Meeting of Agency Payroll Office Officials
Wednesday
January 9, 2002
OPM Auditorium
Federal
Long Term Care Insurance Program
Frank Titus
Assistant Director
for Long Term Care
We Have Insurance Partners!
We awarded a contract on December 18th, 2001
Long Term Care Partners, LLC
Metropolitan Life Insurance Company
John Hancock Life Insurance Company
Working together
Enrollment/Education
Early enrollment opportunity in late March of this year
Only for those who dont need education
NO payroll deduction
Extensive education/marketing campaign
Enrollment/Education
Open season late summer/early fall (perhaps earlier -- were working on those details now)
Earliest effective date for open season enrollments is October 1, 2002
So payroll deductions must be ready BY October 1, 2002, but NOT EARLIER
Payroll Advisory Group
Ad hoc group of agency payroll folks who volunteered to help us spearhead the payroll issues
OPM, State, Labor, Interior
USDA/NFC, NASA, DFAS
VA, USPS, House, GSA
Payroll Advisory Group
Weve met with them several times already
The group helped draft a Payroll Strawman document
Payroll Strawman Document
Some items will probably not change
Others need further discussion
Were scheduling another advisory group meeting later this month
Then well brief ALL payroll officers again
This is DIFFERENT than
FEHB & FEGLI
Payroll deductions go directly to LTC Partners -- NOT to OPM
LTC Partners will work individually with EACH agency -- through account reps
LTC Partners will do most of the work and work within YOUR constraints
Items That Likely Wont Change
The process will be as easy as possible on the agencies
Employees will submit applications directly to LTC Partners -- NOT to the agencies
Employees should be directed to LTC Partners for any questions
Items That Likely Wont Change
Payroll deduction will be the DEFAULT (not for early enrollment)
However, employees can elect a direct debit from their bank account instead
Employee authorizations for payroll deduction will be kept with LTC Partners contractor, NOT at the agency
Items That Likely Wont Change
LTC Partners will send a file to agencies indicating who to withhold premiums from, and the amount of the premiums
NO premium look-up tables at agencies like with FEHB or FEGLI
Items That Likely Wont Change
Premiums are NOT subject to premium conversion
Employees can request payroll deductions for premiums of qualified family members who enroll
All changes/adjustments/ corrections will be initiated by LTC Partners, NOT the agency
Items That Likely Wont Change
LTC Partners will adapt to YOUR payroll system
Employees will self-certify pay & duty status -- agencies will NOT police it
LTC Partners MAY ask for confirmation of pay & duty status
Items That Likely Wont Change
Agencies will remit deducted premiums to LTC Partners along with limited information supporting the deductions
Agencies will use Automated Clearing House network, the CTX format, to send premiums to LTC Partners
Items That Likely Wont Change
NO reconciliation of enrollment
LTC Partners is SOLELY responsible for making sure it receives the proper premiums
Items That Need More Discussion
Several items arent set yet
The final answers to these items may be different for different agencies
Thats OK!
Items That Need More Discussion
"Three Strikes Youre Out" method for requesting payroll deduction
How to transfer information when employees change agencies or retire
Whether to automatically resume deductions after return from non-pay status
Items That Need More Discussion
Order of precedence for FLTCIP premium deductions
Pay and duty status requirements for uniformed services
Best way to verify pay and duty status
Items That Need More Discussion
Whether to send agencies change files only, or a complete file each pay period
How to code file to show why there were no deductions for a particular employee
Continuing Process
We continue to work on this process
Our objective is to make it as easy on agency payroll offices as possible
Well report more details as soon as we have them
Thank You!
Any questions?
Email: finance@opm.gov
or
ltc@opm.gov
Website: opm.gov/insure/ltc (click on HR page for info on subscribing to LTCInfo listserv)