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Res. No. 126-09-12935RESOLUTION NO.: 126 -09 -12935 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, AUTHORIZING THE CITY MANAGER TO RENEW THE CONTRACT WITH AVMED TO PROVIDE GROUP HEALTH INSURANCE FOR CITY OF SOUTH MIAMI FULL TIME EMPLOYEES TO BE CHARGED TO DEPARTMENTAL ACCOUNT NUMBERS RESPECTIVELY; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Agent of Record (Employee Benefits Consulting Group) secured 8 bids for the City's Group Health Insurance and recommended AVMED as the lowest responsive bidder; and WHEREAS, the Insurance Committee compared the insurance rates, benefit plan designs, provider network as well as our previous claims experience /ratio; and WHEREAS, the Insurance Committee unanimously voted to renew with AVMED for another year; and WHEREAS, the City Commission wishes to renew Group Health Insurance with AVMED to all full -time employees; and WHEREAS, with the selection of AVMED, the designated Agent of Record is Employee Benefits Consulting Group until contract expiration or until otherwise determined by either party. NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, THAT; Section 1. The contract shall be effective October 1, 2009 and shall be renewable on an annual basis. Section 2. This engagement is at will and shall continue until either party terminates the engagement by giving written notice to the other party. The City shall not be charged for agent of record services; Employee Benefits Consulting Group shall be compensated by the insurer. Pg. 2 of Res. No. 126 -09 -12935 Section 3. This resolution shall take effect immediately upon approval. PASSED AND ADOPTED this 4th day of Auqust 2009. ATTEST: C Y CLERK READ AND APPROVED AS TO FORM: Commission Votes 5 -0 Mayor Horace Feliu: Yea Vice Mayor Brian Beasley: Yea Commissioner Velma Palmer: Yea Commissioner Valerie Newman: Yea Commissioner Lew Sellars: Yea South Miami NI- AmericaCilp CITY OF SOUTH MIAMI r hr OFFICE OF THE CITY MANAGER INTER- OFFICE MEMORANDUM 2 °0t To: The Honorable Mayor & Members o e City Commission Via: W. Ajibola Balogun, City Manager From: Jeanette Earizo, Human Resource M n ARM Date: July 28, 2009 nda Item No.: Subject: Authorizing One Year Contract Renewal with AVMED Health Care REQUEST: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, AUTHORIZING THE CITY MANAGER TO RENEW THE CONTRACT WITH AVMED TO PROVIDE GROUP HEALTH INSURANCE FOR CITY OF SOUTH MIAMI FULL TIME EMPLOYEES TO BE CHARGED TO DEPARTMENTAL ACCOUNT NUMBERS RESPECTIVELY; PROVIDING FOR AN EFFECTIVE DATE. Reason/Need: We have received renewal rates from our current group health insurance carrier, AVMED. AVMED initially proposed 'a 10.6 % increase; however, we were successful in negotiating the rate increase to 4.2 %. The City had $515,689 in claims vs. $683,602 in premium. Although, renewal rates were received from AVMED, the Agent of Record recommended that we seek out bids from other carriers to ensure that we are being offered competitive rates. Our Agent of Record solicited bids from eight companies. Bids were received from the following companies: AETNA Submitted proposal AVMED Submitted proposal BCBS Declined to quote CIGNA HEALTHCARE Submitted proposal HUMANA Submitted proposal NHP Submitted proposal UNITED HEALTH CARE Submitted proposal VISTA Submitted proposal The Insurance Committee met to review and compare all the different alternatives. The Committee Members that participated were as follows: Maria Garcia — City Manager's Office Maria Virguez — Finance Carol Bynum — Code Enforcement (AFSCME) George Greene — Motor Pool (AFSMCE) Captain Lisa Morton — Police (PBA) James McCants — South Miami Community Redevelopment Agency Maria Stout -Tate- Planning Lorenzo Woodley — Parks and Recreation Michelle Egues — Human Resources Slaven Kobola — Public Works and Engineering Department The Insurance Committee made a recommendation to the City Commission to renew with AVMED for another year without any changes to the current benefit plan design. LOW HMO EE $372.84 (City portion) EC $659.93 ES $734.50 FAM $1099.88 HIGH HMO POS $432.52 $502.01 $765.56 $888.55 $852.06 $988.95 $1275.93 $1480.91 With the Triple Option, the City would cover the employee rate of $372.84 which is a (42 %) increase. Based on current enrollment assumptions (134 FTE), the annual increase from this year to next year would be approximately $ 24,184.48. Current staffing levels are at 151 full time employees. Cost: Funding Source: Departmental Account Numbers Backup Documentation: ❑ Proposed Resolution ❑ Proposals from Insurance Vendors ❑ AVMED Contract CITY COMM1551UN Insurance Workshop Workshop date: July 21, 2009 Time: 6:30 p.m. Next Regular Meeting 'date: July 21, 2009; Time: 7:30 p.m. 6130 Sunset Drive, South Miami, FL Phone: (305) 663 -6340 1. Employees' Health Insurance Workshop - Benefit /Price Comparison Overview 2, Adjournment: 7:30 P.M. CITY COMMISSION WORKSHOP Z AGENDA - July 21, 2009 CITY OF SOUTH MIAMI OFFICE OF THE CITY MANAGER INTER - OFFICE MEMORANDUM To: The Honorable Mayor & Via: W. Ajibola Balogun, City From: Jeanette Emizo, Human Date: July 17, 2009 Subject: Insurance Workshop of the City Commission Item No.: South Miami NI- AmedcaCity 2001 On Friday, July 17, 2009, the Insurance Committee met to discuss and finalize recommendation/selection of health insurance carrier. The following employees were present: Maria Garcia — City Manager's Office Maria V irguez — Finance Carol Bynum — Code Enforcement (AFSCME) George Greene — Motor Pool (AFSMCE) Captain Lisa Morton — Police (PBA) James McCants — South Miami Community Redevelopment Agency Maria Stout -Tate- Planning Michelle Egues — Human Resources Slaven Kobola— Public Works Upon further discussion and review, the Insurance Committee voted to renew with AVMED with a 3 Tier Option (Low Option HMO, High Option HMO and POS). The increase to the City for fiscal year 2009/2010 would be 4.2 %. The Insurance Committee will be presenting their recommendations next Tuesday, July 21, 2009 at the Workshop. I am forwarding all information that was provided to the Committee for your review and consideration. MEDICAL PROPOSAL ANALYSIS JULY 2009 f�_a rc . Employee Benefits Consulting Group TABLE OF CONTENTS I. Executive Summary II. Proposed Medical Rates III. HMO Benefit Comparison IV. POS Benefit Comparison V. Survey Results sip �Tc Employee Benefits Consulting Group Executive Summary Attached is our analysis of the medical proposals that we received on behalf of the City of South Miami. We approached the following vendors in regards to this project: Aetna Humana Av Med (incumbent) Neighborhood Health Partnership Blue Cross/Blue Shield United HealthCare CIGNA Vista AvMed initially proposed a 10.6% rate increase. We were successful in negotiating the rate increase to 4.2 %. From 2/1/08 - 1/31/09 the City of South Miami had a 75.4% loss ratio with AvMed (i.e. for every $1.00 of premium AvMed paid $35 in claims). During this time period the City had $515,689 in claims vs. $683,602 in premium. The rates and benefits for Standard Insurance and Humana (formerly CompBenefits) will not change for the 10/1/09- 9/30/10 plan year. We appreciate the opportunity the City of South Miami has given us in regards to this project. 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Comparison of Employer Contributions July 2009 Municipality 1) City of Doral 2 2) Village of Pinecrest 3) City of Aventura 4) Town of Bay Harbor Islands 5) City of Homestead 6) City of Miami Springs 7) Town of Surfside 8) Village of Key Biscayne $750 allowance /month $700 allowance /month 100% - Employee 70% - Dependent 100% - Employee 65% - Dependent 90 %- Employee 70% - Dependent 100% - Employee 50% - Dependent 100% - Employee 47% - Dependent $450 allowance( *) t9) City of South Miami 100% - Employee 0% - Dependent 1:9) City of Florida City 100 % - Employee 0% - Dependent ( *) Police and Fire receive 100% employer contribution toward employee and dependent coverage. 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N y y N N Y o o m 0 O Z LL U U t0 t0 U � w O d O M U m O c v S o Y N N N N N Y `'j > d Eo mm O a s � T Q y> = N 0 0 O O O C) V3 U �n vs N .f9 � Y O m m og °0 ui Z U U O W N V C R �U T t d 2 R y U N o E m 0 dU) c 0 >^ N Ro E mR m ao a (A O � o � a c 0 N T y a E > W N T 0 0 U U N O � O NT N O � a O N co a U O O y a. a U O fA N m a U O N T R Q V O O c a � U R C Y y � a O o � _ `m m 0 LL U U w Z w O d O M U m O S N .f9 � Y O m m og °0 ui Z U U O W N V C R �U T t d 2 R y U N o E m 0 dU) c 0 >^ N Ro E mR m ao a (A O � o � a c 0 N T y a E > W N T 0 0 U U N O � O NT N O � a O N co a U O O y a. a U O fA N m a U O N T R Q V O O R R R 0 a a U V 8 � M � HT fR 4i m m m Q a Q U U U O l O O T T T O O O U U U O M t00 �lH H3 R R R aaQ U U V N Od 0 H} fA Vi T Q ca N � m �E v LL 0 E c N � Z m U oycc�om mm a N q Y W q 0 U M L; q d W d v A a W G� N N a ° a � U R C Y y � a O o c � E W R R R 0 a a U V 8 � M � HT fR 4i m m m Q a Q U U U O l O O T T T O O O U U U O M t00 �lH H3 R R R aaQ U U V N Od 0 H} fA Vi T Q ca N � m �E v LL 0 E c N � Z m U oycc�om mm a N q Y W q 0 U M L; q d W d v A a W G� N N a ! _ � t / }: e 0 \E /\ aa, 02 - .§ ~ § \� \ \ \ \\ \\ ( u I 33 ƒ: ){ - - � ~ ° cli l 00 } ) 0 /// }\ } }^ Q\ .} k . k � - - , /: ƒE 2 z ! _ � t / }: e 0 \E /\ aa, 02 - .§ ~ § \� \ \ \ \\ \\ ( u I m � - -_ ° cli _ � t / }: e 0 \E /\ aa, 02 - .§ ~ § $ !§L ]2 ( u � - -_ ° cli l ) 0 k � - - , /: ƒE 2 z } \\ \ - -- \ ®® 0 04 ® ® _ � t / _ e 0 \E /\ aa, 02 - .§ § $ !§L ]2 ( « u Comparison of Employer Contributions July 2009 Municipality 1) City of Doral $750 allowance /month 2) Village of Pinecrest $700 allowance /month 3) City of Aventura 100% - Employee 70% - Dependent 4) Town of Bay Harbor Islands 100 % - Employee 65% - Dependent .5) City of Homestead 90% - Employee 70% - Dependent 6) City of Miami Springs 100% - Employee 50% - Dependent 7) Town of Surfside 100 % - Employee 47% - Dependent 8) Village of Key Biscayne $450 allowance(`) t9) City of South Miami 100% - Employee 0% -Dependent t9) City of Florida City 100 % - Employee 0% - Dependent (`) Police and Fire receive 100% employer contribution toward employee and dependent coverage. j =A Page 1 Employee Benefits Consulting Group \ � \ m ; Lol \ \ / ) r / \ } � }} ^ ` \ > mn \ \\k E - - \ ƒ \ 0 E±} {\ } \ � 2 \ \ # ) 4 _ 0 0 2 r» _ ( �) \\ §[f y & w �W ) // 0 1 ! k ! / ( FYI \) ( az 2 ) D \/ \\ } \\ ({/ \\ \ \\ \ _ ! \ f \ ƒ \ \ \\ CL \ \ \ \ ! [ 0 z M.0 \\ \ ) 0 ) \\) r I { ) D \/ \\ } \\ ({/ \\ \ \\ \ _ ! \ \ \ \ \\ CL \ \ \ \ \ 0 r M.0 _ ! CL \ \ \ \ \ 0 r M.0 C \ / ) \\) r _ ! CL \ r M.0 C \ / ) \\) r a q 090 7 q 900 C q W O W W c c ya , 0 O o. _ } Z m m o N N N N H N N E 2 ? m m Y>> O .0 N C m n O N N m Q Q 0 U V V i O O O U U O N Od Z co d Q C' O O •co p O 0 O O ° O t0 N U N O_ f/i fH fA o U �� rn U U t° 0 0 0 m tma N N �O O p O O fPr ffl CD a a q 090 7 q 900 C q W O W W c c a ° o. c } Z m m o N N N N N m m a i m H K Y>> O .0 N C °liZ O N N m Q Q 800 O N i O O O U U O N Od Z co d Q C' O O •co p O 0 O 000 ° ° U o n n o 0 O 0 o U U U U rn U U t° 0 0 0 m 4- N ea �O O p O a q 090 7 q 900 C q W O W W c o. c } Z o N N Z E s °o m m a i m H K o E c .0 N C °liZ >J T T T v E a0i m n V Y > J Ta T T co d Q C' :3 E •co mm Q.� n a 000 ° ° U o n n o 0 O 0 o U U U U rn O O U U 0 0 0 m 4- N O Z �O O p O O fPr ffl CD a m m U n m O o G O_ T N N .` �C wo`I Z T a co M T T a m m m 000 mm n. U O UN V U N 7(00 fn O N � T o. E N Z E s °o m m a i m H K o E c .0 N C °liZ v E a0i m n m m m Da`cn c p w x w(9w`m` O C O R 0 O N E 9 T y E N a d d o -� m N y w T N N -N N Y � >2 E @ a m m m o 0 0 0 a 0 0 0 N O N �. Q- a, U V U O O O V V O p O O U U U O N U U U� O U 0 ML0O u�po Z F Q- E9 FIi O fA �} O C O R O O N E 9 T y E N a d d o -� m N W w T v E c O O N Y � >2 E @ a m m m o 0 0 0 a 0 0 0 0 to Q- a, w. L O- o. O p O O U U U O N U U U� O U 0 ML0O u�po Z N w E9 FIi H3 O fA �} � � d 0 O m O R O N E 9 T y E N a d d o -� m N W w T v E c O O N Y � >2 E @ a m n a 0 0 0 paw c 0 to Qi C7 mm U m 00 vN v v U V u�po Z w N O � 0 O vs m O U 2 S c 0 T E -> N N N Y >> >. T m ro o 0 0 0 0 U 0 U 0 U O O N O O p U O- T R a. Z• = p 9 v E > E a 'Q, E, o 'o 0 i m N O W w T v E c O O d oEa� m L d O y N N paw c 0 to Qi C7 mm Q o 0 o q d m 0 op o 0 h o o h 00 N N d N 00'0 0 0 0 0 0 d 0 0 OC C O u N N 'E� N A A A A 0 o. v o ° N C O � N o A E o s ate° mm m 0000 °Ic a > V ? s z o 0 0 0 6!Z �p U U o U N O o VO'c°pN = W V d � � m O '6 c d o 0 o Q Q. 00 0 0 v v v v 0z�°0'�° J z M 1° UJ fy, LL) O tH G} KT fH M Q w rn z N N U !� t9 'V y S V '✓ O C G .� v .°- a° Q yam C N N p� N N t0 N V O o v R rn �C7m`On 3 w o 0 0 5 O How much does continuation coverage cost? Generally, each qualified beneficiary may be required to pay 102 percent of the cost of group health coverage. For Healthcare FSAs, the cost for continuation of coverage is a monthly amount calculated and based on the amount you were paying via pre -tax salary reductions before the qualifying event. When and how must payment for continuation of coverage be made? First payment for continuation coverage If you elect continuation of coverage, you do not have to send any payment for continuation coverage with the COBRA Election Form. However, you must make your first payment for continuation coverage within 45 days after the date of your election. (This is the date the Election Notice is post - marked, if mailed.) if you do not make your first payment for continuation coverage within that 45 days, you will lose all continuation coverage rights under the Plan. Your first payment must cover the cost of continuation coverage from the time your coverage under the Plan would have otherwise terminated up to the time you make the first payment. You are responsible for making sure that the amount of your first payment is enough to cover this entire period, You may contact FBMC to confine the correct amount of your first payment (for FSAs). Your health plan will notify you of the exact premium payable. Instructions for sending your first payment for continuation coverage will be shown on your COBRA Election Notice /Form. Periodic Payments for Continuation Coverage: After you make your first payment for continuation coverage, you will be required to pay for continuation coverage for each subsequent month of coverage. Under the Plan, these periodic payments for continuation coverage are due on the first day of each month. If you make a periodic payment on or before its due date, your coverage under the Plan will continue for that coverage period without any break. MEDICAL 2009 COBRA Monthly Rates Instructions for sending your periodic payments for continuation coverage will be shown on your COBRA Election Notice /Form. Grace Periods for Periodic Payments: Although periodic payments are due on the dates shown above, you will be given a grace period of 30 days to make each periodic payment. Your continuation coverage will be provided for each coverage period as long as payment for that coverage period is made before the end of the grace period for that payment. If you pay a periodic payment later than its due date but during its grace period, your coverage under the Plan will be suspended as of the due date and then retroactively reinstated (going back to the due date) when the periodic payment is made. This means that any claim you submit for benefits while your coverage is suspended may be denied and may have to be resubmitted once your coverage is reinstated. If you fail to make a periodic payment before the end of the grace period for that payment, you will lose all rights to continuation coverage under the Plan. For More Information This COBRA Q &A section does not fully describe continuation coverage or other rights under the Plan. More information about continuation coverage and your rights under the Plan is available in your summary plan description or certificate of coverage. You can get a copy of your summary plan description or certificate of coverage from FBMC (for FSAs) or your health plan. Keep Your Address Updated In order to protect your family's rights and to receive useful benefits information, you must keep your Departmental Personnel Representative informed of any change in your address, You should also keep a copy, for your records, of any notices you send to FBMC or your health plan, t/1�I A-A 2009 COBRA Monthly Rates msit bvttvw miamidade,gov /Benefits for'bPR oontaoTinformation JW,;OPTION MM'E 23_ DW�y OP.,TI[7 C7 visd 15,vww miar�rdatle govJBenefits for DPR oonfaot a�forrnaCion ` � FloddaHealthFinder.gov ( Comparing Florida Health Plans Page 1 of Member Satisfaction for Adults - Ratings .. ounty: Miami -Dade Flan Type: Commercial HMO / PPO / Indemnity Survey data collected in 2008. Plan information for Miami -Dade County Rate he Would Number ou of [Ease Select Ease in in Doctors How Well Getting Recommend our Gettin ng o Plan Health Plan Overall How Well el from urrent Needed uicki Customer to Family or Plan ain Health Plan Health Plan Name Plan Satisfaction Doctors ommunicateFrom Choose Processes_ e are laims Service Friends Commercial Aetna Health, v'V' d s/� HMO Inc. Commercial AvMed, Inc. ✓VV V'V' VV ✓ti/ V./ VV VIV V'VV V VV HMO Commercial CIGNA Healthcare of [ VfV SfiVf 4rV' +/V�' V ./ �,r Y V /V Y(V' %(V HMO Florida, Inc. Commercial Citrus Health HMO Care, Inc. Commercial Health ✓r/ Vt� V1� Vfv Vr iM0 Options, Inc. Commercial Medical Plan, HMO Inc. Neighborhood Commercial Health ✓/ f/V�V v�Vx✓ (' HMO Partnership, Inc. Commercial Preferred Medical Plan, VrV 1/V vrc: Vii% HMO Inc. Public Health Commercial Trust of Dade V +/ V`V< ✓ VIA( 4/ Vr HMO County (JMH Health Plan) Commercial Total Health V Y/ w/ HMO Choice, Inc. Commercial United Healthcare of %(V VV /Vt V I/ Vet/ 1/Vr I/Vr I/ V' V V HMO Florida, Inc. Vista Commercial Healthplan of / Vf HMO South Florida, Inc. Commercial Vista�� Healthplan, HMO Inc. http:// www. floridahealthfinder .gov/HealthPlans /Compare,aspx 7/13/200 FloridaHealthFinder.gov ( Comparing Florida Health Plans Page 2 of Commercial om Aetna Life Insurance % y ✓ +y *r+r PPO / FFS Company American Commercial Medical Security Life v/ of VI/ VV ✓✓ ✓ ✓ v/ PPO / FFS Insurance Company Commercial Com Com Blue Cross & Blue Shield of 4/11/-/ VV Vi/ ✓V VV t v/ PPO / FFS Florida, Inc. Connecticut Commercial General Life VV VV vr via/4/V/ PPO / FFS Insurance Company Commercial om Golden Rule Insurance V VV( V4( /VV 4/V VA(V VV PPO / FFS Company Humana Commercial Health Insurance VV VV VV O(V tfv/ Va/ V4/ VV +/ PPO /FFS Company of Florida United Commercial Healthcare v/v/ ANY V(4/ V - VV VV VIV V/V PPO/FFS Insurance Company • - New Health Plan Not Measurable /Small Population i - Not Reported ■ - Not Applicable /Not Available V - Three checkmarks represent the highest rank and one checkmark represents the lowest rank. Scores or Ratings may not have been collected for all available Health Plans in this county. To see a complete list of available Health Plans in the selected county, please select this link: "Health Plans Available ". Source: The results shown are posted as reported and certified by health plans to the Agency for Health Care Administration (AHCA), Florida Center for Health Information and Policy Analysis. http:// www. floridahealthfinder ,gov/HealthPlans /Compare.aspx 7/13/200 Please select an insurance carrier for FY 2009 -2010. AvMed (Renewal) ` Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista Co r1c) P A nu n1_ Employee Print Name CAA Please select an insurance carrier for FY 2009 -2010. AvMed (Renewal) Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista Stows Employee Print Name t/ Employee Signature Please select an insurance carrier for FY 2009 -2010. AvMed (Renewal) Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista Employee Print Name Employee Signature x Please select an insurance carrier for FY 2009 -2010. AvMed (Renewal) Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista Employee Print Name 20 Employee Signature LVAVA 11 Please select an insurance carrier for FY 2009-2010. AvMed (Renewal) Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista J 11,17,� A Employee Print Name Employee Signature w Please select an insurance carrier for FY 2009 -2010. AvMed (Renewal) Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista Employee Print Name V Am Eto a Signature Please select an insurance carrier for FY 2009 -2010. Renewal A vMed (Renewal) Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista Employee Print Name 1J Y Please select an insurance carrier for FY 2009 -2010. AvMed (Renewal) Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista Employee Print Name Employee Signature C!W ❑c Please select an insurance carrier for FY 2009 -2010. AvMed (Renewal) Aetna Cigna Humana Neighborhood Health Partnership United Health Care Vista J -- Employee Print NanW Employe Signature ORKSHOP _JULY Which option from the AvMed (Renewal) are you recommending for FY 2009 -2010? 1. AvMed Renewal (3 — Tier) 2. AvMed (2 — Tier) 1m �ti �i di71 Employee Print Na/ me VA Which option from the AvMed (Renewal) are you recommending for FY 2009 -2010? 1. AvMed Renewal (3 — Tier) 2. AvMed (2 —Tier) Employee Print Name - Employee Signature 7 Which option from the AvMed (Renewal) are you recommending for FY 2009 -2010? 1. AvMed Renewal (3 — Tier) 2. AvMed (2 — Tier) Employee Print Name mployee Signature 17 Which option from the AvMed (Renewal) are you recommending for FY 2009 -2010? 1. AvMed Renewal (3 — Tier) 2. AvMed (2 —Tier) l� Employee Print Name s� Employee Signature A Which option from the AvMed (Renewal) are you recommending for FY 2009 -2010? , 1. AvMed Renewal (3 — 2. AvMed (2 —Tier) Employee Print Name LN-9 OP JULY 17, 20 Which option from the AvMed (Renewal) are you recommending for FY 2009 - 2010 ?. 1. AvMed Renewal (3 — Tier) 2. AvMed (2 —Tier) 612 rin e Employee Print Name Signature ��� 4P JULY 17, 2009 Which option from the AvMed (Renewal) are you recommending for FY 2009 -2010? 1 AvMed Renewal (3 — Tier) 2. AvMed (2 —Tier) /yqR /t4 f /. V l,2GVGZ Employee Print Name Employee Sig a ore P JULY 17. Which option from the AvMed (Renewal) are you recommending for FY 2009 -2010? 1. A, Med Renewal (3 — Tier) 2. AvMed (2 —Tier) Ls'u! 1 9,,dcU� Employee Print Name Employee Signature IM P JULY 17 Which option from the AvMed (Renewal) are you recommending for FY 2009 -2010? 1. AvMed Renewal (3 — Tier) 2. AvMed (2 —Tier) Employee Print Na de 1 Employ Signature AvMed Health Plans Group Medical and Hospital Service Contract AV -G100 -2008 M&5241(10-08) AVMED CORPORATE OFFICE 9400 S. DADELAND BLVD. MIAMI, FL 33156 -9004 AVMED MEMBER SERVICES - ALL AREAS 1- 800 -88 AVMED (1 -800- 882 -8633) SERVICE AREAS MIAMI GAINESVILLE ORLANDO 9400 South Dadeland Boulevard 4300 N.W. 89h Boulevard 1800 Pembroke Drive Miami, Florida 33156 -9004 Post Office Box 749 Suite 190 Gainesville, Florida 32606 -0749 Orlando, Florida 32810 (305) 671 -5437 (800) 432 -6676 Miami -Dade FT. LAUDERDALE, 13450 W. Sunrise Boulevard Suite 370 Sunrise, Florida 33323 -2947 (954) 462 -2520 (800) 368 -9189 Broward Palm Beach JACKSONVILLE 1300 Riverplace Boulevard Suite 640 Jacksonville, Florida 32207 (904) 858 -1300 (800) 227 -4184 Baker Clay Duval Nassau St. Johns (352) 372 -8400 (407) 539 -0007 (800) 346 -0231 (800) 227 -4848 Alachua Lake* Bradford Orange Osceola Citrus Seminole Columbia Dixie TAMPA BAY/ SOUTHWEST Gilchrist FLORIDA Hamilton 1511 North Westshore Boulevard Levy Suite 450 Marion Tampa, Florida 33607 Suwannee Union (813) 281 -5650 (800) 257 -2273 Hernando Hillsboro Lee Pasco Pinellas Polk Sarasota * Coverage available in the following Lake County zip codes: 34736, 34711, 34712, 34713, 34714, 34715 and 34756 AV -G100 -2008 W -5241 (10 -08) III. DEFINITIONS As used in this Contract, each of the following terms shall have the meaning indicated: 3.01 "Adverse Benefit Determination" means a denial, reduction, or termination of, or a failure to provide or make payment, in whole or in part, for a benefit, including any such denial, reduction, termination, or failure to provide or make payment that is based on a determination of a Member's eligibility to participate in the Plan, a denial, reduction, or termination of, or a failure to provide or make payment (in whole or in part) of, a benefit resulting from the application of any Utilization Management Program, as well as a failure to cover an item or service for which benefits are otherwise provided because it is determined to be experimental and/or investigational or not Medically Necessary. 3.02 "AvMed, Inc." otherwise known as "AvMed," means a private not for profit Florida corporation, state licensed as a health maintenance organization under Chapter 641, Florida Statutes, for the purpose of arranging for prepaid health care services to its Members under the terms and conditions set forth in this Contract. 3.03 "Claim" means a request for benefits under this Contract made by a Member in accordance with AvMed's procedures for filing benefit claims, including Pre- Service Claims and Post - Service Claims. 3.04 "Claimant" means a Member or a Member's authorized representative acting on behalf of the Member. AvMed may establish procedures for determining whether an individual is authorized to act on behalf of the Member. If the Claim is an Urgent Care or Pre - Service Claim, a Health Professional, with knowledge of the Member's medical condition, shall be permitted to act as the Member's authorized representative and will be notified of all approvals on the Claimant's behalf. In the event of an Adverse Benefit Determination, AvMed will notify both the Member and the Heath Professional. 3.05 "Concurrent Care" means an ongoing course of treatment to be provided over a period of time or number of treatments that was previously approved by AvMed. 3.06 "Contract" means this Group Medical and Hospital Service Contract which may at times be referred to as "Group Contract" or "Subscribing Group Contract" and all applications, rate letters, face sheets, riders, amendments, addenda, exhibits, supplemental agreements, and schedules which are or may be incorporated in this Contract from time to time. 3.07 "Contract Term" means the period of consecutive months agreed to by the Subscribing Group and AvMed on the Master Application, commencing on the effective date of this Contract. May also be referred to as "Contract Year" 3.08 "Conversion Contract" means an individual Member or Subscriber contract which shall be available to continue coverage (as provided for therein) of the Subscriber or the Dependent of the Subscriber upon termination of the Subscribing Group Contract as provided in Part VIII of this Contract, and shall at times be referred to as the "Individual Conversion Contract." 3.09 "Co- payment" means the charge, in addition to the prepaid premium charges, which the Subscriber is required to pay at the time certain health services are provided under this Contract. The Co- payment may be a specific dollar amount or a percentage of the cost. The Member is Av -Gi00 -2008 MR5241(10/08) 3.15 "Emergency Medical Services and Care" means medical screening, examination, and evaluation by a physician, or, to the extent permitted by applicable law, by other appropriate personnel under the supervision of a physician, to determine if an Emergency Medical Condition exists and, if it does, the care, treatment, or surgery for a covered service by,a physician necessary to relieve or eliminate the Emergency Medical Condition within the service capability of the Hospital. 3.15.01 In -area emergency does not include elective or routine care, care of minor illness, or care that can reasonably be sought and obtained from the Member's Primary Care Physician. The determination as to whether or not an illness or injury constitutes an emergency shall be made by AvMed and may be made retrospectively based upon all information known at the time the patient was present for treatment. 3.15.02 Out -of -area emergency does not include care for conditions for which a Member could reasonably have foreseen the need of such care before leaving the Service Area or care that could safely be delayed until prompt return to the Service Area. The determination as to whether or not an illness or injury constitutes an emergency shall be made by AvMed and may be made retrospectively based upon all information known at the time the patient was present for treatment. 3.16 "Exclusion" means any provision of this Contract whereby coverage for a specific hazard or condition is entirely eliminated. 3.17 "Full -Time Student or Part Time Student" means one who is attending a recognized and/or accredited college, university, vocational, or secondary school and is carrying sufficient credits to qualify as a full -time or part time student in accordance with the requirements of the school. (See Subsection 4.02.02(f)) 3.18 "Group Health Insurance" (for purposes of Part XIH) means that form of health insurance covering groups of persons under a master Group Health Insurance policy issued to any one of the groups listed in Sections 627.552 (employee groups), 627.553 (debtor groups), 627.554 (labor union and association groups), and 627.5565 (additional groups), Florida Statutes. 3.18.01 The terms "amount of insurance" and "insurance" include the benefits provided under a plan of self - insurance. 3.18.02 The term "insurer" includes any person, entity, or governmental unit providing a plan of self-insurance. 3.18.03 The terms "policy," "insurance policy," "health insurance policy," and "Group Health Insurance policy" include plans of self - insurance providing health insurance benefits. 3.19 "Health Professionals" means physicians, osteopaths, podiatrists, chiropractors, physician assistants, nurses, social workers, pharmacists, optometrists, clinical psychologists, nutritionists, occupational therapists, physical therapists, and other professionals engaged in the delivery of health care services who are licensed and practice under an institutional license, individual practice association, or other authority consistent with State law and who are Participating Providers of AvMed Health Plans. 3.20 "Home Health Care Services (Skilled Home Health Care)" means services that are provided for a Member who does not require confinement in a Hospital or Other Health Care Facility. Such AV-Gtoo -2008 W- 5241(10108) e) Approved by the appropriate medical body or health care specialty involved as effective, appropriate, and essential for the care and treatment of the Member's condition; f) Not experimental or investigational. 3.29 "Medical Office" means any outpatient facility or physician's office in the Service Area utilized by a Participating Provider. 3.30 "Medical Services" (except as limited or excluded by this Contract) means those professional services of physicians and other Health Professionals, including medical, surgical, diagnostic, therapeutic, and preventive services that are: a) Generally and customarily provided in the Service Area; b) Performed, prescribed, or directed by Participating Providers; and C) Medically Necessary (except for preventive services as stated herein) for the diagnosis and treatment of injury or illness. 3.31 "Member" means any Subscriber or Dependent, as described in Part III, Sections 3.12 and 3.43, of this Contract. 3.32 "Non- participating Provider" means any Health Professional or group of Health Professionals or Hospital, Medical Office, or Other Health Care Facility with whom AvMed has neither made arrangements nor contracted to render the professional health services set forth herein as a Participating Provider. 3.33 "Other Health Care Facility(ies)" means any licensed facility, other than acute care Hospitals and those facilities providing services to ventilator dependent patients, which provides inpatient services such as skilled.nursing care or rehabilitative services for which AvMed has contracted or established arrangements for providing these services to Members. Coverage is limited to 20 days per calendar year. 3.34 "Participating Provider" means any Health Professional or group of Health Professionals or Hospital, Medical Office, or Other Health Care Facility with whom AvMed has made arrangements or contracted to render the professional health services set forth herein. 3.35 "Participating Physician" means any Participating Provider licensed under Chapter 458 (physician), 459 (osteopath), 460 (chiropractor) or 461 (podiatrist), Florida Statutes. "Attending Physician" means the Participating Physician primarily responsible for the care of a Member with respect to any particular injury or illness. 3.36 "Post- Service Claim" means any Claim for benefits under the Plan that is not a Pre- Service Claim. 3.37 "Pre- Service Claim" means any Claim for benefits under the Plan with respect to which, in whole or in part, a Member must obtain authorization from AvMed in advance of such services being provided to or received by the Member. 3.38 "Primary Care Physician" means a Participating Provider physician engaged in family practice, pediatrics, internal medicine, obstetrics /gynecology, or any specialty physician from time to time designated by AvMed as a "Primary Care Physician" in AvMed's current list of physicians and Hospitals. AV- 01000.2008 NT -5241 (10 /08) Physician's office after -hours and the covered services for those conditions which, although not life - threatening, could result in serious injury or disability if left untreated. 3.48 "Utilization Management Program" means those comprehensive initiatives that are designed to validate medical appropriateness and to coordinate covered services and supplies. These include, but are not limited to: (1) concurrent review of all patients hospitalized in acute care, psychiatric, rehabilitation, and skilled nursing facilities, including on -site review when appropriate; (2) case management and discharge planning for all inpatients and those requiring continued care in an alternative setting (such as home care or a skilled nursing facility) and for outpatients when deemed appropriate; and (3) the Benefit Coordination Program which is designed to conduct prospective reviews for select medical services to ensure that services are covered and Medically Necessary. The Benefit Coordination Program may also advocate alternative cost - effective settings for the delivery of prescribed care and may identify other options for non - covered health care needs. 3.49 "Ventilator Dependent Care Unit" means care received in any facility which provides services to ventilator dependent patients other than acute Hospital care, including all types of facilities known as sub -acute care units, ventilator dependent units, alternative care units, sub -acute care centers, and all other like facilities whether maintained in a free standing facility or maintained in a Hospital or skilled nursing facility setting. Coverage is limited to 100 days lifetime maximum. IV. ELIGIBILITY 4.01 To be eligible to enroll as a Subscriber, a person must be: 4.01.01 An employee of the Subscribing Group who works the required number of hours per week asset forth in the Master Application for this Contract. The employee must either work or reside in the Service Area. Except as provided for Emergency Medical Services and Care, the covered services and benefits are available only from Participating Providers. 4.01.02 Employed for the period of time required for eligibility as set forth in the Master Application; and 4.01.03 Entitled on his own behalf to participate in the medical and Hospital care benefits arranged by the Subscribing Group under this Contract. 4.02 To be eligible to enroll as a Dependent, a person must be: 4.02.01 The spouse of the Subscriber; a new spouse must be enrolled within 31 days after marriage in order to be covered; or 4.02.02 A child of the Subscriber, or a child of a covered Dependent of the Subscriber, provided that all of the following conditions apply: a) The child is the natural child or stepchild of the Subscriber; a legally adopted child in the custody of the Subscriber from the time of placement in the home (written evidence of adoption must be famished to AvMed upon request); a child for whom the Subscriber has been appointed legal guardian, pursuant to a valid court order; or a newborn child of a covered Dependent of the Subscriber (such coverage terminates 18 months after the birth of the newborn child); AV -G300 -2008 W-5241 (10/08) 4.02.03 In the event that the Subscriber has a child who meets the following requirements, extended coverage may be available for that child until the end of the Calendar Year in which the child reaches age 30, if the child meets the following requirements: a) Is unmarried and does not have a Dependent of his or her own; b) Is a resident of Florida or a Full -time or Part-time Student; and c) Is not provided coverage as a named Subscriber, insured, enrollee or covered person under any other group, blanket, or franchise health insurance policy or individual health benefits plan, or is not entitled to benefits under Title XVIII of the Social Security Act. The child is not eligible to be covered unless the child was continuously covered by other creditable coverage without a gap in coverage of more than 63 days. In addition, until April 1, 2009, the Subscriber of a child who qualifies for coverage under the dependent age extension, but whose coverage as a Dependent child terminated under the terms of the plan before October 1, 2008 may make a written election to reinstate coverage, without proof of insurability for that child. 4.03 No person is eligible to enroll hereunder who has had his coverage previously terminated under Part IX, Subsection 9.01.05, except with the written approval of AvMed. 4.04 Attainment of the limiting age by a Dependent child shall not operate to exclude from or terminate the coverage of such child nor shall coverage prevent the enrollment of a child while such child is and continues to be both: a) Incapable of self - sustaining employment by reason of mental retardation or physical handicap; and b) Chiefly dependent upon the Subscriber for support and maintenance, provided proof of such incapacity and dependency is famished to AvMed by Subscriber within 31 days of the child's attainment of the limiting age and subsequently as may be required by AvMed, but not more frequently than annually after the two - year period following the child's attainment of the limiting age. 4.05 During the term of this Contract, no changes in the Subscribing Group eligibility or requirements of participation shall be permitted to effect eligibility or enrollment under this Contract unless such change is agreed to by AvMed. 4.06 Eligible persons must reside within the continental United States, excluding Alaska and Hawaii. V. ENROLLMENT 5.01 Prior to the effective date of this Contract and at a proper time prior to each anniversary thereof, AvMed may allow an open enrollment period of 31 days, in which any eligible Subscriber on behalf of himself and his Dependents may elect to enroll in the Plan. 5.02 Except as provided for newborns, eligible Subscribers and Dependents who meet the requirements of Part IV, Sections 4.01 and 4.02 must enroll within 31 days after becoming eligible by submitting application forms acceptable to or provided by AvMed; otherwise, the eligible Subscribers and Dependents may not enroll until the next open enrollment period of Subscribing Group. 10 AV -0100 -2008 W- 5241 (10/08) predetermined minimum enrollment as established by AvMed. The required minimum group enrollment is included in the rate letter submitted to Subscribing Group. VI. EFFECTIVE DATE OF MEMBERSHIP Subject to the payment of applicable monthly premium charges set forth in Part VII and to the provisions of this Contract, coverage under this Plan shall become effective on the following dates: 6.01 Eligible Subscribers and Dependents who enroll during the open enrollment period will be covered Members as of the effective date of this Contract or subsequent anniversary thereof. 6.02 If a Subscriber acquires an eligible Dependent through birth, adoption, placement for adoption or marriage, such Dependent shall be treated as covered under the Plan if, within 31 days (or as otherwise provided for newborns in Part IV) of acquiring the new Dependent, you complete and submit an enrollment form on behalf of such Dependent. If received by AvMed within the 31 day time period (or 60 days as permitted for newborns), the enrollment for such Dependent shall become effective on the date of the birth, adoption or placement for adoption, or in the case of marriage, on the first day of the month following the date of marriage. During this period, you and your eligible spouse may also enroll for medical coverage under the Plan if not already covered. However, if an enrollment request is not received by AvMed within the required time frame, you and your eligible Dependents will be required to wait until the next open enrollment period to apply for coverage. 6.03 If you or your Dependents originally declined medical coverage under the Plan due to other health coverage, and that coverage is subsequently terminated as a result of either a loss of eligibility for such coverage or the termination of any employer contributions for such coverage, you and your Dependents will be eligible to enroll in the Plan. To enroll, you must properly complete an enrollment form within 31 days of the loss of such other coverage or the termination of employer contributions. The effective date of any coverage provided by AvMed will be the first day of the month following the date you enroll. If you fail to enroll within 31 days after the loss of other coverage, you must wait until the next open enrollment period to apply for coverage. 6.04 Coverage for the newborn child of the Subscriber or the newborn child of the Subscriber's covered Dependent is effective at birth if Subsection 4.02.02(i) and Section 6.02 are complied with. VII. MONTHLY PAYMENTS AND CO- PAYMENTS 7.01 On or before the first day of each month for which coverage is sought, Subscribing Group or its designated agent shall remit to AvMed, on behalf of each Subscriber and his Dependents, the monthly premium based on the rate letter and Master Application. Only Members for whom the stipulated payment is actually received by AvMed shall be entitled to the health services covered under this Contract and then only for the period for which such payment is applicable. Failure of the Subscribing Group to pay the premium due by the first of the month and not later than the end of the grace period (as provided in Section 7.02) shall result in retroactive termination of the Subscribing Group, effective at 12:00 a.m. (midnight) on the last day of the month for which the premium was paid, unless the payment of premiums has otherwise been contractually adjusted and specified by the parties in a fully executed addendum to this Contract. An additional charge will apply to all late premium payments. (See Section 17.14) 12 Av -G100 -2008 MP -5241 (10/08) coverage terminates under this Group Contract, and all such Subscribers and Dependents, after complying with Subsection 8.01.02 below, shall be covered under the Individual Conversion Contract. 8.01.02 A completed status change form requesting conversion shall be sent to AvMed or its designated administrator with the first applicable premium and shall be received by AvMed or its designated administrator not later than 63 days after the date of termination of this Group Contract. 8.01.03 Dependents may not convert without the Subscriber except: a) In the event of the death of the Subscriber, Dependents are permitted an automatic conversion privilege and must comply with Subsection 8.01.02 above. b) A spouse whose coverage would terminate, or a spouse and children whose coverage would otherwise terminate at the same time, or a child with respect to himself, by reason of ceasing to be a qualified family member, may convert and must comply with Subsection 8.01.02 above. c) A former spouse whose coverage would otherwise terminate because of annulment or dissolution of marriage may convert if the former spouse is dependent for financial support. The former spouse must comply with Subsection 8.01.02 above and must provide written evidence of financial dependence upon request of AvMed. 8.01.04 Payment for health care services rendered to a Member after termination and prior to conversion shall be the responsibility of the Member. When the conversion application has been timely completed (within 63 days after termination of the Group Contract) and the first premium due has been paid, AvMed shall reimburse the Subscriber for any payment made by the Subscriber for covered Medical Services under the converted Contract. 8.01.05 A new Conversion Contract is established upon application and payment of the premium on the day following the Member's termination from group coverage (due to ineligibility under the Group Contract) and continues through the end of the calendar year. The Contract Term, upon renewal, shall be the calendar year. 8.02 Individual Conversion Contracts may not include supplemental benefits, notwithstanding the supplemental benefits included under this Subscribing Group Contract, and may in other respects, as determined by AvMed, differ from this Group C6ntract. 8.03 The conversion privilege will not apply to a Subscriber or covered Dependent if termination of his coverage under this Contract occurred for any of the following reasons: a) Failure to pay any required premium or contribution unless such nonpayment of premium was due to acts of an employer or person other than the individual; b) Replacement of any discontinued group coverage by similar group coverage within 31 days; C) Fraud or material misrepresentation in applying for any benefits under this Contract; (See Subsection 9.01.05) d) Willful and knowing misuse of AvMed's identification card by the Subscriber; 14 Av -G100 -2008 MP -5241 (10 /08) 9.01.02 Failure to Make Premium Payment - Upon failure of the Subscribing Group to make payment of the monthly premium provided in Part VII within ten days following the due date specified herein, benefits hereunder shall terminate, for all Subscribers and any Dependents for whom such payment has not been received, at 12:00 a.m. (midnight) on the last day of the month for which the monthly premium was paid. AvMed, regarding cancellation or non - renewal of this coverage, may retroactively cancel the policy to the date for which the Subscribing Group's premiums have been paid when AvMed provides notice of cancellation or non - renewal to the Subscribing Group prior to 45 days after the date the premium was due. AvMed will include a reason for the Contract termination in its written notification to the Subscribing Group. The Subscribing Group will forward such notification to all Subscribers when AvMed has notified the Subscribing Group of the cancellation or non - renewal, and AvMed is deemed to have complied with its notification requirements by providing said notice to the Subscribing Group. 9.01.03 Termination of Group Contract by Subscribing Group — Subscribing Group may terminate this Group Contract on the anniversary date by giving written notice to AvMed 15 days prior to Contract anniversary date. In such event, benefits hereunder shall terminate for all Members at 12:00 a.m. (midnight) on Contract expiration date. 9.01.04 Early Termination of Group Contract by Subscribing Group - Subscribing Group may terminate this Group Contract by giving at least 60 days written notice to AvMed. [In such event, benefits hereunder shall terminate for all Members at 12:00 a.m. (midnight) on the last day of the month for which monthly premium was paid.] [In such event, benefits hereunder shall terminate for all Members at 12:00a.m. (midnight) on the date specified by the Group in their written notice to AvMed ]. 9.01.05 Termination of Group Contract by AvMed - AvMed may non -renew or discontinue this Group Contract based on one or more of the conditions listed below. In such event, benefits hereunder shall terminate for all Members at 12:00 a.m. (midnight) on the Contract expiration date as described below. a) Subscribing Group has failed to pay premiums or contributions in accordance with the terms of this Contract or AvMed has not received timely premium payments (See Part VII, Monthly Payments and Co- payments and Subsection 9.01.02). Termination of coverage will be effective on the last day of the month for which payments were received by AvMed. b) Subscribing Group has performed an act or practice that constitutes fraud or made an intentional misrepresentation of material fact under the terms of this Contract. This will result in immediate termination of Subscribing Group. c) Subscribing Group has failed to comply with a material provision of the Contract that relates to rules for employer contributions or group participation. Termination will be effective upon 45 days written notice from AvMed to Subscribing Group. d) There is no longer any enrollee in connection with the Plan who lives, resides, or works in the Service Area. Termination of coverage will be effective on the last day of the month for which payments were received by AvMed. 16 AV- GI00-2008 MR5241 (10/08) 9.03 Certificates of Coverage. If your coverage under the Plan ends, you will automatically receive a Certificate of Group Health Plan Coverage. You may take this certificate to another health care plan to receive credit for your coverage under the Plan. You will only need to do this if the other health care plan has a pre- existing condition limit. You can request a Certificate of Group Health Plan Coverage anytime during the 24 -month period after the date your coverage under the Plan has ended. 9.04 Continuation Coverage under COBRA.. Under certain provisions of COBRA., the Subscriber or his Dependents may elect continued coverage under the Plan if coverage is lost due to a qualifying event. 9.04.01 Eligibility. You or your covered Dependents will become eligible for continuation coverage under COBRA after any of the following qualifying events result in the loss of Plan coverage: a) loss of benefits due to a reduction in your hours of employment; b) termination of your employment, including retirement but excluding termination for gross misconduct; e) termination of employment following leave under the Family and Medical Leave Act of 1993 (FMLA), in which case the qualifying event will occur on the earlier of the date you indicated you were not returning to work or the last day of the FMLA leave; or d) you or a Dependent first become entitled to Medicare or covered under another group health plan prior to your loss of coverage due to termination of employment or reduction in hours. 9.04.02 In addition, your Dependents will become eligible for COBRA continuation coverage after any of the following qualifying events occur to cause a loss of Plan coverage: a) your death; b) your divorce or legal separation; c) you first become entitled to Medicare after your loss of coverage due to termination of employment or reduction in hours; or d) your Dependent child no longer qualifies as a Dependent under the Plan. A child who is born to or placed for adoption with a covered former employee during the continuation coverage period has the same continuation coverage rights as a Dependent child described above. 9.04.03 Notification. If a qualifying event other than divorce, legal separation, loss of Dependent status or entitlement to Medicare occurs, the Plan Administrator will be notified of the qualifying event by your employer and will send you an election form. To continue Plan coverage, you must return the election form within 60 days from the later of the date you receive the form, or the date your coverage ends due to a qualifying event. 18 AV -G100 -2008 NT-5241 (10 /08) To be eligible for extended coverage due to Social Security disability, you must notify the Plan Administrator of the disability before the end of the initial 18 months of COBRA continuation coverage and within 60 days following the date you or a covered Dependent is determined to be disabled by the Social Security Administration. If the disabled individual should no longer be considered to be disabled by the Social Security Administration, you must notify the Plan Administrator within 30 days following the end of the disability. Coverage that has exceeded the original 18 -month continuation period will end when the individual is no longer Social Security disabled. If more than one qualifying event occurs, no more than 36 months total of COBRA continuation coverage will be available. The COBRA beneficiary must experience the second qualifying event during the first 18 months of COBRA continuation, and must provide notice to the Plan Administrator within the required time period. COBRA. continuation coverage will end sooner if the Plan terminates and the employer does not provide replacement medical coverage, or if a person covered under COBRA.: a) first becomes covered under another group health plan after the loss of coverage due to your termination or reduction in hours, unless the new group coverage is limited due to a pre- existing condition exclusion; this Plan will be primary for the pre - existing condition and secondary for all other eligible health care expenses, provided contributions for COBRA coverage continue to be paid. Coverage may only continue for the remainder of thei original COBRA period; b) fails to make required contributions when due; c) first becomes entitled to Medicare benefits after the initial COBRA qualifying event; or d) is extending the 18 -month coverage period because of disability and is no longer disabled as defined by the Social Security Act. 9.05 Continuation Coverage During Leaves of Absence. 9.05.01 Family and Medical Leaves of Absence (FMLA). Under FMLA, you may be entitled to up to a total of 12 weeks of unpaid, job- protected leave during each calendar year for the following: a) the birth of your child, to care for your newborn child, or for placement of a child in your home for adoption or foster care; b) to care for your spouse, child or parent with a serious health condition; or c) for your own serious health condition. If your FMLA leave is a paid leave, your pay will be reduced by your before -tax contributions as usual for the coverage level in effect on the date your FMLA leave begins. If your FMLA leave is unpaid, you will be required to pay your contributions directly to the employer until you return to active pay status. 20 AV -GI00 -2008 W -5241 (10108) a) Fraud or intentional misrepresentation in applying for any benefits under this Contract; b) Disemollment for cause; or c) The Subscriber has left the geographic Service Area of AvMed with the intent to relocate or establish a new residence outside AvMed's Service Area. X. SCHEDULE OF BASIC BENEFITS AvMed is committed to arranging for comprehensive prepaid health care services rendered to its Subscribers through AvMed's network of contracted independent physicians and Hospitals and other independent health care providers, under reasonable standards of quality health care. The professional judgment of a physician licensed under Chapters 458 (physician), 459 (osteopath), 460 (chiropractor) or 461 (podiatrist), Florida Statutes, concerning the proper course of treatment of a Subscriber shall not be subject to modification by AvMed or its Board of Directors, Officers, or Administrators. However, this subsection is not intended to and shall not restrict any Utilization Management Program established by AvMed. Only services and benefits in conformity with Part III (Definitions), Part X (Schedule of Basic Benefits), Part XI (Limitations of Basic Benefits), Part XIl (Exclusions from Basic Benefits) and the Schedule of Benefits, which by reference is incorporated herein, are covered by AvMed. It is the Member's responsibility when seeking benefits under this Contract to identify himself as a Member of AvMed and to assure that the services received by the Member are being rendered by Participating Providers. Any covered service for which the member is seeking reimbursement, must be submitted to the plan within one year from the date of service to be considered. Members should remember that services that are provided or received without advance authorization from AvMed, or when the service is beyond the scope of practice authorized for that provider under State law are not covered unless such services otherwise have been expressly authorized under the terms of this Contract or when required to treat an Emergency Medical Condition. Except for Emergency Medical Services and Care, all services must be received from Participating Providers. If a Member does not follow the access rules, he risks having the services and supplies received not covered under this Contract. In such a circumstance, the Member will be responsible for reimbursing AvMed for the reasonable cost of the services and supplies received. The following services require authorization from AvMed Health Plans: • inpatient admissions • All Home Health Care Services • Complex diagnostic procedures • Surgical procedures or services performed in an outpatient Hospital, Hospital - affiliated ambulatory surgery center, or free - standing ambulatory surgery center • All medications administered in an outpatient Hospital or infusion therapy setting • Select medications administered in a physician's office • Care rendered by Non - participating Providers (except for Emergency Medical Services and Care) • Transplant services • Dialysis services "For more information about which services require prior authorization, contact AvMed at 1- 800 - 882 - 8633," 22 AV -G100 -2008 MP -5241 (10/08) 10.05 Hospital Care: Inpatient. All Hospital inpatient services received at Participating Hospitals for non - mental illness or injury are provided when prescribed by Participating Physicians and pre - authorized by AvMed. Inpatient services include semi- private room and board, birthing rooms, newborn nursery care, nursing care, meals and special diets when Medically Necessary, use of operating rooms and related facilities, the intensive care unit and services, diagnostic imaging, laboratory and other diagnostic tests, medications, biologicals, anesthesia and oxygen supplies, physical therapy, radiation therapy, respiratory therapy, and administration of blood or blood plasma. See Section 10.12 with regard to inpatient admission following Emergency Medical Services and Care. Pre - authorization from AvMed is required for inpatient Hospital Services for substance abuse and these services are subject to the conditions set forth in the optional coverage selected. (Also see Section 11.05) 10.06 Physician Care: Inpatient. All Medical Services rendered by Participating Physicians and other Health Professionals when requested or directed by the Attending Physician, including surgical procedures, anesthesia, consultation and treatment by Specialty Health Care Physicians, laboratory and diagnostic imaging services, and physical therapy (See Section 10.08) are covered while the Member is admitted to a Participating Hospital as a registered bed patient. When available and requested by the Member, AvMed covers the services of a certified nurse anesthetist licensed under Chapter 464, Florida Statutes. 10.07 Physician Care: Outpatient 10.07.01 Diagnosis and Treatment. All Medical Services rendered by Participating Physicians and other Health Professionals, as requested or directed by the Primary Care Physician, are !covered when provided at Medical Offices, including surgical procedures, routine hearing examinations and vision examinations for glasses for children under age 18 (such examinations may be provided by optometrists licensed pursuant to Chapter 463, Florida Statutes or by ophthalmologists licensed pursuant to Chapter 458 or 459, Florida Statutes) and consultation and treatment by Specialty Health Care Physicians. Also included are non - reusable materials and surgical supplies. These services and materials are subject to the Limitations outlined in Part XI (Limitations of Basic Benefits). See Part XII for Exclusions. 10.07.02 Preventive and Health Maintenance Services. The services of the Member's Primary Care Physician for illness prevention and health maintenance, including child health supervision services and immunizations provided in accordance with prevailing medical standards consistent with the Recommendations for Preventive Pediatric Health Care of the American Academy of Pediatrics and/or the Advisory Committee on Immunization Practices; sterilization (See Schedule of Benefits), periodic health assessment, physical examinations, and voluntary family planning services are also covered. These services are subject to Limitations as outlined in Part XI (Limitations of Basic Benefits). See Part XII for Exclusions. 10.07.03 Outpatient Mental Health Services are covered only for diagnostic evaluation and crisis intervention. These services are limited to a total of 20 outpatient visits per calendar year. Referral for outpatient mental health services must be arranged by the Member's Participating Physician, and each visit requires a Co- payment. (See Schedule of Benefits) 24 AV -0100 -2008 NT-5241 (10108) 10.13 Urgent Care Services. All necessary and covered services received in Urgent Care or Immediate Care Centers or rendered in your Primary Care Physician's office after -hours for conditions as described in Section 3.47 will be covered by AvMed. See Schedule of Benefits for details. In addition, any Member requests for reimbursement (of payment made by the Member for services rendered) must be filed within 90 days after the emergency or as soon as reasonably possible but not later than one year unless the Claimant was legally incapacitated. 10.14 Ambulance Services as follows: (i) local professional air /ground ambulance transport for emergency services to the nearest emergency department appropriately staffed and equipped to treat a medical condition; (ii) ground transportation to an alternative level of care when associated with an approved Hospital confinement; and (iii) ground transportation to a Member's home, will be covered when associated with an approved hospitalization or other confinement and the Member's condition requires the skill of medically trained personnel. Transportation is not covered when the skill of medically trained personnel is not required and the Member can be safely transferred (or transported) by other means. Air ambulance transportation is covered only when the point of pick -up is inaccessible by land or when distance or other obstacles are involved in transporting the Member to the nearest emergency department equipped to adequately treat the medical condition. See Part XII for Exclusions. 10.15 Other Health Care Facility(ies). All routine services of Other Health Care Facilities (see Section 3.33), including physician visits, physiotherapy, diagnostic imaging and laboratory work, are covered for a maximum of 20 days per calendar year when a Member is admitted to such a facility, following discharge from a Hospital, for a condition that cannot be adequately treated with Skilled Home Health Care Services or on an ambulatory basis. 10.16 Diagnostic Imaging and Laboratory. All prescribed diagnostic imaging and laboratory tests and services including diagnostic imaging, fluoroscopy, electrocardiograms, blood and urine and other laboratory tests, and diagnostic clinical isotope services are covered when Medically Necessary and ordered by a Participating Physician as part of the diagnosis and/or treatment of a covered illness or injury or as preventive health care services. 10.17 Skilled Home Health Care Services. Home Health Care Services (as defined in Section 3.20) are covered as outlined on the Schedule of Benefits when ordered by and under the direction of the Member's Attending Physician. Physical, occupational or speech therapy services provided in the home are limited as noted in Section 10.08. Home Health Care Services that do not include a medical, diagnostic, therapeutic or rehabilitative component, or that do not require the skill of a registered nurse, licensed practical (vocational) nurse or other healthcare personnel are not covered. Homemaker or other Custodial Care services are not covered. 10.18 Hospice Services. Services are available from a participating Hospice organization for a Member whose Participating Physician has determined the Member's illness will result in a remaining life span of six months or less. 10.19 Second Medical Opinions. The Member is entitled to a second medical opinion when he disputes the appropriateness or necessity of a surgical procedure or is subject to a serious injury or illness. The Member may obtain a second medical opinion from any physician who is within AvMed's Service Area. If you chose a Participating Physician, there is no prior authorization requirement. You pay only the applicable Co- payment or Deductible and Co- insurance. If you choose a non- participating physician, the service is subject to prior authorization requirements. You are also 26 AVG100 -2008 MR5241 (10 /08) Medical Director, payment not to exceed usual, customary and reasonable charges for such covered services rendered by a Non - participating Provider will be made by AvMed. Charges for non - participating Hospital Services will be reimbursed in accordance with the covered benefits the Member would be entitled to receive in a Participating Hospital. 10.24 Prescription Drug Benefits. Allergy serums and chemotherapy for cancer patients are covered. Coverage for insulin and other diabetic supplies is described in Section 10.27 below. Other retail Prescription Drugs are a covered benefit only when the Subscribing Group Contract includes supplemental Prescription Drug Benefits. 10.25 Ventilator Dependent Care. with prior authorization by AvMed, Ventilator Dependent Care (See Section 3.49) is covered up to a total of 100 days lifetime maximum benefit. 10.26 Major organ transplants at a facility deemed appropriate and authorized by AvMed, as well as associated immunosuppressam medications are covered except those deemed experimental. (See Section 12.15) 10.27 Diabetes treatment includes all Medically Necessary equipment, supplies, and services to treat diabetes. This includes outpatient self- management training and educational services, if the Member's Primary Care Physician or the physician to whom the Member has been referred who specializes in diabetes treatment, certifies the equipment, supplies or services are Medically Necessary. Insulin pumps are covered under Section 10.20. Diabetes outpatient self - management training and educational services must be provided under the direct supervision of a certified diabetes educator or a board certified endocrinologist under contract with AvMed. In accordance with Florida Statutes, coverage of insulin pumps for the treatment of diabetes will not apply toward or be subject to the annual DME maximum limitation. Insulin, insulin syringes, lancets, and test strips are covered under the Subscribing Group's supplemental Prescription Drug Benefits. In the event that a Subscribing Group does not purchase supplemental Prescription Drug Benefits, insulin, insulin syringes, lancets, and test strips are covered subject to a $25 Co- payment per item for a 30 -day supply. 10.28 Mammograms are covered in accordance with Florida Statutes. One baseline mammogram is covered for female Members between the ages of 35 and 39. A mammogram is available every two years for female Members between the ages of 40 and 49 and a mammograrn is available every year for female Members aged 50 and older. In addition, one or more mammograms a year are available when based upon a physician's recommendation for any woman who is at risk for breast cancer because of a personal or family history of breast cancer, because of having a history of biopsy - proven benign breast disease, because of having a mother, sister, or daughter who has had breast cancer, or because a woman has not given birth before the age of 30. 10.29 Osteoporosis Diagnosis and Treatment when Medically Necessary for high -risk individuals, e.g. estrogen- deficient individuals, individuals with vertebral abnormalities, individuals on long -term glucocorticoid (steroid) therapy, individuals with primary hyperparathyroidism, and individuals with a family history of osteoporosis. 10.30 Dermatological Services. AvMed will cover office visits to a participating dermatologist for Medically Necessary covered services subject to Sections 3.28. No prior referral is required for these services. 28 AV -G100 -2008 W- 5241(10108) The rights of Members and obligations of Participating Providers hereunder are subject to the following Limitations: 11.01 In the event of any major disaster, Participating Providers shall render Hospital and Medical Services provided under this Contract insofar as practical, according to their best judgment, within the limitations of such facilities and personnel as are then available, but AvMed and Participating Providers shall have no liability or obligation for delay or failure to provide or arrange for such services due to lack of available facilities or personnel if such lack is the result of any major disaster. 11.02 In the event of circumstances not reasonably within the control of AvMed, such as complete or partial destruction of facilities, an act of God, war, riot, civil insurrection, disability of a significant part of Hospital or participating medical personnel or similar causes, if the rendition of Medical Services and Hospital Services provided under this Contract is delayed or rendered impractical, neither AvMed, Participating Providers, nor any physician shall have any liability or obligation on account of such delay or failure to provide services; however, AvMed shall make a good faith effort to arrange for the timely provision of covered services during such event. 11.03 Periodic physical examinations are limited to those that, in the judgment of the Member's Primary Care Physician, are essential to the maintenance of the Member's good health. 11.04 A Member shall select one Primary Care Physician upon enrollment. If you do not select a Primary Care Physician upon enrollment, a Primary Care Physician will be assigned to you by AvMed. You may obtain assistance in making a selection by contacting AvMed. 11.05 Substance Abuse - Hospital Limitation. Inpatient services for alcohol and drug abuse shall be provided but only for acute detoxification and the treatment of other medical sequelae of such abuse. Inpatient alcohol or drug rehabilitation services are not covered. 11.06 Visits to licensed dietitians /nutritionists for treatment of diabetes, renal disease or obesity control shall be limited to three outpatient visits per calendar year and each visit requires a Co- payment. (See Schedule of Benefits and also Section 12.21) 11.07 Spinal manipulations will be covered only when Medically Necessary and prescribed by a Participating Physician or by self - referral to a Participating Physician. 11.08 The total benefit for Ventilator Dependent Care is limited to 100 calendar days lifetime maximum. 11.09 In the event that a Member is confined in a participating or Non - participating facility after receiving Emergency Medical Services and Care, AvMed must be notified by the Hospital, Member or designee, within 24 hours following the day of admission if reasonably possible. (See Section 10.12 with regard to Emergency Services). 11.10 Other Health Care Facility(ies). All routine inpatient services of Other Health Care Facilities (See Section 3.33), including physician visits, physiotherapy, diagnostic imaging and laboratory work, are covered for a maximum of 20 days per calendar year when a Member is admitted to such a facility, following discharge from a Hospital, for a condition that cannot be adequately treated with Home Health Care Services or on an ambulatory basis. 11.11 Physical, Occupational or Speech Therapy. Physical, occupational or speech therapies shall be limited as explained in Sections 10.08 and 10.17. 30 AV -G100 -2008 MR5241(10108) a) When such services are for the treatment of trauma related fractures of the jaw or facial bones or for the treatment of tumors; b) Reconstructive jaw surgery for the treatment of deformities that are present and apparent at birth; or C) Full mouth extraction when required before radiation therapy. 12.05 Services related to the diagnosis /treatment of temporomandibular joint (TMJ) dysfunction except when Medically Necessary; all dental treatment for TMJ. 12.06 Mandibular and maxillary osteotomies except when Medically Necessary to treat conditions caused by congenital or developmental deformity, disease, or injury. 12.07 Except as provided in,Sections 10.35 and 10.36, medical supplies including, but not limited to: pre- fabricated splints, Thromboemboletic /Support hose and all other bandages. 12.08 Home monitoring devices and measuring devices (other than apnea monitors), and any other equipment or devices for use outside the Hospital. 12.09 Surgically implanted devices and any associated external devices, except for cardiac pacemakers, intraocular lenses, cochlear implants, artificial joints, orthopedic hardware and vascular grafts Dental appliances, other corrective lenses and hearing aids, including the professional fee for fitting them, are not covered.. 12.10 Over -the- counter medications, all contraceptives (including medications and devices), hypodermic needles and syringes and Self - Administered Injectable Medications except insulin and insulin syringes for the treatment of diabetes as outlined in Section 10.27. 12.11 Travel expenses including expenses for ambulance services to and from a physician or Hospital except in accordance with Section 10.14. 12.12 Treatment for chronic alcoholism and chronic drug addiction, except those services offered as a basic health service (See Section 11.05). 12.13 Treatment for armed forces service - connected medical care (for both sickness and injury). 12.14 Custodial Care (as defined in Part III, Section 3.10). 12.15 Experimental and/or investigational procedures, except for bone marrow transplants, as approved per Florida Administrative Code, Section 59B- 12.001. For the purposes of this Contract, a medication, treatment, device, surgery or procedure may be determined to be experimental and/or investigational if any of the following applies: a) The FDA has not granted the approval for general use; b) There are insufficient outcomes data available from controlled clinical trials published in peer- reviewed literature to substantiate its safety and effectiveness for the disease of injury involved; c) There is no consensus among practicing physicians that the medication, treatment, therapy, procedure or device is safe or effective for the treatment in question or such medication, 32 AV -GI00 -2008 MR5241(10/08) surrogacy, as defined under Chapter 63, Florida Statutes. Medications for the treatment of infertility are not covered. 1225 Reversal of sterilization procedures. 12.26 Immunizations and medications for the purpose of foreign travel or employment. 12.27 Acupuncture, biofeedback, hypnotherapy, massage therapy, sleep therapy, sex therapy, behavioral training, cognitive therapy, and vocational rehabilitation. 12.28 Foot supports are not covered. These include orthopedic or specialty shoes, shoe build -ups, shoe orthotics, shoe braces, and shoe supports. Also excluded is routine foot care, including trimming of corns, calluses, and nails. 12.29 The Medical Services and Hospital Services for a donor or prospective donor who is an AvMed Member when the recipient of an organ transplant is not an AvMed Member. Coverage is provided for costs associated with the bone marrow donor - patients to the same extent as the insured recipient. The reasonable costs of searching for the bone marrow donor is limited to family members and the National Bone Marrow Donor Program. Post - transplant donor complications will not be covered. 12.30 Diagnostic testing and treatment related to mental retardation or deficiency, learning disabilities, behavioral problems, developmental delays or Autism Spectrum Disorder. Expenses for remedial or special education, counseling, or therapy including evaluation and treatment of the above - listed conditions or behavioral training whether or not associated with manifest mental disorders or other disturbances. 12.31 Emergency room services for non- emergency purposes. (See Sections 3.14 and 3.15) 12.32 Hospital Services that are associated with excluded surgery or Dental Care. 12.33 Any treatment or service from a Non - participating Provider, except in the case of an emergency or when specifically pre- authorized by AvMed. (See Sections 3.14 and 3.15) 12.34 Speech therapy for delayed or abnormal speech pathology. 12.35 Alcohol or substance abuse rehabilitation, vocational rehabilitation, pulmonary rehabilitation, long term rehabilitation, or any other rehabilitation program. 12.36 Surgery for the reduction or augmentation of the size of the breasts except as required for the comprehensive treatment of breast cancer. 12.37 Termination of pregnancy unless deemed Medically Necessary by the Medical Director, subject to applicable State and Federal laws or as specified in the Elective Termination of Pregnancy amendment to the Subscribing Group Contract. 12.38 Hospital Exclusion. If a Member elects to receive Hospital care from a non - participating Attending Physician or a non - participating Hospital, then coverage is excluded for the entire episode of care, except when the admission was due to an emergency or with the prior written authorization of AvMed. 34 AV- G100.2008 MP- 5241(10108) 13.03 The standards governing the coordination of benefits are the following, pursuant to the provisions of Section 627.423 5, Florida Statutes: 13.03.01 The benefits of a policy or plan that covers the person as an employee, member, or subscriber, other than as a dependent, are determined before those of the policy or plan which covers the person as a dependent. 13.03.02 Except as stated in Subsection 13.03.03, when two or more policies or plans cover the same child as a dependent of different parents: a) The benefits of the policy or plan of the parent whose birthday, excluding year of birth, falls earlier in a year are determined before the benefits of the policy or plan of the parent whose birthday, excluding year of birth, falls later in the year; but b) If both parents have the same birthday, the benefits of the policy or plan which covered the parent for a longer period of time are determined before those of the policy or plan which covered the parent for a shorter period of time. However, if a policy or plan subject to the rule based on the birthday of the parents as stated above coordinates with an out -of -state policy or plan which contains provisions under which the benefits of a policy or plan which covers a person as a dependent of a male are determined before those of a policy or plan which covers the person as a dependent of a female and if, as a result, the policies or plans do not agree on the order of benefits, the provisions of the other policy or plan shall determine the order of benefits. 13.03.03 If two or more policies or plans cover a dependent child of divorced or separated parents, benefits for the child are determined in this order: a) First, the policy or plan of the parent with custody of the child; b) Second, the policy or plan of the spouse of the parent with custody of the child; and c) Third, the policy or plan of the parent not having custody of the child. However, if the specific terms of a court order state that one of the parents is responsible for the health care expenses of the child and if the entity obliged to pay or provide the benefits of the policy or plan of that parent has actual knowledge of those terms, the benefits of that policy or plan are determined first. This does not apply with respect to any claim determination period or plan or policy year during which any benefits are actually paid or provided before that entity has that actual knowledge. 13.03.04 The benefits of a policy or plan which covers a person as an employee who is neither laid off nor retired, or as that employee's dependent, are determined before those of a policy or plan which covers that person as a laid off or retired employee or as that employee's dependent. If the other policy or plan is not subject to this rule, and if, as a result, the policies or plans do not agree on the order of benefits, this Subsection shall not apply. 36 AV -G100 -2008 WR5241 (10/08) benefits or services provided for the Member. The "amount of the payments made" includes the reasonable cash value of any benefits provided in the form of services. 13.08 In the event the Subscribing Group offers Health Reimbursement Arrangements (HRA) in connection with this Plan, the HRA is intended to pay solely for otherwise un- reimbursed medical expenses. Accordingly, it shall not be considered a group health plan for coordination of benefits purposes, and its benefits shall not be taken into account when determining benefits payable under any other plan. XIV. SUBROGATION AND RIGHT OF RECOVERY If AvMed provides health care benefits under this Contract to a Member for injuries or illness for which another party is or may be responsible, then AvMed retains the right to repayment of the full cost of all benefits provided by AvMed on behalf of the Member that are associated with the injury or illness for which another party is or may be responsible. AvMed's rights of recovery apply to any recoveries made by or on behalf of the Member from the following third -party sources, as allowed by law, including but not limited to: payments made by a third -party tortfeasor or any insurance company on behalf of the third -party tortfeasor; any payments or awards under an uninsured or underinsured motorist coverage policy; any worker's compensation or disability award or settlement; medical payments coverage under any automobile policy, premises or homeowners medical payments coverage or premises or homeowners insurance coverage; any other payments from a source intended to compensate a Member for injuries resulting from an accident or alleged negligence. For purposes of this Contract, a tortfeasor is any party who has committed injury, or wrongful act done willingly, negligently or in circumstances involving strict liability, but not including breach of contract for which a civil suit can be brought. Member specifically acknowledges AvMed's right of subrogation. When AvMed provides health care benefits for injuries or illnesses for which a third parry is or may be responsible, AvMed shall be subrogated to the Member's rights of recovery against any party to the extent of the full cost of all benefits provided by AvMed, to the fullest extent permitted by law. AvMed may proceed against any party with or without the Member's consent. Member also specifically acknowledges AvMed's right of reimbursement. This right of reimbursement attaches, to the fullest extent permitted by law, when AvMed has provided health care benefits for injuries or illness for which another party is or may be responsible and the Member and/or the Member's representative has recovered any amounts from the third party or any party making payments on the third party's behalf. By providing any benefit under this Contract, AvMed is granted an assignment of the proceeds of any settlement, judgment or other payment received by the Member to the extent of the full cost of all benefits provided by AvMed. AvMed's right of reimbursement is cumulative with and not exclusive of AvMed's subrogation right and AvMed may choose to exercise either or both rights of recovery. Member and the Member's representatives further agree to: a) Notify AvMed promptly and in writing when notice is given to any third party of the intention to investigate or pursue a claim to recover damages or obtain compensation due to injuries or illness sustained by the Member that may be the legal responsibility of a third parry; and b) Cooperate with AvMed and do whatever is necessary to secure AvMed's rights of subrogation and/or reimbursement under this Contract; and C) Give AvMed a first- priority lien on any recovery, settlement or judgment or other source of compensation which may be had from a third party to the extent of the full cost of all benefits 38 Av -G1o0 -2008 W -5241 (10/08) 15.05 Certain Members may, for personal reasons, refuse to accept procedures or treatment recommended by Participating Physicians. Participating Physicians may regard such refusal to accept their recommendations as incompatible with the continuance of the physician/patient relationship and as obstructing the provision of proper medical care. If a Member refuses to accept the medical treatment or procedure recommended by the Participating Physician and if, in the judgment of the Participating Physician, no professionally acceptable alternative exists or if an alternative treatment does exist but is not recommended by the Participating Physician, the Member shall be so advised. If the Member continues to refuse the recommended treatment or procedure, AvMed may terminate the Member's coverage under this Contract as set forth in Part IX, Subsection 9.01.05. XVI. GRIEVANCE PROCEDURE 16.01 Urgent Care Claims. 16.01.01 Initial Claim. An Urgent Care Claim shall be deemed to be filed on the date received by AvMed. AvMed shall notify the Claimant of AvMed's benefit determination (whether adverse or not) as soon as possible, taking into account the medical exigencies, but not later than 72 hours after AvMed receives, either orally or in writing, the Urgent Care Claim, unless the Claimant fails to provide sufficient information to determine whether, or to what extent, benefits are covered or payable under the Plan. If such information is not provided, AvMed shall notify the Claimant as soon as possible, but not later than 24 hours after AvMed receives the Claim, of the specific information necessary to complete the Claim. The Claimant shall be afforded a reasonable amount of time, taking into account the circumstances, but not less than 48 hours, to provide the specified information. AvMed shall notify the Claimant of the benefit determination as soon as possible, but in no case later than 48 hours after the earlier of: 1) AvMed's receipt of the specified information; or 2) The end of the period afforded the Claimant to provide the specified additional information. If the Claimant fails to supply the requested information within the 48 -hour period, the Claim shall be denied. AvMed may notify the Claimant of the benefit determination orally or in writing. If the notification is provided orally, a written or electronic notification, meeting the requirements of Section 16.05, shall be provided to the Claimant no later than three days after the oral notification. 16.01.02 Appeal. A Claimant may appeal an Adverse Benefit Determination with respect to an Urgent Care Claim within 180 days of receiving the Adverse Benefit Determination. AvMed shall notify the Claimant, in accordance with Section 16.07, of AvMed's benefit determination on review as soon as possible, taking into account the medical exigencies, but not later than 72 hours after AvMed receives the Claimant's request for review of an Adverse Benefit Determination. You may submit an appeal to: AvMed Member Services —North AvMed Member Services — South P.O. Box 823 P.O. Box 569008 Gainesville, Florida 32602 -0823 Miami, Florida 33156 -9906 40 Av -GI00 -2008 ND-5241 (10/09) AvMed shall notify the Claimant, in accordance with Section 16.07, of its determination on review within a reasonable period of time. Such notification shall be provided not later than 30 days after AvMed receives the Claimant's request for review of the Adverse Benefit Determination. You may submit an appeal to: AvMed Member Services —North AvMed Member Services — South P.O. Box 823 P.O. Box 569008 Gainesville, Florida 32602 -0823 Miami, Florida 33156 -9906 Telephone: 1-800-882-8633 Telephone: 1-800-882-8633 Fax: (352) 337-8612 Fax: (305) 671-4736 If you are not satisfied with AvMed's final decision, you may contact AHCA or DFS in writing within 365 days of receipt of the final decision letter. If you appeal AvMed's decision, your grievance will be reviewed by the Subscriber Assistance Program. You also have the right to contact AHCA or DFS at any time to inform them of an unresolved grievance. The Subscriber Assistance Program will not hear a grievance if you have not completed the entire AvMed grievance process nor if you have instituted an action pending in State or Federal court. If you need further assistance, you may contact: Subscriber Assistance Panel (SAP) Agency for Health Care Administration HMO Section 2727 Mahan Drive, Mail Stop 26 Tallahassee, Florida 32308 Telephone 1- 888- 419 -3456 or 850 -921 -5458 Florida Department of Financial Services 200 East Gaines Street Tallahassee, Florida 32399 Telephone 1 -800- 342 -2762 16.03 Post - Service Claims. 16.03.01 Initial Claim — A Post - Service Claim shall be deemed to be filed on the date received by AvMed. AvMed shall notify the Claimant, in accordance with Section 16.05 of AvMed's Adverse Benefit Determination within a reasonable period of time, but not later than 30 days after AvMed receives the Post- Service Claim. AvMed may extend this period one time for up to 15 days, provided that AvMed determines that such an extension is necessary due to matters beyond AvMed's control and notifies the Claimant, before the expiration of the initial 30 -day period, of the circumstances requiring the extension of time and the date by which AvMed expects to render a decision. If such an extension is necessary because the Claimant failed to submit the information necessary to decide the Post - Service Claim, the notice of extension shall specifically describe the required information, and the Claimant shall be afforded at least 45 days from receipt of the notice within which to provide the specified information. AvMed's period for making the benefit determination shall be tolled from the date on which the notification of the extension is sent to the Claimant until the date 42 Av -G1o0 -2008 MP -5241 (10108) appeal and obtain a determination on review of the Adverse Benefit Determination before the benefit is reduced or terminated. 16.04.02 Any request by a Claimant to extend the course of treatment beyond the period of time or number of treatments that relates to an Urgent Care Claim shall be decided as soon as possible, taking into account the medical exigencies, and AvMed shall notify the Claimant of the benefit determination, whether adverse or not, within 24 hours after AvMed receives the Claim, provided that any such Claim is made to AvMed at least 24 hours before the expiration of the prescribed period of time or number of treatments. Notification and appeal of any Adverse Benefit Determination concerning a request to extend the course of treatment, whether involving an Urgent Care Claim or not, shall be made in accordance with the remainder of Part XVL 16.05 Manner and.Content of Initial Claims Determination Notification. AvMed shall provide a Claimant with written or electronic notification of any Adverse Benefit Determination. The notification shall set forth, in a manner calculated to be understood by the Claimant, the following: a) The specific reasons for the Adverse Benefit Determination. b) Reference to the specific Plan provisions on which the determination is based. c) A description of any additional material or information necessary for the Claimant to perfect the Claim and an explanation of why such material or information is necessary. d) A description of AvMed's review procedures and the time limits applicable to such procedures, including, when applicable, a statement of the Claimant's right to bring a civil action under Section 502(a) of the Employee Retirement Income Security Act of 1974, as amended (ERISA), following an Adverse Benefit Determination on final review. e) If an internal rule, guideline, protocol, or other similar criterion was relied upon in making the Adverse Benefit Determination, either the specific rule, guideline, protocol, or other similar criterion or a statement that such rule, guideline, protocol or other similar criterion was relied upon in making the Adverse Benefit Determination and that a copy shall be provided free of charge to the Claimant upon request. i) If the Adverse Benefit Determination is based on whether the treatment or service is experimental and/or investigational or not Medically Necessary, either an explanation of the scientific or clinical judgment for the determination, applying the terms of the Plan to the Claimant's medical circumstances, or a statement that such explanation shall be provided free of charge upon request. g) In the case of an Adverse Benefit Determination involving an Urgent Care Claim, a description of the expedited review process applicable to such Claim. 16.06 Review Procedure Upon Appeal. AvMed's appeal procedures shall include the following. substantive procedures and safeguards: a) Claimant may submit written comments, documents, records, and other information relating to the Claim. b) Upon request and free of charge, the Claimant shall have reasonable access to and copies of any Relevant Documents. c) The appeal shall take into account all comments, documents, records, and other information the Claimant submitted relating to the Claim, without regard to whether such information was submitted or considered in the initial Adverse Benefit Determination. 44 AV-GI00 -2008 NT-5241 (10/08) the Claimant's medical circumstances, or a statement that such explanation shall be provided free of charge upon request. XVIL MISCELLANEOUS 17.01 Contracting Parties. By executing this Contract, Subscribing Group and AvMed agree to make the Medical Services and Hospital Services specified herein available to persons who are eligible under the provisions of Part IV. However, the delivery of benefits and services covered in this Contract shall be subject to the provisions, Limitations, and Exclusions set forth herein and any amendments, modifications, and Contract termination provisions specified herein and by the mutual agreement between AvMed and Subscribing Group, without the consent or concurrence of the Members. By electing or accepting Medical Services and Hospital or other benefits hereunder, all Members legally capable of contracting and the legal representatives of all Members incapable of contracting, agree to all terms, conditions, and provisions hereof. No changes or amendments to this Contract shall be valid unless approved by an executive officer of AvMed and endorsed herein or attached hereto. No agent has authority to change this Contract or to waive any of its provisions. 17.02 Certificate of Coverage. AvMed shall provide a copy of the Certificate of Coverage for each Subscriber. 17.03 Membership Application. Members or applicants for membership shall complete and submit to AvMed such applications or other forms or statements as AvMed may reasonably request. If Member or applicant fails to provide accurate information which AvMed deems material then, upon ten days written notice, AvMed may deny coverage and/or membership to such individual. Any person who knowingly and with intent to injure, defraud, or deceive any insurer files a statement of Claim or an application containing any false, incomplete, or misleading information is guilty of a felony, punishable as provided by the Florida Statutes. 17.04 Identification Cards. Cards issued by AvMed to Members pursuant to this Contract are for purposes of identification only. Possession of an AvMed identification card confers no right to health services or other benefits under this Contract. To be entitled to such services or benefits the holder of the card must, in fact, be a Member on whose behalf all applicable charges under this Contract have actually been paid and accepted by AvMed. 17.05 Waiver. A Claim that has not been timely filed with AvMed within one year of date of service shall be considered waived. 17.06 Non- Waiver. The failure of AvMed to enforce any of the provisions of this Contract or to exercise any options herein provided or to require timely performance by any Member or Subscribing Group of any of the provisions herein, shall not be construed to be a waiver of such provisions nor shall it affect the validity of this Contract or any part thereof or the right of AvMed to thereafter enforce each and every such provision. 17.07 Plan Administration. AvMed may from time to time adopt reasonable policies, procedures, rules, and interpretations to promote the orderly and efficient administration of this Contract. M.- AV -G100 -2008 MT-5241 (10/08) 17.16 Assignment. This Contract, and all rights and benefits related thereto, may not be assigned by the Subscribing Group or the Members without written consent of AvMed. 17.17 he plartiel s,and shall beinterp e o interpreted, as to l comply with he laws and regulations of the State of Florida and the United States. 17.18 ERISA. When this Contract is purchased by the Subscribing Group to provide benefits under a welfare plan governed by ERISA, AvMed shall be considered a fiduciary to the extent that it performs any discretionary functions on behalf of the Plan. If a Member has questions about the group's welfare plan, the Member should contact the Subscribing Group. In AV-G100 -2008 NT-5241 (10/08) This page has been left blank intentionally. ABenefit Summary LTli P4ANS BASIC OPTION SCHEDULE OF BENEFITS COST TO MEMBER 250 -ADMIT • Room and board - unlimited days (semi - private) 100% coverage OUT -OF- POCKET MAXIMUM • Physicians', specialists' and surgeons' services $1,500 INDIVIDUAL Per Calendar Year • Anesthesia, use of operating and recovery rooms, oxygen, $3,000 FAMILY AVMED PRIMARY CARE Services at participating Physicians' offices include, but are not $15 per visit PHYSICIAN limited to: • Routine office visits / annual gynecological examination when performed by Primary Care Physician • Pediatric care and well -child care • Periodic health evaluation and immunizations OUTPATIENT SERVICES • Diagnostic imaging, laboratory or other diagnostic $250 Co- payment services • Minor surgical procedures • Vision and hearing examinations for children under 18 $100 Co- payment MATERNITY CARE • Initial visit $15 Co- payment • Subse went visits NO CHARGE AVMED SPECIALISTS' • Office visits $25 per visit SERVICES • Annual gynecological examination when performed by a $25 per test TESTS participating Specialty Health Care Physician $10 per test Additional Co- payments will apply if Outpatient Diagnostic Test are performed in the Specialist office. HOSPITAL Inpatient care at Participating Hospitals includes: $250 per admission; • Room and board - unlimited days (semi - private) 100% coverage • Physicians', specialists' and surgeons' services thereafter • Anesthesia, use of operating and recovery rooms, oxygen, drugs and medication • Intensive care unit and other special units, general and special duty nursing • Laboratory and diagnostic imaging • Required special diets • Radiation and inhalation therapies,_ OUTPATIENT SERVICES • Outpatient surgeries, including cardiac catheterization $250 Co- payment and angioplasty • Outpatient therapeutic services, including: • Drug infusion therapy $100 Co- payment • Injectable Drugs (Co- payment for Injectable $75 Co- payment Drug waived if incidental to same -day drug infusion therapy) OUTPATIENT DIAGNOSTIC CAT Scan, PET Scan, MRI $25 per test TESTS Other diagnostic imaging tests $10 per test Co- payments for office visits will also apply if services are performed in a Specialist office. EMERGENCY SERVICES An emergency is the sudden and unexpected onset of a condition requiring immediate medical or surgical care. (Co- payment waived if admitted) • Emergency services at Participating Hospitals $75 Co- payment • Emergency services at non - participating Hospitals, $100 Co- payment facilities and/or physicians AvMed must be notified within 24 hours of inpatient admission following emergency services or as soon as reasonably possible AV- BASIC- 250A -07 W- 3422(10/07) Benefit Summary, continued URGENTAMMEDIATE CARE • Medical Services at a participating Urgent/Immediate Care $40 Co- payment facility or services rendered after hours in your Primary Care Physician's office • Medical Services at a non - participating Urgent/Immediate $60 Co- payment Care facility MENTAL HEALTH • 20 outpatient visits $25 per visit FAMILY PLANNING • Voluntary family planning services ylz) per VIJll • Sterilization (In addition to any Outpatient Facility Co- $250 Co- payment payment) ALLERGY TREATMENTS • Injections $10 per visit • Ambulance transport for emergency services • Non - emergent ambulance services are covered when the skill of medically trained personnel is required and the PHYSICAL, SPEECH AND Short-term physical, speech or occupational therapy OCCUPATIONAL THERAPIES acute conditions Coverage is limited to 30 visits per calendar year for all services combined $100 Co- payment $15 per visit SKILLED NURSING Up to 20 days post - hospitalization care per calendar year $50 per day FACILITIES AND when prescribed by physician and authorized by AvMed $50 per episode of REHABILITATION CENTERS • Hospital beds illness CARDIAC REHABILITATION Cardiac rehabilitation is covered for the following conditions: $20 per visit • Acute myocardial infarction Benefits limited • Percutaneous transluminal coronary angioplasty (PTCA) Benefits limited • Repair or replacement of heart valves to $1,500 per • Coronary artery bypass graft (CABO), or calendar year • Heart transplant Coverage is limited to 18 visits per calendar year HOME HEALTH CARE Limited to 60 skilled visits per calendar year NO CHARGE DURABLE MEDICAL Equipment includes: $50 per episode of EQUIPMENT AND • Hospital beds illness ORTHOTIC APPLIANCES • Walkers • Crutches Benefits limited • Wheelchairs to $500 per Orthotic appliances are limited to: calendar year • Leg, arm, back and neck custom -made braces PROSTHETIC DEVICES Prosthetic devices are limited to: NO CHARGE • Artificial limbs • Artificial joints • Ocular prostheses FOR ADDITIONAL INFORMATION, PLEASE CALL: 1- 800 -88 -AVMED (1- 800. 882 -8633) THIS SCHEDULE OF BENEFITS IS NOT A CONTRACT. FOR SPECIFIC INFORMATION ON BENEFITS, EXCLUSIONS AND LIMITATIONS, PLEASE SEE YOUR AVMED GROUP MEDICAL AND HOSPITAL SERVICE CONTRACT. AV- 3ASIC- 250A -07 MP -3422 (10/07) Hy�D Prescription Drug Benefits H E A L T H P L AN S s2ol40f60/75150% CO- PAYMENT with Contraceptives "Brand" medication means a Prescription Drug that is usually manufactured and sold under a name or trademark by a pharmaceutical manufacturer or a medication that is identified as a Brand medication by AvMed. AvMed delegates determination of Generic/Brand status to our Pharmacy Benefits Manager. "Brand Additional Charge' means the additional charge that must be paid if you or your physician choose a Brand medication when a Generic equivalent is available. The charge is the difference between the cost of the Brand medication and the Generic medication. This charge must be paid in addition to the applicable Non- Prefered Brand Co- payment. "Cost- sharing Medications" are those medications, as designated by AvMed, which were designed to improve the quality of life by treating relatively minor non -life threatcning conditions. Such medications are subject to Co- insurance and coverage is limited as outlined below. "Dental- specific Medication" is medication used for dental - specific purposes, including but not limited to fluoride medications and medications packaged and labeled for dental- specific purposes. "Generic" medication means a medication that has the same active ingredient as a Brand medication or is identified as a Generic medication by AvMed's Pharmacy Benefits Manager. "Injectable Medication" is a medication that has been approved by the Food and Drug Administration (FDA) for administration by one or more of the following routes: intramuscular injection, intravenous injection, intravenous infusion, subcutaneous injection, intrathecal injection, intrarticular injection, intracavemous injection or intraocular injection. Pre - Authorization is required for all Injectable Medications. "Maintenance Medication" is a medication that has been approved by the FDA, for which the duration of therapy can reasonably be expected to exceed one year. "Participating Pharmacy" means a pharmacy (either retail, mail order or specialty pharmacy) that has entered into an agreement with AvMed to provide Prescription Drugs to AvMed Members and has been designated by AvMed as a Participating Pharmacy. "Preferred Medication List" means the listing of preferred medications as determined by AvMed's Pharmacy and Therapeutics Committee based on clinical efficacy, relative safety and cost in comparison to similar medications within a therapeutic class. This multi - tiered list establishes different levels of Co- payment for medications within therapeutic classes. As new medications become available, they may be considered excluded until they have been reviewed by AvMed's Pharmacy and Therapeutics Committee. "Prescription Drug" means a medication that has been approved by the FDA and that can only be dispensed pursuant to a prescription according to state and federal law. "Pre- Authorization" means the process of obtaining approval for certain Prescription Drugs (prior to dispensing) according to AvMed's guidelines. The prescribing physician must obtain approval from AvMed. The list of Prescription Drugs requiring Pre - Authorization is subject to periodic review and modification by AvMed. A copy of the list of medications requiring Pre- Authorization and the applicable criteria are available from Member Services or from the AvMed website. "Self- Administered Injectable Medication" is a medication that has been approved by the FDA for self - injection and is administered by subcutaneous injection or a medication for which there are instructions to the patient for self- injection in the manufacturer's prescribing information (package insert). Pre - Authorization is required for all Self- Administered Injectable Medications. HOW DOES YOUR RETAIL PRESCRIPTION euvMnnut wunna To obtain your Prescription Drug, take your prescription to, or have your physician call, an AvMed Participating Pharmacy. Your physician should submit prescriptions for Self - Administered Injectable Drugs to AvMed's specialty pharmacy. Present your prescription along with your AvMed identification card. Pay the following Co- payment (as well as the Brand Additional Charge if you or your physician choose a Brand product when a Generic equivalent is available). Tier I Preferred Generic Medications: $ 20.00 Co- payment Tier 2 Preferred Brand Medications: $ 40.00 Co- payment Tier 3 Non-Preferred Brand or Generic Medications: $ 60.00 Co- payment Tier 4 Self - Administered Injectable Medications: $ 75.00 Co- payment Tier 5 Cost - sharing Medications 50% Co- insurance Mail service is a benefit option for maintenance medications needed for chronic or long -term health conditions. It is best to get an initial prescription filled at your retail pharmacy. Ask your physician for an additional prescription for up to a 90 -day supply of your medication to be ordered through mail service. Up to 3 refills are allowed per prescription. Pay the following Co- payment (as well as the Brand Additional Charge if you or your physician choose a Brand product when a Generic equivalent is available). Tier 1 Preferred Generic Medications: $ 40.00 Co- payment Tier 2 Preferred Brand Medications: $ 80.00 Co- payment Tier 3 Non-Preferred Brand or Generic Medications: $120.00 Co- payment Tier 4 Self - Administered Injectable Medications are not available through mail service Tier 5 Cost - sharing Medications are not available through mail service A V -G 100- RX -2x- 20/40/60/75/50 %OC -07 MP -3855 (10/07) Prescription Drug .Benefits, continued WHAT IS COVERED? • - Your Prescription Drug coverage includes outpatient medications (including contraceptives) that require a prescription and are prescribed by your AvMed physician in accordance with AvMed's coverage criteria. AvMed reserves the right to make changes in coverage criteria for covered products and services. Coverage criteria are medical and pharmaceutical protocols used to determine payment of products and services and are based on independent clinical practice guidelines and standards of cue established by government agencies and medicaVpharmaceutical societies. • Your retail Prescription Drug coverage includes up to a 30 -day supply of a medication for the listed Co- payment. Your prescription may be refilled via retail or mail order after 75% of your previous fill has been used and subject to a maximum of 13 refills per year. You also have the opportunity to obtain a 90 -day supply of medications used for chronic conditions including, but not limited to asthma, cardiovascular disease, and diabetes from the retail pharmacy for the applicable Co- payment per 30 -day supply. However, Pre - Authorization may be, required for covered medications. • Your mail -order Prescription Drug coverage includes up to a 90 -day supply of a routine maintenance medication for the listed Co- payment. If the amount of medication is less than a 90-day supply, you will still be charged the listed mail order Co- payment. • Your Self - Administered Injectable Medication coverage extends to many injectable medications approved by the FDA. These medications must be prescribed by a physician and dispensed by a retail or specialty pharmacy. The Co- payment levels for Self-Administered Injectable Medications apply regardless of provider. This means that you are responsible for the appropriate Co- payment whether you receive your Self - Administered Injectable Medication from the pharmacy, at the physician's office or during home health visits. Self- Administered Injectable Medications are limited to a 30 -day supply. • Your Prescription Drug coverage includes coverage for injectable contraceptives. There is a Co- payment of $30 for each injection. If there is an office visit associated with the injection, there will be an additional Co- payment required for the office visit. • Your Tier 5 coverage is limited to Terbinafmc (Lamisil®) and Itraconazole (Sporanox®), in oral fort, when prescribed by your physician for the treatment of documented fungal infections. Pre - authorization is not required. • Quantity limits are set in accordance with FDA approved prescribing limitations, general practice guidelines supported by medical specialty organizations, and/or evidence - based, statistically valid clinical studies without published conflicting data This means that a medication - specific quantity limit may apply for medications that have an increased potential for over - utilization or an increased potential for a Member to experience an adverse effect at higher doses. ONESTIONS? Call your AvMed Member Services Department at: 1- 800 -88 -AvMed (1- 800 - 882 -8633) EXCLUSIONS AND LIMITATIONS • Medications which do not require a prescription (i.e. over - the - counter medications) or when a non - prescription alternative is available • Medical supplies, including therapeutic devices, dressings, appliances, and support garments • Replacement Prescription Drug products resulting from a lost, stolen, expired, broken, or destroyed prescription order or refill • Diaphragms and other contraceptive devices • Fertility drugs • Medications or devices for the diagnosis or treatment of sexual dysfunction • Dental- specific Medications for dental purposes, including fluoride medications • Prescription and non - prescription vitamins and minerals except prenatal vitamins • Nutritional supplements • Immunizations • Allergy serums, medications administered by the Attending Physician to treat the acute phase of an illness and chemotherapy for cancer patients are covered in accordance with the Group Medical and Hospital Service Contract and may be subject to Co- payments or Co- insurance as outlined on the Schedule of Benefits • Investigational and experimental drugs (except as required by Florida statute) • Cosmetic products, including, but not limited to, hair growth, skin bleaching, sun damage and anti - wrinkle medications • Nicotine suppressants and smoking cessation products and services • Prescription and non - prescription appetite suppressants and products for the purpose of weight loss • Compounded prescriptions, except pediatric preparations • Medications and immunizations for non - business related travel, including Transdermal Scopolamine Filling a prescription at a pharmacy is not a claim for benefits and is not subject to the Claims and Appeals procedures under ERISA. However, any medicines that require Pre - Authorization will be treated as a claim for benefits subject to the Claims and Appeals Procedures, as outlined in the Group Medical and Hospital Service Contract. A V-G 100- RX -2x- 20/40/60/75/50 %OC -07 W -3855 (10/07) A .Amendment Inpatient Mental Health and Partial Hospitalization Benefits As of the effective date, Inpatient Mental Health and Partial Hospitalization Benefits are being provided for an additional premium. Inpatient treatment of mental/nervous disorders for up to 30 days per patient, subject to a member copayment of $250 per admit, shall be provided by the Plan when a member is admitted to a Participating Hospital or Participating Health Care Facility as a registered bed patient. Partial Hospitalization for mental health services is a Covered Service when it is provided in lieu of inpatient hospitalization and is combined with the inpatient hospital benefit. Two days of Partial Hospitalization will count as one day toward the inpatient Mental Health Benefit subject to member copayment as noted above. AV- 0100 -MH/PH -$250 per admit -04 MP -3522 (10/04) AV� H a A L i H PLAN S Amendment Substance Abuse Benefits As of the effective date, the following Substance Abuse Benefits have been added for an additional premium. INPATIENT Inpatient treatment of alcohol and drug abuse is not provided except for acute detoxification. OUTPATIENT An intensive treatment program(s) of one or more weeks by Plan Physicians, • subject to a member copayment of $50 per week. Coverage is limited to a maximum of six weeks per contract year. AV- SA -R -98 W -1527 (1/04) A V�D Addendum L S H PLAN S Coverage for Mammograms — Waiver of Co- payment If selected, the following provision is hereby modified for an additional premium: Section 10.28 of the AvMed Health Plans Group Medical and Hospital Service Contract is amended to state: Mammograms are covered in accordance with Florida Statutes: one baseline mammogram is covered for female Members between the ages of 35 and 39; a mammogram is available every two years for female Members between the ages of 40 and 49; and a mammogram is available every year for female Members aged 50 and older. In addition, one or more mammograms a year are available when based upon a physician's recommendation for any woman who is at risk for breast cancer because of a personal or family history of breast cancer, because of having a history of biopsy - proven benign breast disease, because of having a mother, sister, or daughter who has had breast cancer, or because a woman has not given birth before the age of 30. This coverage will not be subject to diagnostic imaging Co- payments. " -Ma ogmm -05 MP -3228 (12105) AVMED Amendment HEALTH PLANS Durable Medical Equipment If selected, the following coverage is hereby modified, for an additional premium. DURABLE MEDICAL EQUIPMENT • Benefits are limited to a maximum of $2,000 per contract year *. All other coverage provisions, including co- payment, limitations and exclusions remain as stated in the Certificate of Coverage or Schedule of Co- Payments. *For the treatment of diabetes, coverage for an infusion pump will not apply toward the annual maximum limitation and shall not be subject to the durable medical equipment benefit limitation. AV- 0100 -DW- 2000 -R -06 MP -2149 (4 -06) DNS Amendment DOMESTIC PARTNER As of the Effective Date, Part IV. ELIGIBILITY, of the Group Medical and Hospital Service Contract is amended by the addition of the following provision: Dependent Eligibility will be added for a Domestic Partner and his or her children. Definition of Domestic Partner: A Domestic Partner means an unmarried adult who: • Cohabits with you in an emotionally committed and affectional relationship that is meant to be of lasting duration; • Is not related by blood or marriage; • Is at least eighteen years of age; • Is mentally competent to consent to a contract; • Has filed a Domestic Partnership agreement or registration with the Employer, if available, in the state (and/or city) of residence; • Has shared financial obligations including basic living expenses for the six month period prior to enrollment in the plan; • Will provide documentation that will be satisfactory to the Employer as evidence of a Domestic Partner relationship; and • Meets the dependents eligibility requirements of the Employer's health benefits plan. AV- DP- 6 -R -02 MP -3149 (1/04) AVMED Benefit Summary HEALTH PLANS LARGE GROUP SCHEDULE OF BENEFITS COST TO MEMBER $15/$2501$1,500 /20% CALENDAR YEAR INDIVIDUAL / FAMILY $250/$750 annually DEDUCTIBLE The Deductible does not apply toward the Out -of- Pocket Maximum OUT -OF- POCKET MAXIMUM INDIVIDUAL / FAMILY $1,500/$3,000 annually Per Calendar Year The Out -of- Pocket Maximum includes Co payments and Co- first 5 days, per admission; insurance amounts unless otherwise excluded 100% coverage thereafter AVMED PRIMARY CARE Services at Participating Physicians' offices include, but are not $15 per visit PHYSICIAN limited to: • Routine office visits /annual gynecological examination when performed by Primary Care Physician • Pediatric care and well -child care • Periodic health evaluation and immunizations • Diagnostic imaging, laboratory or other diagnostic services OUTPATIENT SERVICES • Minor surgical procedures $250 Co- payment • Vision and hearing examinations for children under 18 MATERNITY CARE • Initial visit $15 Co- payment Subsequent visits NO CHARGE AVMED SPECIALISTS' • Office visits $25 per visit SERVICES • Annual gynecological examination when performed by a OUTPATIENT DIAGNOSTIC participating Specialty Health Care Physician 20% of the contracted TESTS Additional Co- payments will apply if Outpatient Diagnostic Test are rate after Deductible HOSPITAL Inpatient care at Participating Hospitals includes: $250 per day for the • Room and board — unlimited days (semi - private) first 5 days, per admission; • Physicians', specialists' and surgeons' services 100% coverage thereafter • Anesthesia, use of operating and recovery rooms, oxygen, drugs and medication • Intensive care unit and other special units, general and special duty nursing • Laboratory and diagnostic imaging • Required special diets • Radiation and inhalation therapies OUTPATIENT SERVICES Outpatient surgeries, including cardiac catheterizations and $250 Co- payment angioplasty • Outpatient therapeutic services, including: • Drug infusion therapy $100 Co- payment • Injectable Drugs (Co- payment for Injectable Drug $75 Co- payment waived if incidental to same -day drug infusion therapy) OUTPATIENT DIAGNOSTIC • CAT Scan, PET Scan, MRI 20% of the contracted TESTS • Other diagnostic imaging tests rate after Deductible Co- payments for office visits will also apply if services are performed in a Specialist's office. EMERGENCY SERVICES An emergency is the sudden and unexpected onset of a condition $100 Co- payment requiring immediate medical or surgical care. (Co- payment waived if admitted) • Emergency services at Participating Hospitals • Emergency services at non - participating Hospitals, facilities and/or physicians AvMed must be notified within 24 hours of inpatient admission following emergency services or as soon as reasonably possible A V -LG- 15/250/1500/20 %07 MP -3990 (10 /07) Benefit Summary, continued URGENTAMMEDIATE CARE • Medical Services at a participating Urgent/Immediate Care s4o co- paymem facility or services rendered after hours in your Primary Care FACILITIES AND Physician's office rate after Deductible • Medical Services at a non - participating Urgenulmmediate Care $60 Co- payment facility CARDIAC REHABILITATION FAMILY PLANNING • Voluntary family planning services $15 per visit . ctPrili7atinn (in addition to any Outpatient Facility Co- payment) _ $250 Co- payment 20 outpatient visits $25 per visit ALLERGY TREATMENTS Inject ons $15 per visit • Ambulance transport for emergency services $100 Co- payment • Non - emergent ambulance services are covered when the skill of medically trained personnel is required and the Member cannot PHYSICAL, SPEECH AND • Short-term physical, speech or occupational therapy for acute $15 per visit OCCUPATIONAL THERAPIES conditions Coverage is limited to 30 visits per calendar year for all services combined SKILLED NURSING x Up to 20 days post - hospitalization care per calendar year when 20% of the contracted FACILITIES AND prescribed by physician and authorized by AvMed rate after Deductible REHABILITATION CENTERS CARDIAC REHABILITATION Cardiac rehabilitation is covered for the following conditions: $15 per visit • Acute myocardial infarction • Percutaneous transluminal coronary angioplasty (PTCA) Benefits limited • Repair or replacement of heart valves to $1,500 per • Coronary artery bypass graft (CABG), or calendar year • Heart transplant Coverage is limited to 18 visits per calendar year HOME HEALTH CARE Limited to 60 skilled visits per calendar year 20% of the contracted rate after Deductible DURABLE MEDICAL Equipment includes: EQUIPMENT AND • Hospital beds ORTHOTIC APPLIANCES • Walkers • Crutches • Wheelchairs Orthotic appliances are limited to: • Leg, arm, back and neck custom -made braces 20% of the contracted rate after Deductible Benefits limited to $2,000 per calendar year PROSTHETIC DEVICES Prosthetic devices are limited to: 20% of the contracted • Artificial limbs rate after Deductible • Artificial joints FOR ADDITIONAL INFORMATION, PLEASE CALL: 1. 800.88 -AVMED (1 -800- 882 -8633) THIS SCHEDULE OF BENEFITS IS NOT A CONTRACT. FOR SPECIFIC INFORMATION ON BENEFITS, EXCLUSIONS AND LIMITATIONS, PLEASE CONSULT YOUR AVMED GROUP MEDICAL AND HOSPITAL SERVICE CONTRACT. AV -L& 15/250/1500/20'/,07 MP -3990 (10/07) VMT ED Amendment HEALTH 'P L A N S Large Group - Deductible and Co- insurance These provisions of the policy are amended as follows: Part III. DEFINITIONS, has been amended to add the following definitions: "Calendar Year" means the twelve -month period beginning January 1 and ending December 31. "Co- insurance" means the amount a covered Member must pay, once the Deductible has been met, and is expressed as a percentage of the allowed amount for the covered benefit. "Deductible" means the first payments up to a specified dollar amount, excluding Co- payments, that a Member must make in the applicable Calendar Year for covered benefits. The Deductible applies to each Member, subject to any family Deductible listed on the Schedule of Benefits. For purposes of the Deductible, "family" means the Subscriber and Covered Dependents. The Deductible must be satisfied once each Calendar Year, except for: o the Common Accident Provision: if the Deductible applies to accident expenses and if 2 or more Members of any family receive covered benefits because of disabilities resulting from injuries sustained in any one accident, the Deductible will be applied only once with respect to all covered benefits received as a result of the accident. o the Deductible Credit Provision: any expense incurred by a Member while covered under the group's prior carrier will be credited toward satisfaction of the Deductible under this Plan if. • the expenses were incurred during the 90 -day period before the effective date of the Group Plan; • the expenses were applied toward satisfaction of the Deductible under the prior coverage during the 90 -day period before the effective date of this Group Plan; and • the expenses would be considered eligible expenses under this Group Plan. However, in order to receive credit, you must supply evidence of satisfaction of the Deductible under the prior coverage by providing AvMed Health Plans written proof of what has been paid by prior carrier. o the Carryover Provision: if any part or all of the Deductible has been satisfied during the last 3 months of the preceding Calendar Year, the Deductible for the next Calendar year will be reduced by the amount satisfied. Under Part VII. MONTHLY PAYMENTS AND CO- PAYMENTS, has been amended as follows: 7.03 Annual Maximum Out -of- Pocket Limits (as described in your Schedule of Benefits). Co- insurance and Co- payments you pay for benefits received during any Calendar Year are accumulated toward your annual maximum out -of- pocket limit. Once you meet your individual or family annual maximum out -of- pocket limit in any Calendar Year, AvMed will pay 100% of the allowable charges for all covered services for the remainder of that Calendar Year. Expenses that do not count toward the annual maximum out -of- pocket limit are expenses used to satisfy the individual or family Deductible and any services provided under the Prescription Drug, Mental Health, Substance Abuse, Vision and other supplemental riders. 7.04 Member shall pay premiums, applicable supplemental charges, Deductibles, Co- payments and/or Co- insurance as provided in this Contract. If the Member fails to do so, upon ten (10) days written notice from AvMed to Member, the Member's rights hereunder shall be terminated. Consideration for reinstatement with AvMed shall require a new application, and any re- enrollment shall be at the sole discretion of AvMed and shall not be retroactive. 7.07 A Member will be entitled to covered benefits after the Member has satisfied the Deductible amount, if any, specified on the Schedule of Benefits. After satisfying the Deductible, the Member must pay any applicable Co- insurance for covered benefits. Covered benefits to which the Deductible applies are shown in the Schedule of Benefits. The Deductible does not apply to certain covered benefits. In those instances, the Member must pay any applicable Co- payments for covered benefits to which the Deductible does not apply. AV- Deductible/Co- insurance Amendment -08 MP -3647 (3/08) AVM prescription Drug Benefits H E A L T H P L AN S $20/40/60(75/50% CO- PAYMENT with Contraceptives `Brand" medication means a Prescription Drug that is usually manufactured and sold under a name or trademark by a pharmaceutical manufacturer or a medication that is identified as a Brand medication by AvMed. AvMed delegates determination of Generic/Brand status to our Pharmacy Benefits Manager. "Brand Additional Charge" means the additional charge that must be paid if you or your physician choose a Brand medication when a Generic equivalent is available. The charge is the difference between the cost of the Brand medication and the Generic medication. This charge must be paid in addition to the applicable Non - Preferred Brand Co- payment. "Cost- sharing Medications" are those medications, as designated by AvMed, which were designed to improve the quality of life by treating relatively minor non -life threatening conditions. Such medications are subject to Co- insurance and coverage is limited as outlined below. "Dental- specific Medication" is medication used for dental- specific purposes, including but not limited to fluoride medications and medications packaged and labeled for dental - specific purposes. "Generic" medication means a medication that has the same active ingredient as a Brand medication or is identified as a Generic medication by AvMed's Pharmacy Benefits Manager. "Injeetable,Medieation" is a medication that has been approved by the Food and Drug Administration (FDA) for administration by one or more of the following routes: intramuscular injection, intravenous injection, intravenous infusion, subcutaneous injection, intrathecal injection, intrarticular injection, intracavemous injection or intraocular injection. Pre - Authorization is required for all Injectable Medications. "Maintenance Medication" is a medication that has been approved by the FDA, for which the duration of therapy can reasonably be expected to exceed one year. "Participating Pharmacy" means a pharmacy (either retail, mail order or specialty pharmacy) that has entered into an agreement with AvMed to provide Prescription Drags to AvMed Members and has been designated by AvMed as a Participating Pharmacy. "Preferred Medication List" means the listing of preferred medications as determined by AvMed's Pharmacy and Therapeutics Committee based on clinical efficacy, relative safety and cost in comparison to similar medications within a therapeutic class. This multi -tiered list establishes different levels of Co- payment for medications within therapeutic classes. As new medications become available, they may be considered excluded until they have been reviewed by AvMed's Pharmacy and Therapeutics Committee. "Prescription Drug" means a medication that has been approved by the FDA and that can only be dispensed pursuant to a prescription according to state and federal law. "Pre- Authorization" means the process of obtaining approval for certain Prescription Drugs (prior to dispensing) according to AvMed's guidelines. The prescribing physician must obtain approval from AvMed. The list of Prescription Drugs requiring Pre - Authorization is subject to periodic review and modification by AvMed. A copy of the list of medications requiring Pre - Authorization and the applicable criteria are available from Member Services or from the AvMed website. "Self- Administered Injectable Medication" is a medication that has been approved by the FDA for self - injection and is administered by subcutaneous injection or a medication for which there are instructions to the patient for self - injection in the manufacturer's prescribing information (package insert). Pre - Authorization is required for all Self- Administered Injectable Medications. HOW DOES YOUR RETAIL PRESCHIP7IUN eu111:11RUL wunn: To obtain your Prescription Drug, take your prescription to, or have your physician call, an AvMed Participating Pharmacy. Your physician should submit prescriptions for Self - Administered Injectable Drugs to AvMed's specialty pharmacy. Present your prescription along with your AvMed identification card. Pay the following Co- payment (as well as the Brand Additional Charge if you or your physician choose a Brand product when a Generic equivalent is available). Tier I Preferred Generic Medications: $ 20.00 Co- payment Tier 2 Preferred Brand Medications: $ 40.00 Co- payment Tier 3 Non - Preferred Brand or Generic Medications: $ 60.00 Co- payment Tier 4 Self - Administered Injectable Medications: $ 75.00 Co- payment Tier 5 Cost - sharing Medications 50% Co- insurance ORDERING YOUR PRESCRIPTIONS THROUGH THE MAIL Mail service is a benefit option for maintenance medications needed for chronic or long -term health conditions. It is best to get an initial prescription filled at your retail pharmacy. Ask your physician for an additional prescription for up to a 90 -day supply of your medication to be, ordered through mail service. Up to 3 refills are allowed per prescription. Pay the following Co-payment (as well as the Brand Additional Charge if you or your physician choose a Brand product when a Generic equivalent is available). Tier 1 Preferred Generic Medications: $ 40.00 Co-payment Tier 2 Preferred Brand Medications: $ 80.00 Co- payment Tier 3 Non - Preferred Brand or Generic Medications: $ 120.00 Co- payment Tier 4 Self - Administered Injectable Medications are not available through mail service Tier 5 Cost - sharing Medications are not available through mail service AV- G100- RX -2x- 20/40160/75/50 %OC -07 MP -3855 (10 /07) Prescription Drug Benefits, continued WHAT IS COVERED? • Your Prescription Drug coverage includes outpatient medications (including contraceptives) that require a prescription and are prescribed by your AvMed physician in accordance with AvMed's coverage criteria AvMed reserves the right to make changes in coverage criteria for covered products and services. Coverage criteria are medical and pharmaceutical protocols used to determine payment of products and services and are based on independent clinical practice guidelines and standards of care established by government agencies and medical/pharmaceutical societies. • Your retail Prescription Drug coverage includes up to a 30 -day supply of a medication for the listed Co- payment. Your prescription may be refilled via retail or mail order after 75% of your previous fill has been used and subject to a maximum of 13 refills per year. You also have the opportunity to obtain a 90 -day supply of medications used for chronic conditions including, but not limited to asthma, cardiovascular disease, and diabetes from the retail pharmacy for the applicable Co- payment per 30 -day supply. However, Pre - Authorization may be required for covered medications. • Your mail -order Prescription Drug coverage includes up to a 90 -day supply of a routine maintenance medication for the listed Co-payment. If the amount of medication is less than a 90 -day supply, you will still be charged the listed mail order Co- payment. • Your Self- Administered Injectable Medication coverage extends to many injectable medications approved by the FDA. These medications must be prescribed by a physician and dispensed by a retail or specialty pharmacy. The Co- payment levels for Self - Administered Injectable Medications apply regardless of provider. This means that you are responsible for the appropriate Co- payment whether you receive your Self - Administered Injectable Medication from the pharmacy, at the physician's office or during home health visits. Self - Administered Injectable Medications are limited to a 30 -day supply. • Your Prescription Drug coverage includes coverage for injectable contraceptives. There is a Co- payment of $30 for each injection. If there is an office visit associated with the injection, there will be an additional Co- payment required for the office visit. • Your Tier 5 coverage is limited to Terbinafine (Lamisil®) and Itraconazole (Sporanox®), in oral form, when prescribed by your physician for the treatment of documented fungal infections. Pre- authorization is not required. • Quantity limits are set in accordance with FDA approved prescribing limitations, general practice guidelines supported by medical specialty organizations, and/or evidence - based, statistically valid clinical studies without published conflicting data This means that a medication- specific quantity limit may apply for medications that have an increased potential for over - utilization or an increased potential for a Member to experience an adverse effect at higher doses. QUESTIONS? Cali your AvMed Member Services Department at: 1- 800 -88 -AvMed (1- 800 - 882 -8633) EXCLUSIONS AND LIMITATIONS • Medications which do not require a prescription (i.e. over - the - counter medications) or when a non - prescription alternative is available • Medical supplies, including therapeutic devices, dressings, appliances, and support garments • Replacement Prescription Drug products resulting from a lost, stolen, expired, broken, or destroyed prescription order or refill • Diaphragms and other contraceptive devices • Fertility drugs • Medications or devices for the diagnosis or treatment of sexual dysfunction • Dental - specific Medications for dental purposes, including fluoride medications • Prescription and non - prescription vitamins and minerals except prenatal vitamins • Nutritional supplements • Immunizations • Allergy serums, medications administered by the Attending Physician to treat the acute phase of an illness and chemotherapy for cancer patients are covered in accordance with the Group Medical and Hospital Service Contract and may be subject to Co- payments or Co-insurance as outlined on the Schedule of Benefits • Investigational and experimental drugs (except as required by Florida statute) • Cosmetic products, including, but not limited to, hair growth, skin bleaching, sun damage and anti - wrinkle medications • Nicotine suppressants and smoking cessation products and services • Prescription and non - prescription appetite suppressants and products for the purpose of weight loss • Compounded prescriptions, except pediatric preparations • Medications and immunizations for non - business related travel, including Transdermal Scopolamine Filling a prescription at a pharmacy is not a claim for benefits and is not subject to the Claims and Appeals procedures under ERISA. However, any medicines that require Pre - Authorization will be treated as a claim for benefits subject to the Claims and Appeals Procedures, as outlined in the Group Medical and Hospital Service Contract. AV- G100- RX -2x- 20/40/60/75/50 %OC -07 M2-3855 (10/07) Amendment H E A L T H P L A N S Inpatient Mental Health and Partial Hospitalization Benefits As of the effective date, Inpatient Mental Health and Partial Hospitalization Benefits are being provided for an additional premium. Inpatient treatment of mental/nervous disorders for up to 30 days per patient, subject to a member copayment of $250 per day for the first 5 days of each admission, shall be provided by the Plan when a member is admitted to a Participating Hospital or Participating Health Care Facility as a registered bed patient. Partial Hospitalization for mental health services is a Covered Service when it is provided in lieu of inpatient hospitalization and is combined with the inpatient hospital benefit. Two days of Partial Hospitalization will count as one day toward the inpatient Mental Health Benefit subject to member copayment as noted above. AV- G100- M-1 /PH -$250 per day -04 MP -3523 (10/04) AVMED HE A L T H P L AN S Substance Abuse Benefits Amendment As of the effective date, the following Substance Abuse Benefits have been added for an additional premium. . INPATIENT Inpatient treatment of alcohol and drug abuse is not provided except for acute detoxification. OUTPATIENT An intensive treatment program(s) of one or more weeks by Plan Physicians, subject to a member copayment of $50 per week. Coverage is limited to a maximum of six weeks per contract year. AV- SA -R -98 NT- 1527 (1/04) ANw Addendum Coverage for Mammograms — Waiver of Co- payment If selected, the following provision is hereby modified for an additional premium: Section 10.28 of the AvMed Health Plans Group Medical and Hospital Service Contract is amended to state: Mammograms are covered in accordance with Florida Statutes: one baseline mammogram is covered for female Members between the ages of 35 and 39; a mammogram is available every two years for female Members between the ages of 40 and 49; and a mammogram is available every year for female Members aged 50 and older. In addition, one or more mammograms a year are available when based upon a physician's recommendation for any woman who is at risk for breast cancer because of a personal or family history of breast cancer, because of having a history of biopsy - proven benign breast disease, because of having a mother, sister, or daughter who has had breast cancer, or because a woman has not given birth before the age of 30. This coverage will not be subject to diagnostic imaging Co- payments. AV- Mammogram -05 MP -3228 (12/05) Amendment nnMF1ZT1r PnRTMFR As of the Effective Date, Part IV. ELIGIBILITY, of the Group Medical and Hospital Service Contract is amended by the addition of the following provision: Dependent Eligibility will be added for a Domestic Partner and his or her children. Definition ojDomestic Partner: A Domestic Partner means an unmarried adult who: • Cohabits with you in an emotionally committed and affectional relationship that is meant to be of lasting duration; • Is not related by blood or marriage; • Is at least eighteen years of age; • Is mentally competent to consent to a contract; • Has filed a Domestic Partnership agreement or registration with the Employer, if available, in the state (and/or city) of residence; • Has shared financial obligations including basic living expenses for the six month period prior to enrollment in the plan; • Will provide documentation that will be satisfactory to the Employer as evidence of a Domestic Partner relationship; and • Meets the dependents eligibility requirements of the Employer's health benefits plan. AV- DP- 6 -R -02 MP -3149 (1 /04) AyM D Amendment H E A L T H P L A N 3 ELECTIVE TERMINATION OF PREGNANCY If selected, the following optional coverage is hereby added: The AvMed Health Plan Group Medical and Hospital Service Contract is amended to state: Elective termination of pregnancy will be a covered benefit if the services and treatment are provided by an AvMed participating provider in an AvMed participating facility. There shall be a physician copayment of $100.00 in addition to the applicable facility copayment. AV- G100- ETP -R -97 MR1321 (1/04) .tE►VMED .Benefit Summar°y� Hencrn r ,.ANS STANDARD OPTION SCHEDULE OF BENEFITS COST TO MEMBER 250 -ADMIT OUT -OF- POCKET MAXIMUM $1,500 INDIVIDUAL Per Calendar Year $3,000 FAMILY AARY CARE PHYSICIAN at Participating Physicians' offices include, but are not $10 per visit limited to: • Routine office visits / annual gynecological examination when performed by Primary Care Physician • Pediatric care and well -baby care • Periodic health evaluation and immunizations • Diagnostic imaging, laboratory or other diagnostic services • Minor surgical procedures • Vision and hearing examinations for children under 18 MATERNITY CARE • Initial Co- payment AVMED SPECIALISTS' • Office visits $10 per visit SERVICES • Annual gynecological examination when performed by a participating Specialty Health Care Physician Additional Co- payments will apply if Outpatient Diagnostic Test are performed in the Specialist Office, HOSPITAL Inpatient care at Participating Hospitals includes: $250 per admission; • Room and board - unlimited days (semi - private) 100% coverage thereafter • Physicians', specialists' and surgeons' services • Anesthesia, use of operating and recovery rooms, oxygen, drugs and medication • Intensive care unit and other special units, general and special duty nursing • Laboratory and diagnostic imaging • Required special diets • Radiation and inhalation therapies OUTPATIENT SERVICES Outpatient surgeries, including cardiac catheterization $250 Co- payment and angioplasty • Outpatient therapeutic services, including: • Drug infusion therapy $100 Co- payment • Injectable Drugs (Co- payment for Injectable $75 Co- payment Drug waived if incidental to same -day drug OUTPATIENT DIAGNOSTIC CAT Scan, PET Scan, MRI $25 per test TESTS Other diagnostic imaging tests $10 per test Co- payments for office visits will also apply if services are performed in a Specialist's office. EMERGENCY SERVICES An emergency is the sudden and unexpected onset of a condition requiring immediate medical or surgical care. (Co- payment waived if admitted) • Emergency services at Participating Hospitals $75 Co- payment • Emergency services at non - participating Hospitals, $100 Co- payment facilities and/or physicians. AvMed must be notified within 24 hours of inpatient admission following emergency services or as soon as reasonably possible. AV- STD- 25OA -07 la -3411 (10 /07) Benefit Summary, continued URGENT/IMMEDIATE CARE • Medical Services at a participating Urgent/Immediate $40 Co- payment Care facility or services rendered after hours in your Primary Care Physician's office • Medical Services at a non - participating $60 Co- payment Ument/Immediate Care facility_ • 20 outpatient visits $25 per visit FAMILY PLANNING • voluntary family planning services $ to per visit • Sterilization (In addition to any Outpatient Facility Co- $100 Co- payment payment) $25 per day ALLERGY TREATMENTS • Injections $10 per visit • Skin testing $50 per course of testing AMBULANCE • Ambulance transport for emergency services $100 Co- payment • Non - emergent ambulance services are covered when the skill of medically trained personnel is required and the Member cannot be safely transported by other means PHYSICAL, SPEECH AND Short-term OCCUPATIONAL THERAPIES acute cond speech or Coverage is limited to 30 visits per calendar year for all for $10 per visit Coverage is limited to 18 visits per calendar year HOME HEALTH CARE services combined NO CHARGE SKILLED NURSING Up to 20 days post - hospitalization care per calendar year $25 per day FACILITIES AND when prescribed by physician and authorized by AvMed REHABILITATION CENTERS • Walkers CARDIAC REHABILITATION Cardiac rehabilitation is covered for the following conditions: $20 per visit • Acute myocardial infarction to $500 per • Percutaneous transluminal coronary angioplasty (PTCA) Benefits limited • Repair or replacement of heart valves to $1,500 per • Coronary artery bypass graft (CABO), or calendar year • Heart transplant Coverage is limited to 18 visits per calendar year HOME HEALTH CARE Limited to 60 skilled visits per calendar year NO CHARGE DURABLE MEDICAL Equipment includes: $50 per episode of illness EQUIPMENT AND • Hospital beds ORTHOTIC APPLIANCES • Walkers • Crutches Benefits limited • Wheelchairs to $500 per Orthotic appliances are limited to: calendar year • Leg, arm, back and neck custom -made braces PROSTHETIC DEVICES Prosthetic devices are limited to: NO CHARGE • Artificial limbs • Artificial joints • Ocular prostheses FOR ADDITIONAL INFORMATION, PLEASE CALL: 1- 800 -88 -AVMED (1- 800 -882 -8633) THIS SCHEDULE OF BENEFITS IS NOT A CONTRACT. FOR SPECIFIC INFORMATION ON BENEFITS, EXCLUSIONS AND LIMITATIONS, PLEASE SEE YOUR AVMED GROUP MEDICAL AND HOSPITAL SERVICE CONTRACT. AV- STD- 250A -07 MP- 3411 (10/07) H E A L T H PLAN 5 Classic Point -of- Service Amendment AvMed Health Plans Group Medical and Hospital Service Contract is hereby amended and supplemented by the terms and conditions of this Amendment. Nothing contained in this Amendment will be held to vary, alter, waive, or extend any of the terms, conditions, provisions, Exclusions or Limitations of the HMO Contract to which this Amendment is attached, other than as specifically stated herein. Furthermore, when additional benefit riders are selected, those benefits are subject to the POS Amendment Deductible and Co- insurance arrangements when using Non - participating Providers unless services are specifically excluded herein. Additionally, this. Amendment in no way extends benefits beyond what has been stated in this Amendment and the Schedule of Point of Service Benefits or in the HMO Contract and Schedule in terms of specific service limits or benefit maximums. This Amendment does not create any duplication of coverage or coordination of benefits. contained in the HMO Contract or any other riders or amendments the Subscribing Group may elect. Point -of- Service Benefits A Member is eligible to receive medical care and services including medical, surgical, diagnostic, therapeutic and preventive services. Coverage is provided for health services that are: • Received while you are covered under this Group Plan; • Performed, prescribed or directed by a physician; • Medically Necessary (except for preventive services as stated herein) for the diagnosis and treatment of injury or illness, as determined by AvMed Health Plans; and • Not excluded under Parts XI. and XII. or any other provision, rider or amendment made a part of this Group Plan. This Point -of- Service (POS) Amendment allows you to receive benefits for covered services and supplies outside the AvMed HMO network. When medical services are needed, you are free to obtain care from your HMO Primary Care Physician (PCP) or you may also consult with a Health Professional of your choice. However, your responsibilities for payment and claim filing will be greater when covered services and supplies are accessed outside the TWO system. You are free to choose any Health Professional when health care services are needed. By using a Health Professional who has contracted with the AvMed Provider Network (a Participating Provider), the benefit payment level will often be higher than that for services or supplies provided by a Health Professional who has not contracted with the AvMed Provider Network (a Non - participating Provider). See the HMO and POS Schedules for more details on how these options can work best for you. AV -POS amend- Clusic-05 MP -3530 (10105) Classic Point -of- Service Amendment, continued This Point -of- Service Amendment does not eliminate the requirement that each Member choose a PCP as outlined in the HMO Group Medical and Hospital Service Contract. If you do not choose a PCP, one will be chosen for you at the time of enrollment. You must continue to have certain HMO network services authorized by AvMed in order to obtain maximum benefits under the HMO coverage. Under the POS Amendment, some services will require your Non - participating Provider to request prior authorization as described herein. Benefit Payment Levels This Point -of- Service Amendment has several special features that can influence how much you pay out -of- pocket for medical care. Your choice of a Health Professional may result in lower or higher costs and you will be required to follow certain procedures to avoid additional costs. Your choice of a Health Professional and wise use of these benefits can save you money. This POS Amendment to the HMO Group Medical and Hospital Service Contract creates two benefit payment levels; one for services provided by AvMed HMO Participating Providers and a second for services provided by Non - participating Providers. The benefit level this Group Plan will pay depends on the Health Professional you select to provide covered health care services: 1. If the Health Professional used is part of the AvMed Health Plans Participating Provider Network, benefits for covered services are payable at the Participating Provider benefit level shown in the IWO Schedule of Co- payments. 2. If the Health Professional used is not part of AvMed Health Plans' Participating Provider network, benefits for services covered under this POS Amendment are payable at the Non - participating Provider benefit level specified in the POS Amendment Schedule. Services rendered by a Participating Provider are subject to the direction and approval of AvMed or referral by an AvMed Primary Care Physician. I£ you receive covered services through a Participating Provider which have not been authorized by your PCP, benefits may not be payable under the HMO Participating Provider benefit. A service may be payable under the POS Amendment Non - participating Provider benefit if the service or supply received is a covered service as specified in this POS Amendment and Schedule. AV -POS amend - Classic -05 W -3530 (10105) Classic Point -of- Service Amendment, continued Cost - Sharing Information Deductible. Before AvMed Health Plans will begin paying expenses for services covered under this POS Amendment, you must satisfy the annual Deductible specified in the POS Schedule. The Deductible means the amount a Member must pay each calendar year for covered services from his or her own pocket before AvMed Health Plans will make payment for eligible expenses. The individual Deductible or family Deductible must be satisfied each calendar year before any payment will be made by AvMed Health Plans for any claim. If two or more covered members of a family incur injury due to the same accident, the Deductible applies only once for all such expenses. If during a calendar year, the covered members of a family incur eligible expenses for which no benefits are payable because of the Deductible requirements and the amount of such eligible expense equals the family Deductible limit, then no further Deductible will apply to the covered members of the family during the remainder of such calendar year. Any eligible expenses credited by AvMed Health Plans towards your Deductible requirement during the last three months of this Group Plan's prior calendar year, will be reduced to the extent of such application for the next ensuing calendar year. Only those eligible expenses submitted on claims to AvMed Health Plans will be credited toward the Deductible. Expenses that are not eligible will not be counted toward' the satisfaction of the Deductible. Eligible expenses are only those expenses which are Usual, Customary, and Reasonable as described below. Co- insurance. Once the calendar year Deductible has been met, you are responsible for paying a percentage of eligible expenses. The coverage percentage, hereinafter called "co- insurance" is specified in the Schedule. You will be responsible for paying any charges not considered an eligible expense. Usual, Customary, and Reasonable means the usual charge made by a physician or supplier of services, medicines, or supplies. The charge will not exceed the general level of charges made by others rendering or furnishing such services, medicines, or supplies within an area in which the charge is incurred for sickness or injuries comparable in severity and nature to the sickness or injury being treated. The term "area" as it would apply to any particular service, medicine, or supply means: a county or such greater areas as is needed to obtain a representative cross section of level of charges. Annual Co- insurance Maximum Out -of- Pocket Limits. Co- insurance and Co- payments you pay for benefits received during any calendar year under this Amendment are accumulated toward your annual Co- insurance maximum out -of- pocket limit. Once you meet your individual or family Co- insurance maximum out -of- pocket in any calendar year, the Plan will pay 100% of the Usual, Customary, and Reasonable charges for all covered services for the remainder of that calendar year. AV -POS amend - Classic -05 MP -3530 (10105) Classic Point -of- ,service Amendment, continued Expenses that do not count toward the annual Co- insurance maximum out -of- pocket are expenses related to charges for services not covered by this POS Amendment, additional charges incurred for failure to pre- authorize a service requiring prior authorization, expenses that relate to services that exceed any specific treatment limitations noted in the Schedules, expenses used to satisfy the individual or family Deductible, and Co- payments paid by you for services provided exclusively under the Group Medical and Hospital Service Contract. Lifetime Maximum Benefit. While this Group Plan stays in force, the eligible expenses incurred by a Member are limited to the applicable maximum shown in the POS Schedule. When benefits in such amount have been paid or are payable under this Amendment, all coverage under this Amendment will terminate for the Member. Effect of Prior Coverage. The following provision applies to Members who, on the day before this Group Plan Effective Date, were covered under prior coverage. Prior coverage means the policyholder's group medical plan that this Group Plan replaced. AvMed Health Plans will automatically cover any such person under this Group Plan on its Effective Date, subject to the following provision. Those persons eligible according to the terms of this Group Plan will be covered at the level of benefits of this Group Plan. This includes persons who were covered under a continuation provision of the prior coverage to the extent it was required by state or federal law. This continued coverage under this Group Plan will terminate on the date that coverage would have terminated according to the law under the prior coverage, had the prior coverage remained in force. Deductible Carryover. Any expenses incurred by a Member while covered under the prior coverage will be credited toward satisfaction of the Deductible under this Plan if- The expenses were incurred during the 90 -day period before the Effective Date of the Group Plan; The expenses were applied toward satisfaction of the Deductible under the prior coverage during the 90 -day period before the Effective Date of this Group Plan; and The expenses would be considered eligible expenses under this Group Plan. However, in order to receive credit, you must supply evidence of satisfaction of the Deductible under the prior coverage by providing AvMed Health Plans written proof of what has been paid by prior coverage. Prior Authorization of Covered Services In order to determine whether services and supplies are Medically Necessary, certain covered services require prior authorization from AvMed Health Plans. Prior authorization ensures a Member of receiving the most appropriate medical care available, in the most AV -POs amend - Classic -05 W -3530 (10 105) Classic Point -of- Service Amendment, continued appropriate setting. If your physician is a Participating Provider, then he or she will handle all authorizations, notifications and utilization reviews with AvMed Health Plans. If your doctor is not a Participating Provider, you are responsible for making sure your physician or Health Professional calls AvMed Health Plans to obtain prior authorization for a covered service when it is required. Please refer to your Member ID card for the telephone number where authorization may be obtained, or have your physician call 1 -800- 443 -4103. Before the service is performed, you should verify with your Provider that the service has received prior authorization. If you are unable to secure verification from your provider, you may also call AvMed Health Plans. Please remember that failure to receive prior authorization of a service will result in a reduction in coverage. The. amount of the reduction can be found in the POS Schedule. The following services require prior authorization: Inpatient admissions (Hospital, Skilled Nursing Facility, and /or acute rehabilitation). Inpatient and outpatient surgery, including cardiac catheterization and percutaneous transluminal coronary angioplasty (PTCA). PET Scans. It is important to remember that benefits for Hospital admissions not authorized in advance will be reduced by the amount shown in the POS Schedule. This reduction will occur regardless of whether such confinements are deemed Medically Necessary. If hospitalization is extended without authorization beyond the number of days approved, benefits for the extra days will be similarly reduced. Exclusions and Limitations The benefit Exclusions and Limitations specified in the Group Medical and Hospital Service Contract are also applicable to the benefits specified in this POS Amendment. Additionally, services not covered under this Point -of- Service Amendment include: • Services provided exclusively under the Group Medical and Hospital Service Contract. • Second medical opinions are covered exclusively through the HMO portion of the benefits and are not available as point -of- service benefits. • Transplantation services must be authorized by AvMed and provided exclusively through the HMO network. However, any follow -up care managed by a Participating Provider outside of the AvMed Service Area will be subject to the out -of- network benefit and reimbursement. • Any applicable prescription benefits are available only under the HMO portion of coverage. They are not available as out -of- network benefits. Av -POS mend- Classic -05 W -3530 (10105) Classic Point -of- Service Amendment, continued • Hospice services. • Dialysis care. • Ambulance services. • Voluntary family planning services, sterilization, infertility evaluation and medical treatment, surgery for the enhancement of fertility and genetic counseling. • Emergency Medical Services and Care for an Emergency Medical Condition. Emergency services administered by any provider will be covered under the HMO Contract benefits. In order for the care to be covered under the HMO, AvMed must be notified as described in Section 10.12 of the Group Medical and Hospital Service Contract. If notification is not provided as specified under the HMO contract, services may be payable under the POS Amendment if the service or supply received is a covered service as specified in this POS Amendment and Schedule. • Durable medical equipment, orthotic appliances and prosthetic devices are limited to those items specified in the POS Schedule. In addition, custom wheelchairs, electric wheelchairs and scooters must be authorized by AvMed and provided by the HMO network. Payment of Claims When you receive services from a Non - participating Provider, the provider must bill AvMed Health Plans directly for the services rendered, and you will pay the doctor directly all or part of the annual Deductible, if not satisfied, and the required percentage of Co- insurance. You must also comply with the following claim firing procedures when receiving covered services from Non - participating Providers. Notice of Claim. Notice of a claim for benefits must be given to AvMed Health Plans. The notice must be in writing, and any claim will be based on that written notice. The notice must be received by AvMed within six months after the start of the loss on which the claim is based. If notice is not given in time, the claim may be reduced or invalidated. If it can be shown that it was not reasonably possible to submit the notice within the six month period and that notice was given as soon as possible, the claim will not be reduced or invalidated. When written notice is required under this Plan, it shall be mailed to: AvMed Health Plans P. O. Sox 560844 Miami, Florida 33156 You should call 1- 800 - 882 -8633 if assistance is needed regarding a claim or information about coverage. AV -POS amend- Classic -05 W -3530 (]0(05) 6 Classic Point -of-- .Service Amendment, continued Proof of Loss. Written proof of loss must be given to AvMed Health Plans within six months after the date of injury or sickness for which claim is made. If it was not reasonably possible to give written proof in the time required, we will not reduce or deny the claim for this reason if the proof is filed as soon as reasonably possible. Legal Actions. No legal action may be brought to recover under this Amendment until at least 60 days after written proof of claim has been filed with AvMed Health Plans. if such action is taken after the 60 -day period, it must be taken prior to the expiration of the statute of limitations from the date written proof of claim was required to be filed. overview — Member Responsibilities When Receiving Covered Services Responsibilities when using Participating Providers. All paperwork is handled by Participating Providers, so there are no bills for you to submit to AvMed Health Plans. However, it is your responsibility to: 1. Verify the participation status of (a) the Health Professional who prescribes the treatment, and (b) the Health Professional who provides the covered service. 2. Pay the applicable Co- payment or Co- insurance at the time of service. Responsibilities whennsing Non - participating Providers: i 1. Know which covered services require prior authorization and comply with all requirements specified in this Amendment. 2. Pay eligible expenses applied toward satisfaction of the Deductible. The Deductible must be satisfied before benefits begin. 3. Pay the Co- insurance amount required. 4. Pay any amount of eligible expense which exceeds the Usual, Customary, and Reasonable charges. 5. Pay any increase in Co- insurance if prior authorization requirements are not followed as stated in this Amendment. 6. Pay any charges for services and supplies not covered under this Amendment. 7. You must complete and submit claim forms and provider bills to AvMed Health Plans. AV -POS amend- Cimic -05 W -3530 (10 /05) AvMED H E A L T H PLANS POINT -OF- SERVICE BENEFITS Benefit ,summary SCHEDULE OF OUT -OF- NETWORK BENEFITS COST TO MEMBER DEDUCTIBLE INDIVIDUAL/FAMILY $500 /$1,500 Annually CO- INSURANCE OUT -OF- INDIVIDUAL/FAMILY $3,000/$6,000 Annually POCKET MAXIMUM LIFETIME MAXIMUM $2,000,000 PER MEMBER PRIOR AUTHORIZATION Required for specific covered services. The penalty for not obtaining prior authorization is a 20% reduction in benefits. PHYSICIAN Services in physicians' offices include, but are not limited to: 30% of the UCR charge, • Routine office visits /annual gynecological exam when subject to the Deductible performed by Primary Care Physician • Maternity- outpatient visits • Pediatric care and well -child care • Diagnostic imaging, laboratory or other diagnostic services • Minor surgical procedures • Vision and hearing examinations for children under 18 SPECIALISTS' SERVICES . Office visits 30% of the UCR charge, • Annual gynecological examination when performed by a subject to the Deductible participating Specialty Health Care Physician Additional Co- payments will apply if Outpatient Diagnostic Test are performed in the Specialist Office. HOSPITAL Inpatient care at Hospitals includes: 30% of the UCR charge, • Room and board — unlimited days (semi - private) subject to the Deductible • Physicians', specialists' and surgeons' services • Anesthesia, use of operating and recovery rooms, oxygen, drugs and medication • Intensive care unit and other special units, general and special duty nursing • Laboratory and diagnostic imaging • Required special diets OUTPATIENT SERVICES . Outpatient surgeries, including cardiac catheterizations and 30% of the UCR charge, angioplasty subject to the Deductible - • Outpatient therapeutic services, including: • Drug infusion therapy • Injectable drugs (Co- payment for Injectable Drug waived if incidental to same -day drug infusion therapy) OUTPATIENT DIAGNOSTIC . CAT Scan, PET Scan, MRI 30% of the UCR charge, TESTS . Other diagnostic imaging tests subject to the Deductible Co- payments for office visits will also apply if services are performed in a Specialist's office. MENTAL HEALTH . 20 outpatient visits 30% of the UCR charge, subject to the Deductible If mental health/substance abuse benefit riders are elected, benefits are subject to POS rider Deductible and Co- insurance arrangements when using Non - participating Providers. Specified service limits are the total number of covered visits for both in and out -of- network, combined. AV -POS- 500/30/3000 -07 MP- 3440 (10 /07) Benefit Summary, continued ALLERGY TREATMENTS . Iniections 30% of the UCR charge, PHYSICAL, SPEECH AND . Short-term physical, speech or occupational therapy for acute 30% of the UCR charge, OCCUPATIONAL THERAPIES conditions subject to the Deductible Coverage is limited to 30 visits per calendar year for all services combined SKILLED NURSING FACILITIES . Up to 20 days per calendar year when prescribed by physician 30% of the UCR charge, AND REHABILITATION and authorized by AvMed subject to the Deductible CARDIAC REHABILITATION Cardiac Rehabilitation is covered for the following conditions: $20 per visit • Acute myocardial infarction • Percutaneous transluminal coronary angioplasty (PTCA) Benefits limited to $1,500 per • Repair or replacement of heart valves calendar year • Coronary artery bypass graft (CABO), or • Heart transplant Coverage is limited to 18 visits per calendar year HOME HEALTH CARE Limited to 60 skilled visits per calendar year 30% of the UCR charge, subject to the Deductible DURABLE MEDICAL Equipment includes: EQUIPMENT AND . Hospital beds ORTHOTIC APPLIANCES • Walkers • Crutches • Wheelchairs Ortbotic appliances are limited to: • Leg, arm, back and neck custom -made braces $50 per episode of illness Benefits limited to $500 per calendar year PROSTHETIC DEVICES Prosthetic devices are limited to: 30% of the UCR charge, • Artificial limbs subjectto the Deductible • Artificial joints • Ocular prostheses THIS SCHEDULE IS NOT A CONTRACT. FOR SPECIFIC INFORMATION ON BENEFITS, EXCLUSIONS AND LIMITATIONS PLEASE CONSULT YOUR GROUP MEDICAL AND HOSPITAL SERVICE CONTRACT AND POINT -OF- SERVICE AMENDMENT. AV- POS- 500/30/3000 -07 MP- 3440 (10107) AWprescription Drug Benefits (k9ni 0/R0i75/50% CO- PAYMENT with Contraceptives "Brand" medication means a Prescription Drug that is usually manufactured and sold under a name or trademark by a pharmaceutical manufacturer or a medication that is identified as a Brand medication by AvMed AvMed delegates determination of Generic/Brand status to our Pharmacy Benefits Manager. "Brand Additional Charge" means the additional charge that must be paid if you or your physician choose a Brand medication when a Generic equivalent is available. The charge is the difference between the cost of the Brand medication and the Generic medication. This charge must be paid in addition to the applicable Non - Preferred Brand Co- payment. "Cost- sbaring Medications'' are those medications, as designated by AvMed, which were designed to improve the quality of life by treating relatively minor non -life threatening conditions. Such medications are subject to Co- insurance and coverage is limited as outlined below. "Dental- specific Medication" is medication used for dental - specific purposes, including but not limited to fluoride medications and medications packaged and labeled for dental- specific purposes. "Generic" medication means a medication that has the same active ingredient as a Brand medication or is identified as a Generic medication by AvMed's Pharmacy Benefits Manager. "Injectable Medication" is a medication that has been approved by the Food and Drug Administration (FDA) for administration by one or more of the following routes: intramuscular injection, intravenous injection, intravenous infusion, subcutaneous injection, intrathecal injection, intrarticular injection, intraeavemous injection or intraocular injection. Pre - Authorization is required for all Injectable Medications. "Maintenance Medication" is a medication that has been approved by the FDA, for which the duration of therapy can reasonably be expected to exceed one year. "Participating Pharmacy" means a pharmacy (either retail, mail order or specialty pharmacy) that has entered into an agreement with AvMed to provide Prescription Drugs to AvMed Members and has been designated by AvMed as a Participating Pharmacy. "Preferred Medication List" means the listing of preferred medications as determined by AvMed's Pharmacy and Therapeutics Committee based on clinical efficacy, relative safety and cost in comparison to similar medications within a therapeutic class. This multi- tiered list establishes different levels of Co- payment for medications within therapeutic classes. As new medications become available, they may be considered excluded until they have been reviewed by AvMed's Pharmacy and Therapeutics Committee. "Prescription Dmg" means a medication that has been approved by the FDA and that can only be dispensed pursuant to a prescription according to state and federal law. "Pre- Authorization" means the process of obtaining approval for certain Prescription Drags (prior to dispensing) according to AvMed's guidelines. The prescribing physician must obtain approval from AvMed. The list of Prescription Drugs requiring Pre - Authorization is subject to periodic review and modification by AvMed. A copy of the list of medications requiring Pre-Authorization and the applicable criteria are available from Member Services or from the AvMed website. "Self- Administered Injectable Medication" is a medication that has been approved by the FDA for self - injection and is administered by subcutaneous injection or a medication for which there are instructions to the patient for self-injection in the manufacturer's prescribing information (package insert). Pre- Authorization is required for all Self- Administered Injectable Medications. HOW DOES YOUR RETAIL PRESCRIPTION WlItnnut Wunn: To obtain your Prescription Drug, take your prescription to, or have your physician call, an AvMed Participating Pharmacy. Your physician should submit prescriptions for Self- Administered Injectable Drugs to AvMed's specialty pharmacy. Present your prescription along with your AvMed identification card. Pay the following Co- payment (as well as the Brand Additional Charge if you or your physician choose a Brand product when a Generic equivalent is available). Tier 1 Preferred Generic Medications: $ 20.00 Co- payment Tier 2 Preferred Brand Medications: $ 40.00 Co- payment Tier 3 Non - Preferred Brand or Generic Medications: $ 60.00 Co- payment Tier 4 Self - Administered Injectable Medications: $ 75.00 Co- payment Tier 5 Cost - sharing Medications 50% Co- insurance ORDERING YOUR PRESCRIPTIONS THROUGH THE MAIL Mail service is a benefit option for maintenance medications needed for chronic or long -term health conditions. It is best to get an initial prescription filled at your retail pharmacy. Ask your physician for an additional prescription for up to a 90 -day supply of your medication to be ordered through mail service. Up to 3 refills are allowed per prescription. Pay the following Co- payment (as well as the Brand Additional Charge if you or your physician choose a Brand product when a Generic equivalent is available). Tier I Preferred Generic Medications: $ 40.00 Co- payment Tier 2 Preferred Brand Medications: $ 80.00 Co- payment Tier 3 Non - Preferred Brand or Generic Medications: $ 120.00 Co- payment Tier 4 Self- Administered Injectable Medications are not available through mail service Tier 5 Cost- sharing Medications are not available through mail service AV- GI00- RX -2x- 20/40/60/75/50" / OC -07 MP- 3855 (10/07) Prescription Drug Benefits, continued WHAT IS COVERED? • Your Prescription Drug coverage includes outpatient medications (including contraceptives) that require a prescription and are prescribed by your AvMed physician in accordance with AvMed's coverage criteria. AvMed reserves the right to make changes in coverage criteria for covered products and services. Coverage criteria are medical and pharmaceutical protocols used to determine payment of products and services and are based on independent clinical practice guidelines and standards of care established by government agencies and medical/pharmaceutical societies. • Your retail Prescription Drug coverage includes up to a 30 -day supply of a medication for the listed Co- payment. Your prescription may be refilled via retail or mail order after 75% of your previous fill has been used and subject to a maximum of 13 refills per year. You also have the opportunity to obtain a 90 -day supply of medications used for chronic conditions including, but not limited to asthma, cardiovascular disease, and diabetes from the retail pharmacy for the applicable Co- payment per 30 -day supply. However, Pre - Authorization may be required for covered medications. • Your mail -order Prescription Drug coverage includes up to a 90 -day supply of a routine maintenance medication for the listed Co- payment. If the amount of medication is less than a 90-day supply, you will still be charged the listed mail order Co- payment. • Your Self - Administered Injectable Medication coverage extends to many injectable medications approved by the FDA. These medications must be prescribed by a physician and dispensed by a retail or specialty pharmacy. The Co-payment levels for Self - Administered Injectable Medications apply regardless of provider. This means that you are responsible for the appropriate Co- payment whether you receive your Self - Administered Injectable Medication from the pharmacy, at the physician's office or during home health visits. Self- Administered Injectable Medications are limited to a 30 -day supply. • Your Prescription Drug coverage includes coverage for injectable contraceptives. There is a Co- payment of $30 for each injection. If there is an office visit associated with the injection, there will be an additional Co- payment required for the office visit. • Your Tier 5 coverage is limited to Terbinafine (Lamisil®) and Itraconazole (Sporanox®), in oral form, when prescribed by your physician for the treatment of documented fungal infections. Pre - authorization is not required. • Quantity limits are set in accordance with FDA approved prescribing limitations, general practice guidelines supported by medical specialty organizations, and/or evidence-based, statistically valid clinical studies without published conflicting data. This means that a medication - specific quantity limit may apply for medications that have an increased potential for over - utilization or an increased potential for a Member to experience an adverse effect at higher doses. QUESTIONS? Call your AvMed Member Services Department at: 1- 800 -88 -AvMed (1- 800 - 882 -8633) EXCLUSIONS AND LIMITATIONS • Medications which do not require a prescription (i.e. over - the - counter medications) or when a non - prescription alternative is available • Medical supplies, including therapeutic devices, dressings, appliances, and support garments • Replacement Prescription Drug products resulting from a lost, stolen, expired, broken, or destroyed prescription order or refill • Diaphragms and other contraceptive devices • Fertility drugs • Medications or devices for the diagnosis or treatment of sexual dysfunction • Dental- specific Medications for dental purposes, including fluoride medications • Prescription and non- prescription vitamins and minerals except prenatal vitamins • Nutritional supplements • Immunizations • Allergy serums, medications administered by the Attending Physician to treat the acute phase of an illness and chemotherapy for cancer patients are covered in accordance with the Group Medical and Hospital Service Contract and may be subject to Co- payments or Co- insurance as outlined on the Schedule of Benefits • Investigational and experimental drugs (except as required by Florida statute) • Cosmetic products, including, but not limited to, hair growth, skin bleaching, sun damage and and- wrinkle medications • Nicotine suppressants and smoking cessation products and services • Prescription and non - prescription appetite suppressants and products for the purpose of weight loss • Compounded prescriptions, except pediatric preparations • Medications and immunizations for non - business related travel, including Transdermal Scopolamine Filling a prescription at a pharmacy is not a claim for benefits and is not subject to the Claims and Appeals procedures under ERISA. However, any medicines that require Pre - Authorization will be treated as a claim for benefits subject to the Claims and Appeals Procedures, as outlined in the Group Medical and Hospital Service Contract, AV- G100- RX -2x- 20/40/60/75/50 %OC -07 W- 3855(10/07) Ay ED Amendment H E A L T H P L A N S Inpatient Mental Health and Partial Hospitalization Benefits As of the effective date, Inpatient Mental Health and Partial Hospitalization Benefits are being provided for an additional premium. Inpatient treatment of mental /nervous disorders for up to 30 days per patient, subject to a member copayment of $250 per admit, shall be provided by the Plan when a member is admitted to a Participating Hospital or Participating Health Care Facility as a registered bed patient. Partial Hospitalization for mental health services is a Covered Service when it is provided in lieu of inpatient hospitalization and is combined with the inpatient hospital benefit. Two days of Partial Hospitalization will count as one day toward the inpatient Mental Health Benefit subject to member copayment as noted above. AV- G100 -MH/PH -$250 per admit -04 MP -3522 (10/04) MMMED HEALTH PLA fJs Snhstanra Ahuse Benefits Amendment As of the effective date, the following Substance Abuse Benefits have been added for an additional premium. • INPATIENT Inpatient treatment of alcohol and drug abuse is not provided except for acute detoxification. • OUTPATIENT An intensive treatment Program(s) of one or more weeks by Plan Physicians, subject to a member copayment of $50 per week. Coverage is limited to a maximum of six weeks per contract year. AV- SA -R -98 MP- 1527 (1/04) AWAddendum Coverage for Mammograms — Waiver of Co- payment If selected, the following provision is hereby modified for an additional premium: Section 10.28 of the AvMed Health Plans Group Medical and Hospital Service Contract is amended to state: Mammograms are covered in accordance with Florida Statutes: one baseline mammogram is covered for female Members between the ages of 35 and 39; a mammogram is available every two years for female Members between the ages of 40 and 49; and a mammogram is available every year for female Members aged 50 and older. In addition, one or more mammograms a year are available when based upon a physician's recommendation for any woman who is at risk for breast cancer because of a personal or family history of breast cancer, because of having a history of biopsy - proven benign breast disease, because of having a mother, sister, or daughter who has had breast cancer, or because a woman has not given birth before the age of 30. This coverage will not be subject to diagnostic imaging Co- payments. AV- Mammogram -05 MP- 3228 (12/05) AVED Amendment Durable Medical Equipment If selected, the following coverage is hereby modified, for an additional premium. DURABLE MEDICAL EQUIPMENT Benefits are limited to a maximum of $2,000 per contract year *. All other coverage provisions, including co- payment, limitations and exclusions remain as stated in the Certificate of Coverage or Schedule of Co- Payments. *For the treatment of diabetes, coverage for an infusion pump will not apply toward the annual maximum limitation and shall not be subject to the durable medical equipment benefit limitation. AV- G100 -DME- 2000 -R -06 MP -2149 (4 -06) AV�I�IED HEX LTn PLANS Amendment nnmV4ZT1P PARTNER As of the Effective Date, Part IV. ELIGIBILITY, of the Group Medical and Hospital Service Contract is amended by the addition of the following provision: Dependent Eligibility will be added for a Domestic Partner and his or her children. Definition of Domestic Partner. A Domestic Partner means an unmarried adult who: • Cohabits with you in an emotionally committed and affectional relationship that is meant to be of lasting duration; • Is not related by blood or marriage; • Is at least eighteen years of age; • Is mentally competent to consent to a contract; • Has filed a Domestic Partnership agreement or registration with the Employer, if available, in the state (and/or city) of residence; • Has shared financial obligations including basic living expenses for the six month period prior to enrollment in the plan; • Will provide documentation that will be satisfactory to the Employer as evidence of a Domestic Partner relationship; and • Meets the dependents eligibility requirements of the Employer's health benefits plan. AV- DP- 6 -R -02 MP -3149 (1/04) H EA LT rt PLAN$ Amendment F1 MTRIF TFRMINATIGN OF PREGNANCY If selected, the following optional coverage is hereby added: The AvMed Health Plan Group Medical and Hospital Service Contract is amended to state: Elective termination of pregnancy will be a covered benefit if the services provided by an AvMed participating provider in an AvMed participating facility physician copayment of $100.00 in addition to the applicable facility copayment. AV- GI00- ETP -R -97 MP -1321 (1/04) and treatment are . There shall be a