An Overview of Benefits

NES Service Contract Act

Health & Welfare Plan

Nurses Etc. Staffing SCA Benefits Funding

• NES has contracted with FCE Benefits to administer

the Service Contract Act (SCA) employee Health &

Welfare Benefit Plan (the Plan)

– FCE is a specialist in the management of benefits

programs for government contractors

• NES employees working on an SCA-covered contract

are eligible for a benefits program valued at the SCA

fringe hour rate as stipulated in the Area Wage

Determination applicable to the worksite you are

assigned

Nurses Etc. Staffing SCA Benefits Funding

• For each hour you are paid, up to 40 hours per

week, including paid holidays and vacation, a

matching fringe hour amount will be deposited by

the Plan Trust for the purchase and administration

of your benefits

• The maximum fringe paid hours per year is 2,080

Nurses Etc. Staffing SCA Benefits Formula

• After your fringe paid hours are reported and funded

into the Plan, those hours are posted to your account

and FCE calculates which of the four benefit classes

you qualify for based on your 13-week rolling average

• Your class is recalculated with each cycle of fringe

paid hours reported and funded into the Plan using the

most recent 13 weeks of hours in the system.

• The Plan utilizes a 13-week rolling

average to provide stability in your

level of class of benefits

Nurses Etc. Staffing SCA Benefits Employee Classes

• Class I If you average 1 to 15 fringe paid hours per week

• Class II If you average 16 to 22 fringe paid hours per week

• Class III If you average 23 to 29 fringe paid hours per week

• Class IV If you average 30 to 40 fringe paid hours per week

The NES SCA Benefits Program has four classes to

provide all employees a set of Core and Medical Benefits

regardless of their average weekly work schedule:

Nurses Etc. Staffing SCA Benefits Core Benefits

• Group Term Life

• Accidental Death & Dismemberment

• Dental Care (orthodontia for children under 19)

• Vision Care

• Weekly Disability

• Outpatient Diagnostic Studies

• Retirement Plan Contribution

• Employee Assistance Program (EAP)

All SCA employees will have a core set of NES-paid

benefits based on your class. Please refer to your SCA

Health & Welfare Benefit Plan Summary for details.

The Core Benefits Plan includes:

Nurses Etc. Staffing SCA Benefits Medical & Rx Benefits

All employees will have one of two types of NES-paid

Medical Benefits based on your class:

• Classes I through III Indemnity Medical Benefits

• Class IV Major Medical Benefits

Nurses Etc. Staffing SCA Benefits Indemnity Benefits

The First Health PPO medical plan provides coverage for:

• Office visits and outpatient care

• Inpatient hospitalization, emergency care and

surgical services

• Prescription drugs

Indemnity Medical Plan for employees in Classes I through III

The Indemnity plan pays a scheduled, fixed dollar amount

per covered service, regardless of expenses incurred. For

example, if the benefit plan pays $1,000 per event, it will pay

this amount regardless of whether the bill is $500 or $1,500

Nurses Etc. Staffing SCA Benefits Major Medical Benefits

The Cigna PPO medical plan provides coverage for:

• Office visits and outpatient care

• Inpatient hospitalization, surgical services,

emergency care and urgent care

• Prescription drug copayments and discount mail

order service

Major Medical Plan for Class IV employees

The plan includes an in- and out-of-network annual plan

deductible, $30 copay for in-network office visit with

doctors and specialists, and employee coinsurance for

specific services

Nurses Etc. Staffing SCA Benefits Waiving Coverage

• Employees with qualifying medical coverage may elect

to waive or decline medical coverage and have the

portion that would have been used to pay for medical

coverage allocated into their 401(k)

• In order to waive medical coverage you must complete

the medical waiver form and provide evidence you

have current and effective coverage through another

qualified medical plan

• Qualified medical coverage is limited to

employer-sponsored group health plans

and TRICARE

Nurses Etc. Staffing SCA Benefits Waiving Coverage (cont’d)

• Medicare, Medicaid and VA medical plans are not considered qualified medical plans

• Individually secured medical insurance plans are not considered qualified medical plans

• Medical discount plans are not considered qualified medical plans

• You cannot waive the Core Benefits plan (group term life, AD&D, vision, dental, disability, etc.)

• You may add your eligible dependents to the Core Benefits plan at no additional cost to you

• If you add your eligible dependents to the Core Benefits plan, you will receive a lower level of coverage for your family

Nurses Etc. Staffing SCA Benefits Dependent Benefits

Dependent Benefits for Part-Time employees

• All employees in classes I through III may elect to

have their fringe hour amounts used to purchase

benefits for both themselves and their eligible

dependents

• In exchange for this option, the employee will have a

lesser degree of coverage for him or herself, but enjoy

coverage for the entire family

• Some Core Benefits provide coverage for

employees only this includes, but is not

limited to, the Weekly Disability Benefit

Nurses Etc. Staffing SCA Benefits Dependent Benefits

Dependent Benefits for Full-Time employees

• All class IV employees may choose to add their

eligible dependents to one of two types of medical

coverage, but must pay for it through payroll

deductions

• The regular-cost coverage plan includes only Major

Medical and Prescription Drug coverage for your

eligible dependents

• The low-cost coverage plan includes a level of Core

Benefits plus Indemnity Medical and Prescription Drug

coverage

Nurses Etc. Staffing SCA Benefits Eligibility

Who is Eligible to Enroll

• All NES employees who work on an SCA contract

are eligible for the SCA employee Health & Welfare

Benefit Plan

• SCA-covered positions include both part-time and

full-time employees

• Who else is eligible? Eligible dependents of NES

employees working on SCA-covered positions

Nurses Etc. Staffing SCA Benefits Eligibility

Which Dependents are Eligible to Enroll

• Legal spouse Documentation required if last name is different

• Common law spouse Documentation required

• Domestic partners and their children Documentation required

• Dependent children Up to age 26 and uninsured;

documentation required if last name is different

Please note: Life insurance coverage requirements are

different from the other Core and Medical coverage limits in

that dependents 21 years or older will have to prove enrollment

in a college or university on a full-time basis.

Nurses Etc. Staffing SCA Benefits Effective Date

When Benefits Begin

Employee benefits begin on the first of the month following one

month of continuous employment in an SCA-covered position:

July 8:

Employee begins work with NES

August 8:

Employee completes 1 month of service with NES

September 1:

Employee benefit coverage is effective

Nurses Etc. Staffing SCA Benefits Effective Date

When Dependent Benefits Begin

Dependent benefits begin on the first of the month following two full

pay period deductions for coverage, if all documentation is received

by the close of your 31-day enrollment period. Below is an example of

how a dependent can have the same effective date as the employee

July 8: Employee

begins work with NES

July 26:

(at least four business days before

end of month of hire)

Employee completes benefits enrollment

for dependent coverage and

provides FCE with proper dependent

documentation

August 1: First premium payment for dependent coverage (8/1 to 8/15 pay period)

August 16:

Second premium payment for dependent coverage

(8/16 to 8/31 pay period)

Sept 1: Dependent

benefit coverage is

effective

Nurses Etc. Staffing SCA Benefits Effective Date

When Dependent Benefits Have a Different Effective Date

Following is an example of when a dependent will not have the

same effective date as the employee:

July 8: Employee

begins work with NES

July 29:

(three business days before end of month of hire or later thru Day

31)

Employee completes benefits

enrollment for dependent

coverage and provides FCE with proper dependent

documentation

September 1: First premium payment for dependent coverage (9/1 to 9/15 pay period)

September 16:

2nd premium payment for dependent coverage

(9/16 to 9/30 pay period)

October 1: Dependent

benefit coverage is

effective

Nurses Etc. Staffing SCA Benefits Enrollment

The Enrollment Process

• You have a 31-day enrollment period from your date

of hire to complete and submit the Enrollment Form,

Waiver of Medical Benefits Form (if applicable) and

Payroll Deduction Form (if full-time), and selecting

dependent coverage

• If you do not submit the required forms within 31 days

you will be defaulted into employee-only coverage

and an ID card will be issued

• If additional documentation is required to verify

dependent eligibility, it must be submitted within 31

days of your initial enrollment application date or the

coverage is defaulted back to employee-only

Nurses Etc. Staffing SCA Benefits Enrollment

Changes in Enrollment

• You can change your benefits annually during NES’

Open Enrollment period

• Other changes may be allowed if you experience a

qualified life event (QLE) such as marriage, divorce,

birth, or death

– Supporting documentation and forms are required within 31

days of the event

• All QLEs must be reported directly to

FCE within 31 days of the qualified life

event date

Nurses Etc. Staffing SCA Benefits Dependent Coverage

Dependent Coverage for the Low-Cost Indemnity Plan

Employees who work an average of 30 or more hours per week and

who elect Major Medical dependent coverage, may pay for low-cost

Indemnity Medical dependent coverage through payroll deductions.

Following are the rates as of August 1, 2013:

employee + Spouse $70.87 per paycheck

employee + Child(ren) $26.81 per paycheck

employee + Family $80.72 per paycheck

Nurses Etc. Staffing SCA Benefits Dependent Coverage

Dependent Coverage for the Major Medical Plan

Employees who work an average of 30 or more hours per week

and who elect Major Medical dependent coverage, may pay for

regular-cost Major Medical dependent coverage through payroll

deductions.

Following are the rates as of August 1, 2013:

employee + Spouse $196.97 per paycheck

employee + Child(ren) $148.81 per paycheck

employee + Family $340.51 per paycheck

Nurses Etc. Staffing SCA Benefits Employment

Should You Leave NES

• Benefits coverage will continue until the end of the

month during which you terminate employment

• You will be offered COBRA to continue your medical

insurance at premium cost plus a small administrative

fee at your own expense

• Please contact FCE at 800-899-WELL (9355) for

information about COBRA

• Life insurance can either be “ported”

or converted to an individual policy

Nurses Etc. Staffing SCA Benefits Questions

Contact FCE Benefits at 800-899-WELL (9355) with any questions!

You can find Frequently Asked Questions regarding the NES SCA

employee Health & Welfare Benefit Plan by referring to the FAQ

found within your enrollment kit.

? You can get the most complete and detailed

explanation of your benefits by reading the

Summary Plan Description (SPD) Booklet

found within your kit.

Please note that any differences or

conflict between the information in this

presentation and the terms and definitions

of the certificate will be resolved in favor

of the certificate.