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Medicare Annual Election Period begins November 15th

October 23, 2009

Regence wanted to send out a quick reminder that Annual Election Period (AEP) begins November 15th and runs through December 31st. During AEP members may change, add, or terminate Medicare Advantage plans and Medicare Part D plans. Members are allowed one change during this time.

Changes for 2010

Regence will be discontinuing Regence MedAdvantage Core plan, effective January 1, 2010. CMS asked us to simplify our Medicare Advantage portfolio. After carefully evaluating which plans are meeting the majority of our members' needs, we chose to eliminate the Medicare Advantage Core plan from the portfolio.

Benefit Changes for 2010

Key highlights of changes to Regence MedAdvantage valued benefits include:

MedAdvantage, MedAdvantage+RX Classic, MedAdvantage+RX Enhanced

• Annual out-of-pocket maximums increase from $1500 in network/$3000 out of network to $2500 in network/$4000 out of network for the MedAdvantage Classic plan and $2000 in network/$3500 out of network for the MedAdvantage Enhanced plan.

• Office visit copays increase from $10 in network/$25 out of network to $25 in network/$35 out of network for the MedAdvantage Classic plan. The MedAdvantage Enhanced option office visit copays stay the same in 2010 ($10 in network/$25 out of network).

• Medicare covered dental care increases from $10 in network/$25 out of network to $25 in network/$35 out of network for the MedAdvantage Classic plan. The MedAdvantage Enhanced option office visit copays for dental care stay the same in 2010 ($10 in network/$25 out of network).

• The MedAdvantage coverage for preventive dental care services remains the same in 2010 - $0 copay, up to $500 per year.

• Vision benefits increase from $10 in network/$25 out of network to $25 in network/$35 out of network for the MedAdvantage Classic plan. The MedAdvantage Enhanced option office visit copays for vision care stay the same in 2010 ($10 in network/$25 out of network).

Asuris Medicare Script, Asuris Medicare Script Enhanced

• For basic Medicare Part D stand alone coverage: the deductible decreases from $295 to $200. Preferred copays increase from $20 - $25 to $30. Non-preferred copays increase from $40 to $50 to $56 - $61. Tier 4 & Tier 5 cost sharing is increasing from 25% for both the basic and enhanced plans to 26% - 30%.

• We have also made changes to our Medicare Part D prescription drug formulary.

• A detailed review of our Medicare Part D members' prescription claims prompted us to take actions that would better control drug costs and align our formulary with those of our competitors.

• We have reduced our preferred formulary and placed some restrictions on certain medications.

• Our Medicare Part D formulary continues to offer all classes of drugs as required by CMS and will be more in line with competitors in 2010.

Rates

Oregon and Clark County Regence MedAdvantage and Asuris Medicare Script Monthly Premiums
Effective January 1, 2010

Regence MedAdvantage (without RX)

$116

Regence MedAdvantage+RX Classic

$126

Regence MedAdvantage+RX Enhanced

$176

Asuris Medicare Script

$74.50

Asuris Medicare Script Enhanced

$92.50

Thank you for your continued partnership. For more information regarding Regence's MedAdvantage and Asuris Medicare Script plans please contact your Sales Executive.

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