Welfare Notes - January 2009

January, 2009

Dear Participant: We are pleased to present SUP Welfare Plan's Summary Plan Description describing the benefits provided by the SUP Welfare Plan. The Plan was established in accordance with Collective Bargaining Agreements between the Sailors' Union of the Pacific and participating employers.

The Plan Description furnishes a brief description of the benefits to which you and your family are entitled, the rules governing these benefits, and the procedures that should be followed when making a claim. This booklet includes certain information concerning the administration of the Plan as required by the Employee Retirement Income Security Act of 1974. We urge you and your family to read this booklet thoroughly so that you will be familiar with the benefits of the Plan. We are pleased to present this booklet describing the benefits provided by the SUP Welfare Plan.


To Do List Before Retirement

Check with the Pension Department on your pension status and the Welfare Plan Office on your coverage.\Your active medical and dental coverage will terminate when you retire.  As an example, if your shipping time has given you active plan eligibility through November 2009 and you retire effective May 1, 2009, your active eligibility terminates May 1, 2009.

If you are 65 years old or older, you should already be enrolled for Medicare Part A.  Medicare Part A covers in-patient hospitalizations after a deductible.

Since active plan coverage will terminate when you retire, you should also visit the Social Security/Medicare office to inquire about Medicare Part B and Medicare Part D coverage.  The Plan Office will help you complete forms for your enrollment.    

Medicare Part B covers Medicare eligible physician services, outpatient hospital services, certain home health services, and durable medical equipment.     

Medicare Part D is the Medicare Prescription Drug Plan.  Medicare can advise you of the plans available and the cost. 

The cost of the Medicare Part B premium (currently $96.40 per month) is reimbursed to Pensioners on their pension check.  The amount of the Medicare Part B premium is then deducted from the Pensioners’ Annual Allowance.       

The cost of the Medicare Part D premium and cost of co-payments for medical services covered by Medicare Part B and prescription co-payments covered by Medicare Part D can be submitted as claims to the Pensioners Annual Allowance.     

If your spouse is not eligible for Medicare or you have other dependents, you will need to inquire about other health care options available for them when your active coverage terminates.  It would also be in your best interest to inquire about additional supplemental plans for yourself. 

Michelle Chang, Administrator  
Patty Martin  
Virginia Briggs, Claims   
Michael Jacyna, Eligibility