receipts, expenses, and enrollment.
UMR, formerly FISERV
Health or Harrington, is
the claims payer for the
non-integrated network
of services. These
include the Arizona
Foundation, Beech
Street, and RAN+AMN
networks. UHC refers
to the UnitedHealthcare
network. Both the UMR
and UHC programs are
self-funded. Secure
Horizons, Blue Cross
Blue Shield (BCBS),
and all dental programs
are fully-insured.
In general, state and
university employees
and retirees choose
from one of the self-funded
networks.
However, Secure
Horizons is the only
fully-insured option
available to Medicare-eligible retirees and Blue Cross Blue Shield is the only fully-insured
option available to NAU employees and NAU retirees.
The Medicare Part D Subsidy is paid to employers who provide pharmacy insurance to
Medicare-eligible retirees. Rebates & Recoveries consist of rebates paid by drug
manufacturers and stop-loss payments. Reserve (IBNR) is the amount of money that
must be “reserved” for the purpose of paying claims that have been incurred but have
not been reported. Stop-loss is a “catastrophic claim�� reinsurance program that covers
individual medical/drug plan expenses over $500,000 with a lifetime maximum of $2
million.
Table 1: Health Insurance Trust Fund Summary
2008-2009 2007-2008
Receipts (accrual basis)
UMR, UHC 627,294,082 622,865,513
Secure Horizons 8,434,781 8,536,011
BCBS 34,272,496 33,707,464
Dental 47,330,983 49,186,542
Total 717,332,341 714,295,530
Expenses
Medical Claims (accrual basis) 500,098,992 467,414,597
Drug Claims (accrual basis) 114,299,093 104,369,240
Medicare Part D Subsidy (2,518,939) (2,483,125)
Rebates & Recoveries (16,688,279) (14,851,232)
Reserves for future benefits 41,255,326 38,559,679
Secure Horizons expense 7,687,528 7,719,357
BCBS Payments 34,342,197 33,713,166
Administration Fees 23,750,954 24,455,648
Stop-Loss Premiums 3,509,198 3,578,650
Appropriated Expenses 4,342,510 4,830,477
Dental Costs 47,269,155 48,878,502
Total 757,347,735 716,184,958
Difference (40,015,394) ( 1,889,429)
Enrollment
Subscribers 65,557 66,993
Members 134,918 133,099
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
5
Enrollment in Benefit Options Medical Plans
The Benefit Options group medical plan is available to all:
• eligible state and university employees, officers, and elected officials
• state retirees receiving pension benefits through any of the state retirement
systems
• state or university employees accepted for long-term disability benefits
• employees of participating political subdivisions
• state or university employees eligible for COBRA benefits
The table below shows how enrollment was distributed between networks and between
active, retired, and university members.
* Note: Schaller Anderson was no longer a Medical Network offering during the 2008-2009 Plan Year
beginning 10/1/2008.
Network availability varies by region. The following pages show the networks available
in each county.
Network Plan Type Subscribers Members Subscribers Members
AFMC
Active PPO 4 94 9 45 522 9 90
Retiree PPO 4 53 5 99 584 7 88
University PPO 4 44 8 49 469 8 74
Beech Street
Active PPO 1 27 3 86 130 3 80
Retiree PPO 2 35 2 80 259 3 10
University PPO 1 14 2 22 105 2 03
RAN+AMN
Active EPO 8 ,888 21,755 7 ,469 17,943
Retiree EPO 1 ,386 1 ,808 8 76 1,144
University EPO 2 ,927 5 ,775 1,968 3 ,664
Schaller Anderson *
Active EPO - - 8,282 18,328
Retiree EPO - - 1,350 1 ,731
University EPO - - 3,650 7 ,363
UnitedHealthcare
Active EPO 2 5,726 5 8,660 20,248 4 5,739
Retiree EPO 4 ,531 5 ,982 3,561 4 ,830
University EPO 1 3,051 2 7,894 10,527 2 2,465
Active PPO 9 20 1,699 8 54 1,590
Retiree PPO 1 93 2 53 191 2 50
University PPO 9 84 1,909 8 30 1,530
Blue Cross Blue Shield
NAU only PPO 2 ,859 3 ,016 2,854 NA
SecureHorizons
Medicare only HMO 2 ,225 2 ,886 2,225 2 ,892
Political Subdivisions EPO/ PPO - - 3 9 8 5
Total 65,557 134,918 66,993 133,099
2008-2009 2007-2008
Table 2: Average Monthly Enrollment
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
6
Networks for Active Employees and Non-Medicare-Eligible
Retirees
Mohave
Coconino
Navajo
Apache
La Paz
Yuma
Yavapai
Maricopa
Pima
Pinal
Gila
Graham
Cochise
Greenlee
Santa Cruz
RAN+AMN EPO, AZ
Foundation PPO
RAN+AMN EPO, United
EPO/PPO, AZ Foundation
PPO
Out of State: Beech Street PPO
NAU employees/retirees: Blue Cross Blue Shield
PPO
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
7
Networks for Medicare-Eligible Retirees
Out of State: Beech Street PPO
NAU retirees: Blue Cross Blue Shield PPO
Mohave
Coconino
Navajo
Apache
La Paz
Yuma
Yavapai
Maricopa
Pima
Pinal
Gila
Graham
Cochise
Greenlee
Santa Cruz
RAN+AMN EPO, AZ
Foundation PPO, Secure
Horizons High/Low Option
RAN+AMN EPO, United
EPO/PPO, AZ Foundation
PPO, Secure Horizons
High/Low option
AZ Foundation PPO
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
8
Expenses vs. Premiums for Active and Retired Members
The figure below shows how the average monthly premiums compared to the average
monthly cost for active and retired members.
$-
$100.00
$200.00
$300.00
$400.00
$500.00
$600.00
$700.00
Active Premium
Active Expense
Retiree Premium
Retiree Expense
Active Premium
Active Expense
Retiree Premium
Retiree Expense
Figure 1: Average Monthly Premiums and Expenses per
Member
Subscriber Paid
State Paid
Drugs
Medical
Administrative
2008-2009 2007-2008
ADOA developed a contribution strategy that provided affordable health insurance to all
state and university employees. The EPO plan was offered to employees for single
coverage, employee plus one, and family coverage at the cost of $30, $60, and $150.
PPO monthly premiums were determined from actual experience and the true cost of
the coverage.
The 2008-2009 contribution strategy allowed employees to pay only 10% of the total
premium, while the State absorbed the remaining 90%.
Pursuant to A.R.S. §38.651.01(B.), retiree and active medical expenses shall be
grouped together to “obtain health and accident coverage at favorable rates.” This
requirement results in retiree premium rates lower than what their experience would
otherwise dictate.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
9
Expenses for Benefit Options Self-Funded Plans
The tables below show the distribution of the self-funded expenses. Table 3 shows the
expenses distributed between active/retiree and EPO/PPO members. The average
annual cost to insure each type of subscriber/member is also provided.
Table 4 below shows the distribution of expenses by benefit plan.
Table 3: Self-funded expenses by active, retiree, EPO, and PPO subscribers and members
Expenses Overall Active Retiree EPO PPO
Medical Claims (accrual basis) 500,098,992 456,578,108 43,520,884 462,213,646 37,885,345
Drug Claims (accrual basis) 114,299,093 89,537,556 24,761,538 101,958,881 12,340,213
Medicare Part D Subsidy (2,518,939) (2,518,939) (2,091,314) (427,626)
Rebates & Recoveries (16,688,279) (14,812,286) (1,875,993) (15,594,364) (1,093,915)
Reserve (IBNR) 41,255,326 37,665,100 3,590,226 38,130,000 3,125,326
Administration Fees 23,750,954 21,081,019 2,669,935 22,194,081 1,556,873
Stop-Loss Premiums 3,509,198 3,114,716 394,482 3,279,171 230,028
Appropriated Expenses 4,342,510 4,042,207 300,303 4,102,120 240,390
Total $ 668,048,856 597,206,420 70,842,436 614,192,221 53,856,634
Enrollment in self-funded plans
Subscribers 60,473 53,675 6,798 56,509 3,964
Members 129,016 120,094 8,922 121,874 7,142
Annual cost
Per Subscriber $ 11,047 11,126 10,421 10,869 13,586
Per Member $ 5,178 4,973 7,940 5,040 7,541
Table 4: Self-funded Expenses by Active, Retiree, EPO, and PPO Subscribers and Members
Expenses (in dollars) Overall Active/ EPO Active/ PPO Retiree/ EPO Retiree/ PPO
Medical Claims (accrual basis) 500,098,992 423,775,128 32,802,980 38,438,518 5,082,366
Drug Claims (accrual basis) 114,299,093 81,400,965 8,136,591 20,557,916 4,203,622
Medicare Part D Subsidy (2,518,939) (2,091,314) (427,626)
Rebates & Recoveries (16,688,279) (13,961,494) (850,792) (1,632,870) (243,123)
Reserve (IBNR) 41,255,326 34,959,041 2,706,059 3,170,959 419,266
Administration Fees 23,750,954 19,870,161 1,210,858 2,323,920 346,015
Stop-Loss Premiums 3,509,198 2,935,812 178,904 343,359 51,124
Appropriated Expenses 4,342,510 3,839,918 202,289 262,201 38,102
Total $ 668,048,856 552,819,532 44,386,888 61,372,689 9,469,746
Enrollment in self-funded plans
Subscribers 60,473 50,592 3,083 5,917 881
Members 129,016 114,084 6,010 7,790 1,132
Annual cost
Per Subscriber $ 11,047 10,927 14,397 10,372 10,749
Per Member $ 5,178 4,846 7,386 7,878 8,366
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
10
Medical Expenses Associated with Medical Diagnoses
The table below shows how medical expenses were distributed among different
diagnoses. More dollars are spent on treating conditions related to the musculoskeletal
system than on any other type of disorder.
Note: Some statistics may vary slightly from previous annual reports due to the late receipt of program
data following the completion of the previous annual report. In no case does the variation represent a
substantive change in trend or comparative values.
1The ill-defined category is a technical term including symptoms, laboratory results and disorders which
cannot be categorized elsewhere. Examples of ill-defined diagnoses are: adult convulsions not related to
epilepsy, laboratory analysis of blood with findings not related to cellular abnormality, and senility
associated with old age.
Table 5: Medical expenses by diagnosis –actives & retirees
Actives Retirees All Actives Retirees All
Diagnosis % of Total % of Total % of Total % of Total % of Total % of Total
Musculoskeletal System 12.90% 12.70% 12.89% 13.20% 12.89% 13.17%
Ill-defined1 10.29% 8.63% 10.15% 10.69% 8.25% 10.46%
Health Status (lab tests, etc.) 9.45% 7.39% 9.27% 9.78% 7.21% 9.53%
Neoplasm (tumors) 8.58% 14.35% 9.08% 8.65% 14.39% 9.20%
Circulatory System 8.58% 6.20% 8.38% 8.22% 13.76% 8.75%
Injury/Poisoning 7.86% 12.17% 8.23% 8.75% 7.87% 8.66%
Genitourinary System 7.86% 8.80% 7.94% 7.09% 7.21% 7.11%
Digestive System 7.60% 7.40% 7.59% 6.86% 6.66% 6.84%
Nervous System 5.16% 6.16% 5.24% 5.20% 6.50% 5.33%
Respiratory System 5.16% 5.14% 5.16% 5.18% 4.40% 5.11%
Pregnancy/Childbirth 4.27% 0.02% 3.91% 4.33% 0.03% 3.91%
Endocrine System 3.58% 3.94% 3.61% 3.36% 2.98% 3.33%
Mental Health 2.50% 1.36% 2.40% 2.26% 1.54% 2.19%
Infectious/Parasitic 1.89% 1.44% 1.85% 1.65% 3.51% 1.83%
Skin and Subcutaneous Tissue 1.53% 2.20% 1.59% 1.68% 1.65% 1.68%
Congenital Anomalies 1.23% 0.65% 1.18% 1.31% 0.08% 1.19%
Conditions in the Perinatal Period 0.85% 1.45% 0.91% 1.04% 0.00% 0.94%
Blood and Blood Forming Organs 0.70% 0.00% 0.64% 0.74% 1.08% 0.77%
Injury/Poisoning 0.01% 0.00% 0.01% 0.00% 0.00% 0.00%
Grand Total 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
2008-2009 2007-2008
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
11
Hospital Care
Inpatient hospital care represents a significant portion of total medical expenses: 35%
and 30% for active and retired members, respectively. The figures below show how
active/retired members and EPO/PPO members’ hospital admissions compared based
on the number of admissions and the average length of stay.
Active
72.9
Retiree
149.9
EPO
75.2
PPO
94.0
Active
69.4
Retiree
155.4
EPO
73.3
PPO
81.6
0.0
20.0
40.0
60.0
80.0
100.0
120.0
140.0
160.0
Admissions
2008-2009 2007-2008
Figure 2: Admissions per 1,000 Members
Active
4.5
Retiree
5.7 EPO
5.1
PPO
6.1
Active
4.5
Retiree
5.8
EPO
4.5
PPO
6.2
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
Days 2008-2009 2007-2008
Figure 3: Average Length of Stay
Note: Mental health, substance abuse, and maternity admissions are included.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
12
Hospital Care (continued)
The figures below show how active/retired members and EPO/PPO members compared
with regards to their collective number of hospital days and average cost per admission.
As a group, retirees spent 3 times as many days in the hospital as active members.
Also, PPO members spent 2.6 times as many days in the hospital as EPO members.
On average, PPO members cost per admission was $4,246 higher than EPO members.
Active
327.5
Retiree
859.9
EPO
340.8
PPO
524.6
Active
309.6
Retiree
902.2
EPO
328.9
PPO
509.5
0.0
100.0
200.0
300.0
400.0
500.0
600.0
700.0
800.0
900.0
1000.0
Days
2008-2009 2007-2008
Figure 4: Days per 1,000 Members
Active $15,120
Retiree $17,141
EPO $15,007
PPO $19,253
Active $13,833
Retiree $15,452
EPO $13,805
PPO $18,428
$-
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
$18,000
$20,000
2008-2009 2007-2008
Figure 5: Average Cost per Admission
Note: Mental health, substance abuse, and maternity admissions are included.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
13
Emergency Room Visits
During Plan Year 2008-2009, there were approximately 251.4 emergency room visits
per 1,000 members of the self-funded plan. The average plan cost per emergency
room visit was $738.92. These figures include facility claims and professional fees.
Physician Visits
During Plan Year 2008-2009, each member of the self-funded plan visited a physician
approximately 4.3 times or 4,270 visits per 1,000 members. The average plan cost per
office visit cost was $83.87.
Urgent Care Visits
During Plan Year 2008-2009, there were approximately 224.7 urgent care visits per
1,000 members of the self-funded plan. The average plan cost per urgent care visit was
$108.47.
Figures 6 and 7 below show how total active and retiree medical expenses were
distributed by type of care. 3% of medical expenses for active employees were spent
for emergency room care while 5% of medical expenses for retired members were
spent for home care.
Figure 6: Active Employee Medical Expense by Place of Service
Inpatient Hospital,
35%
Office, 25%
Outpatient
Hospital, 24%
Ambulatory
Surgical Center,
5%
Emergency Room,
3%
Independent
Laboratory, 3%
Home Health, 3%
Other, 3%
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
14
Figure 7: Retiree Medical Expenses by Place of Service
Inpatient Hospital
30%
Office 28%
Outpatient Hospital
25%
Ambulatory Surgical
Center 5%
Emergency Room
2%
Home Health 5%
Independent
Laboratory 2%
Other 3%
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
15
Generic and Name-Brand Prescription Use
The table below shows how total pharmacy expenses were distributed among generic,
preferred, and non-preferred types of drugs.
Table 6: Claim distribution for 3-tier formulary
Total Prescriptions Percent Total Prescriptions Percent
Tier 1 Generic ($10 copay) 974,094 63.5% 996,785 64.0%
Tier 2-Preferred ($20 copay) 476,648 31.1% 443,881 28.5%
Tier 3-Non-Preferred ($40 copay 83,455 5.4% 116,811 7.5%
Total 1,534,197 100.0% 1,557,477 100.0%
2008-2009 2007-2008
Prescription Use by Therapeutic Class
The table below shows the ten most utilized classes of drugs according to total
expense. More dollars were spent on antihyperlipidemics (cholesterol-lowering drugs),
than on any other therapeutic class.
Table 7: Top therapeutic classes by total expense
Therapeutic class Total Cost Percent Total Cost Percent
Antihyperlipidemics 12,303,047 10.76% 11,419,509 10.94%
Antidepressants 9,158,047 8.01% 8,907,603 8.53%
Ulcer medications 9,023,718 7.89% 8,624,570 8.26%
Antidiabetics 8,709,123 7.62% 7,821,290 7.49%
Antihypertensives 8,063,741 7.05% 7,807,175 7.48%
Antiasthmatic/bronchodilator agents 7,053,179 6.17% 7,627,217 7.31%
Analgesics – opioids 6,081,523 5.32% 6,406,891 6.14%
Analgesics – anti-inflammatory 5,605,012 4.90% 5,458,343 5.23%
Anticonvulsants 5,074,361 4.44% 5,223,988 5.01%
Antivirals 4,882,905 4.27% 4,429,641 4.24%
Total $75,954,656 66.45% $73,726,227 70.64%
2008-2009 2007-2008
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
16
Prescription Use by Type of Drug
The table below shows the ten most utilized drugs according to total expense. Prevacid
remains as the leading prescription since last Plan Year 2007-2008.
Table 8: Top ten drugs by total expense
Drug Name Total Gross Cost Percent Drug Name Total Gross Cost Percent
Prevacid 4,561,623 3.99% Prevacid 4,206,817 4.03%
Lipitor 4,272,540 3.74% Lipitor 4,103,694 3.93%
Enbrel 2,547,216 2.23% Enbrel 2,413,952 2.31%
Oxycontin 2,363,851 2.07% Advair diskus 2,339,819 2.24%
Crestor 2,311,852 2.02% Effexor XR 2,302,871 2.21%
Effexor XR 2,212,614 1.94% Singulair 1,999,700 1.92%
Advair diskus 2,160,881 1.89% Crestor 1,680,772 1.61%
Singulair 2,102,215 1.84% Lexapro 1,645,187 1.58%
Humira 2,036,027 1.78% Actos 1,617,819 1.55%
Plavix 1,832,702 1.60% Vytorin 1,595,744 1.53%
Total $26,401,521 23.10% $23,906,375 22.91%
2008-2009 2007-2008
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
17
Annual Prescription Use
The figure below compares the average number of prescriptions filled last plan year by
active and retired members.
Active
10.5
Retiree
30.4
Active
10.2
Retiree
30.6
-
5.0
10.0
15.0
20.0
25.0
30.0
35.0
2008-2009 2007-2008
Figure 8: Average Number of Prescriptions per Member per Year
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
18
Annual Pharmacy Expenses by Age
The figure below shows how pharmacy expenses increase with age among plan
members.
421
767
1,840
3,060
380
720
1,723
2,921
0
500
1000
1500
2000
2500
3000
3500
2008-2009 2007-2008
Figure 9: Pharmacy Expense per Utilizer per Year
(in dollars)
0-18 yrs
19-39 yrs
40-64 yrs
65+ yrs
Note: Some statistics may vary slightly from previous annual reports due to the late
receipt of program data following the completion of the previous annual report. In no
case does the variation represent a substantive change in trend or comparative values.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
19
Benefit Options Dental Plans
Prepaid Plan – Total Dental Administrators (TDA)
• See a Participating Dental Provider (PDP) to provide and coordinate all dental
care.
• No annual deductible or maximums ($200.00 maximum reimbursement for non-contracted
emergency services) under Total Dental Administrators.
• No claim forms (except for emergency services).
Indemnity/PPO Plan – Delta Dental
• May see any dentist. Deductible and/or out-of-pocket payments apply.
• A maximum benefit of $2,000 per person per plan year for dental services.
• $1,500 per person lifetime for orthodontia.
• May need to submit a claim form for eligible expenses to be paid.
• Benefits may be based on reasonable and customary charges.
The following figures show how active employee and retiree dental enrollments were
distributed among plans.
Figure 10: Active Employee Dental Enrollment
Total Dental 18%
Delta Dental 82%
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
20
Figure 11: Retiree Dental Enrollment
Delta Dental 66%
Assurant Dental
9%
MetLife Dental 6%
Total Dental 14%
Employers Dental
Group 5%
Note: Between 10/1/2008 through 12/31/2009 retirees were enrolled in the Employers Dental Group,
MetLife, and Assurant plans. Effective 1/1/2009 retirees were offered Delta Dental and Total Dental
Administrators. Employers Dental Group, MelLife, and Assurant were not longer available.
Dental Rates
The table below summarizes monthly dental rates for active and retired members.
Table 9: Summary of Monthly Dental Rates
Active Employees
Employee State Total Employee State Total Employee State Total
Delta Dental $16.00 $17.00 $33.00 $37.00 $37.00 $74.00 $63.00 $62.00 $125.00
Total Dental Admin. $5.00 $5.00 $10.00 $9.00 $10.00 $19.00 $14.00 $14.00 $28.00
Retirees1
Delta Dental $32.98 $74.01 $125.29
Total Dental Admin. $9.96 $18.92 $27.70
1Effective January 1, 2009
Single Coverage Family Coverage
Single Coverage Family Coverage
Employee +One Coverage
Employee +One Coverage
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
21
Life, Disability, Vision Insurance and Flexible Spending
Accounts Premiums
The table below shows the amount of premiums collected and paid for life insurance,
disability insurance, vision insurance and flexible spending accounts (FSA).
Table 10: Summary of Earned Premiums
Vendor Collected Paid Collected Paid
Standard
Basic Life $ 2 ,533,453.45 $ 2 ,601,678.82
Supp Life $ 1 0,796,632.49 $ 1 0,198,943.64
Dep Life $ 1 ,652,663.50 $ 1 ,614,298.64
STD $ 1 0,073,067.22 $ 1 0,114,115.83
LTD $ 4 ,472,699.29 $ 4 ,455,294.13
Total $ 2 9,528,515.95 $29,533,536 $ 28,984,331.06 $28,787,110
Avesis - Vision $5,676,977 $5,561,668
ASI - FSA $5,687,416 $5,328,689
Total $40,897,929 $39,677,467
2008-2009 2007-2008
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
22
Health Insurance Vendor Performance Standards
Pursuant to A.R.S. § 38-658(B), the Arizona Department of Administration (ADOA) shall
“...report to the Joint Legislative Budget Committee at least semiannually on the
performance standards for health plans, including indemnity health insurance, hospital
and medical service plans, dental plans and health maintenance organizations.”
Among the terms of the self-funded health insurance contracts are a number of ADOA-negotiated
performance measures with specific financial guarantees tied to the
contracted performance of the vendors providing various services for the health plans.
If a vendor fails to meet any of the measures within the specified performance range, a
percentage of the annual administrative fee is withheld by ADOA as liquidated
damages. This percentage is allocated among the more critical measures of the
contract.
Over the 2008-2009 Plan Year the total collected penalties was $94,068.48 compared
to the prior year’s $123,602.28, which indicated the vendors’ performance improved
during the 2008-2009 Plan Year.
The following is a report of the penalties incurred by health plan vendors for their non-performance
during the Plan Year ending September 30, 2009. The details of each
assessment are set forth in the exhibit specified by the same letter that identifies the
vendor below. In each case below, the final member satisfaction survey and the Benefit
Services Division Vendor Survey for FY 2008-2009, may result in additional penalties.
A. UnitedHealthcare (Claims Administrator) – penalties to date of $85,791.75,
equaling 1.45% of the vendor’s annual administrative fee.
MEASURE Annual Percent of
Fees at Risk
Total Percent Assessed Vendor
(BASED ON MISSED MEASURE)
Time to Pay - Percent of
claims paid in 10
business days
3%
• 1.20%*: WHICH EQUALS 1 QUARTERS
MISSED OUT OF 4 QUARTERS
MEASURED
• Corrective Action: UHC implemented
quality controls subsequently; UHC met the
measure for the rest of the year.
*Penalty calculated on gradient scale.
Admission Counseling:
Outreach Contact -
When notified 5
business days prior to
an admission the care
counselor will make no
fewer than 3 attempts to
reach 95% of
participants by
telephone prior to
inpatient admit
.25%
• .25% WHICH EQUALS 2 QUARTERS
MISSED OUT OF 4 QUARTERS
MEASURED
• Corrective Action: UHC provided
reinforcement training to their processing
staff.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
23
Health Insurance Vendor Performance Standards (continued)
B. UMR (Claims Administrator) – penalties to date of $1715.63, equaling 0.08% of the
vendor’s annual administrative fee
MEASURE Annual Percent of
Fees at Risk
Total Percent Assessed Vendor
(BASED ON MISSED MEASURE)
Written appeals
resolved within 45
calendar days after
receipt of participant's
request for review in the
case of Post-Service
claims.
0.33%
• 0.08%: WHICH EQUALS 3 MONTHS
MISSED OUT OF 12 MONTHS
MEASURED
• Corrective Action: UMR provided
reinforcement training to their processing
staff.
C. ASI Flex – penalties to date of $661.32, equaling .50% of the vendor’s annual
administrative fee
D. Walgreens Health Initiative (Pharmacy Management) - penalties to date of
$5000.00, equaling 0.83% of the vendor’s total amount at risk $600,000.00.
MEASURE Annual Percent of
Fees at Risk
Total Percent Assessed Vendor
(BASED ON MISSED MEASURE)
100% of claims will be
processed within five
working days
1%
• 0.25%: WHICH EQUALS 1 QUARTERS
MISSED OUT OF 4 QUARTERS
MEASURED
• Corrective Action: ASI is implementing a
new standard for claim processing and has
created a tangible system of repercussions
whereby claim processors that make
egregious mistakes are subject to
corrective action.
98% of dollars will be
paid accurately 1%
• 0.25%: WHICH EQUALS 1 QUARTERS
MISSED OUT OF 4 QUARTERS
MEASURED
• Corrective Action: The Customer Service
Manager initiated retraining on claims
processing accuracy.
MEASURE Annual Percent of
Fees at Risk
(Max $600K)
Total Percent Assessed Vendor
(BASED ON MISSED MEASURE)
Percent of transactions
within three (3) seconds 2%
• 0.83%: WHICH EQUALS 2 QUARTERS
MISSED OUT OF 4 QUARTERS
MEASURED
• Corrective Action: The measure was
updated effective 02/01/09 to report as
client specific as a result the measure was
subsequently met for the last two quarters.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
24
E. Delta Dental - penalties to date of $899.78, equaling 0.002% of the vendor’s annual
administrative fee
G. Successfully Met Performance Guarantees
Table 11: Successful Performance Guarantees
Vendor At risk Guarantees Met
UMR 15.67% Appeals (met 11 out of 12 measures), Call Center,
Eligibility Administration, Claims Statistics
UnitedHealthcare $3,587,670.00
Appeals, Telephone Service, Claims Statistics (met 3
out of 4 measures), Eligibility Administration, Network
Management, Care Coordination Guarantees (met 8
out of 9 measures)
Strategic Health
Development
Corporation
Total Admin Fee 7.8%
Case Mgmt Fee 7.5%
Disease Mgmt Fee 5%
Nurseline Fee 5%
Utilization Management, Case Management, Disease
Management, Reporting, Systems, Nurse & Other Call
Center Activity
Walgreens Health
Initiatives $600,000.00
Data & Eligibility Requirements, Claims, Customer
Services, Account Services, Reports, Network Access,
Network Pharmacy Management, Mail Order Service,
Retail Paper Claims Processing Time, Network
Pharmacy POS Compliance (met 14 out of 16
measures)
ASI Flex 5%
Claims Turnaround (3/4 of measure), Claims
Adjudication Financial Accuracy (3/4 of measure), Web
Availability, Phone Response Time
Arizona
Foundation 1% Program Management
RAN+AMN 1% Program Management
The Standard
Short Term
Disability
5%
Telephone Service , Processing Timeline (3/4 of
measure), Check Issuance Timeline, Processing
Accuracy, Financial Accuracy, Appeals Timeline,
Reports
The Standard Life 5%
Telephone Service (3/4 of measure), Processing
Timeline, Processing Accuracy, Financial Accuracy,
Reports
The Standard
Long Term
Disability
5% Telephone Service, Processing Timeline, Processing
Accuracy, Financial Accuracy, Reports
Delta Dental 5%
Reporting, Network Management, Appeals, Claims
Administration (met 35 out of 36 measures) Quality of
Service and Responsiveness to Members
TDA 3%
Reporting, Network Management, Appeals, Claims
Administration, Quality of Services, Claims
Administration, Quality of Service and Responsiveness
to Members
MEASURE Annual Percent of
Fees at Risk
Total Percent Assessed Vendor
(BASED ON MISSED MEASURE)
90% of all calls
requesting a member
services representative
will be answered in 30
seconds or less
.31%
• 0.002%: WHICH EQUALS 1 MONTH
MISSED OUT OF 12 MONTHS
MEASURED Corrective Action:
Implemented system updates to stabilize
phone system performance.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
25
Glossary of Terms
Active member – an employee, other than one excluded by the Arizona Administrative
Code, who works for the State of Arizona or a State University and is enrolled in one of
the health plan options offered by the State. Also referred to as “Actives.”
Administrative fees – fees paid to third-party vendors for plan administration, network
rental, transplant network access fees, shared savings for negotiated discounted rates
with other providers, COBRA administration, direct pay billing, additional reporting
billing, state fees (MA and NY), and bank reconciliation fees.
Case management – a collaborative process that facilitates recommended treatment
plans to ensure that appropriate medical care is provided to disabled, ill or injured
individuals.
Claim – a provider’s demand upon the payer for payment for medical services or
products.
Claim appeal – a request for a review of the denial of coverage for a specific medical
procedure contemplated or performed.
COBRA Consolidated Omnibus Budget Reconciliation Act of 1985 – a federal law
that requires an employer to allow eligible employees, retirees, and their dependents to
continue their health coverage after they have terminated their employment or are no
longer eligible for the health plan - COBRA enrollees must pay the total contribution, in
addition to an administrative fee of 2%.
Contribution strategy – a premium structure that includes both the employer’s
financial contribution and the employee’s financial contribution towards the total plan
cost.
Copayment – a form of medical cost sharing in the health plan that requires the
member to pay a fixed dollar amount for a medical service or prescription.
Deductible – a fixed dollar amount during the plan year that a member pays before the
health plan starts to make payments for covered medical services.
Dependent – an unmarried child of the employee or spouse who meets the conditions
established by the relevant plan description.
Disease management – a comprehensive, ongoing, and coordinated approach to
achieving desired outcomes for a population of patients - These outcomes include
improving members’ clinical condition and quality of life as well as reducing
unnecessary healthcare costs. These objectives require rigorous, protocol-based,
clinical management in conjunction with intensive patient education, coaching, and
monitoring.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
26
Eligibility appeal – a request for a review of the denial of coverage relating to a
claimant’s entitlement to benefits under a plan.
Employee – a person, other than one excluded by the Arizona Administrative Code,
who works for the State of Arizona or a State University.
Exclusive Provider Organization (EPO) – an exclusive provider organization or
network - Enrollees are limited to use only those providers on the exclusive list. Any
exceptions require prior authorization.
Flexible spending account (FSA) – an account that can be set up through the State’s
Benefit Options program – An FSA allows an employee to set aside a portion of his/her
earnings to pay for qualified medical and dependent care expenses. Money deducted
from an employee's pay into an FSA is not subject to payroll taxes.
Formulary – a list of preferred medications covered by the health plan - The list
contains generic and name brand drugs. The most cost-effective name brand drugs are
placed in the “preferred” category and all other name brand drugs are placed in the
“non-preferred” category.
Fully-Insured – an insurance model wherein Benefit Options collects premiums and
transfers the premiums to commercial insurers who take the risk of revenue to expense.
Integrated – health plan operations that are provided by one entity - These operations
include: claims processing and payment, a network of medical providers, utilization
management, case management and disease management services.
Medicare – the federal health insurance program provided to those who are age 65 and
older or those with disabilities who are eligible for Social Security benefits - Medicare
has four parts: Part A, which covers hospitalization; Part B, which covers physicians and
medical providers; Part C, which expands the availability of managed care
arrangements for Medicare recipients; and, Part D, which provides a prescription drug
benefit. Retirees signing up for ADOA insurance should enroll in Parts A and B, but not
C or D.
Member – a health plan participant - This individual can be an employee, retiree,
spouse or dependent.
Network – an organization that contracts with providers (hospitals, physicians, and
other health care professionals) to provide health care services - Contract terms include
agreed upon fee arrangements for services and performance standards.
Non-integrated – health plan operations that are provided by multiple entities - These
operations include claims processing and payments, a network of medical providers,
and disease management services.
Payer – the entity responsible for paying a claim.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
27
Pharmacy benefit manager – an organization that provides a pharmacy network,
processes and pays for all pharmacy claims, and negotiates discounts on medicines
directly from the pharmaceutical manufacturers - These discounts are passed to the
employer payer in the form of rebates and reduced costs in the formulary.
Plan year – the period October 1 through September 30 for employees; January 1
through December 31 for retirees.
Preferred Provider Organization (PPO) – an organization that offers a broad selection
of providers and the ability to choose a non-PPO provider as well - This non-PPO
provider requires greater copay from the enrollee and a deductible to be paid.
Premium – agreed upon fees paid for medical insurance coverage - Premiums are paid
by both the employer and the health plan member.
Retiree – a former State or State University employee, officer or elected official who is
retired under a state-sponsored retirement plan - For analytical purposes, this term
encompasses both actual retirees and their dependents.
Self-funded – insurance program wherein Benefit Options collects premiums, pays
claims, and assumes the risk of revenues to expenses.
Self-insured – a plan that is funded by the employer who is financially responsible for
all medical claims and administrative expenses.
Spouse – one legally married—as defined by the Arizona Revised Statutes—to an
employee or a retiree.
Stop-loss – a form of insurance for self-insured employers that limits the amount the
employer as primary insurer will pay for medical expenses.
Subscriber – employee, officer, elected official or retiree who is eligible and enrolls in
the health plan.
Third party administrator – an organization that handles all administrative functions of
a health plan, including: processing and paying medical claims, compiling and
producing management reports, and providing customer service.
Utilization management – a process whereby an insurer evaluates the quantity
(duration) and quality (level) of the delivery of medical services.
Utilization review – a process whereby an insurer evaluates the appropriateness,
necessity, and cost of services provided.
Utilizer – a member who receives a specific service.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
28
Appendix A
BEGINNING CASH PER AFIS $ 115,737,519.48
REVENUE $ 692,617,307.43
EXPENDITURES $ 749,812,060.81
VENDOR ADMIN FEES PERF PENALTIES
AZ FOUNDATION $ 71,559.60
BEECH STREET $ 1 7,668.62
HMA $ 3 89,343.94 $ 16,638.19
SCHALLER NETWORK $ 60,362.64
SCHALLER UR/UM $ 56,811.82
STRATEGIC URUM $ 1,731,032.45 $ 12,936.11
HARRINGTON $ 3 ,063,935.75 $ 74,943.32
UHC $ 1 7,652,290.78
WHI $ 9 62,495.33 $ 40,750.00
ATTORNEY GENERAL $ 4 ,507.11
NET ADMIN FEES $ 2 3,953,196.22 $ 202,079.44 $ 23,751,116.78
MEDICAL CLAIMS RECOVERIES
HARRINGTON $ 197,514,724.33 $ 2,253,920.82
UHC $ 3 33,317,458.32 $ 115,028.93
PACIFICARE $ 2 ,254.52
WHI $ 1 15,936,887.19 $ 8,358,506.30
RDS SUBSIDY $ 2,518,939.33
OTHER WELLNESS $ 7 09,415.40
NET MEDICAL CLAIMS $ 647,480,739.76 $ 13,246,395.38 $ 634,234,344.38
STOP LOSS PREM CLAIM REIMB
SYMETRA $ 3 ,509,198.40 $ 5,744,072.39 $ ( 2,234,873.99)
SELF INSURED EXPENDITURES $ 655,750,587.17
FULL SVC PREM
BCBS $ 3 4,342,196.56
PACIFICARE $ 7,687,528.03
TOTAL FS INS PREMS $ 4 2,029,724.59 $ - $ 4 2,029,724.59
DENTAL PREM PERF PENALTIES
DELTA $44,036,101.06
METLIFE $838,702.13
FORTIS $190,049.89 $ 14,671.07
EDS $182,079.75
TDA $2,036,893.26
NET DENTAL PREM $ 47,283,826.09 $ 14,671.07 $ 4 7,269,155.02
HITF APPROP EXP $ 4 ,762,594.03 $ 4 ,762,594.03
TOTAL EXPENDITURES $ 7 69,019,279.09
TOTAL RECOVERIES* $ 19,207,218.28
NET EXPENDITURES $ 7 49,812,060.81
ENDING CASH BALANCE PER AFIS $ 58,542,766.10
Table A: 3015 FUND PLAN YEAR 10/1/2008 - 9/30/2009
The HITF Fund-3015 established under A.R.S. 38-654-A is used to pay medical claims, dental premiums,
and administrative and operating costs of the Wellness Program and the Benefits Services Division.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
29
Appendix A
BEGINNING CASH PER AFIS $ 4,028,940.95
REVENUE $ 41,002,530.08
VENDOR INSURANCE AMOUNT
STANDARD BASIC LIFE $ 2,533,453.45
SUPP LIFE $ 10,796,632.49
DEP LIFE $ 1,652,663.50
STD $ 10,073,067.22
LTD $ 4,472,699.29
TOTAL STANDARD $ 29,528,515.95
AVESIS VISION $ 5,702,630.22
ASI AMRA $ 4,309,639.15
DCRA $ 1,461,744.76
TOTAL FLEX SPENDING $ 5,771,383.91
PAYROLL CLEARING $ ( 0.00)
TOTAL REVENUE $ 41,002,530.08
EXPENDITURES $ 40,897,928.92
VENDOR INSURANCE AMOUNT
STANDARD BASIC LIFE $ 2,538,716.74
SUPP LIFE $ 10,772,512.88
DEP LIFE $ 1,652,507.23
STD $ 10,092,134.73
LTD $ 4,477,664.11
TOTAL STANDARD $ 29,533,535.69
AVESIS VISION $ 5,676,977.43
ASI AMRA $ 4,137,460.67
DCRA $ 1,417,363.23
ADMIN FEES $ 132,591.90
TOTAL FLEX SPENDING $ 5,687,415.80
GAO AFIS COST
TOTAL EXPENDITURES $ 40,897,928.92
ENDING CASH BALANCE PER AFIS $ 4,133,542.11
Table B: 3035 FUND PLAN YEAR 10/1/2008 - 9/30/2009
Fund 3035 is established under A.R.S. 38-651.05. to pay premiums for other insurance products offered
to State employees including Vision, Flexible Spending, Supplemental and Dependent Life, Short Term
Disability, Non-ASRS Long Term Disability, and Basic Life insurance.
Benefit Options Annual Report
October 1, 2008 to September 30, 2009
30
Benefit Options
Department of Administration
100 N. 15th Avenue
Suite 103
Phoenix, Arizona 85007
Telephone: 602-542-5008
Fax: 602-542-4048