IBM Selects Extend Health to offer Medicare-Eligible Retirees a New Way to Receive Health Care Coverage

Transcription

1 IBM Selects Extend Health to offer Medicare-Eligible Retirees a New Way to Receive Health Care Coverage As of January 1, 2014, IBM will offer Medicareeligible retirees* and their Medicare-eligible dependents** a new approach to health care coverage. Instead of accessing retiree group medical, prescription drug, dental and vision coverage through IBM, retirees will access coverage through individual policies which are approved by the federal Centers for Medicare and Medicaid Services with the support of Extend Health, the country s largest private Medicare Exchange. IBM s current medical and prescription drug coverage (dental and vision coverage as well) offered to Medicare-eligible retirees and their Medicare-eligible dependents will end after December 31, Nearly all of IBM s Medicare-eligible retirees and dependents will be able to obtain quality medical and prescription drug benefits through the Extend Health Medicare Exchange that are equal to or better than what they have today, at the same or lower cost. That s because the Medicare-eligible retiree population is very attractive to insurance companies. The pool of Medicare-eligible individuals in the U.S. is growing at a rate of 10,000 per day and is expected to approach 60 million by The number of insurers and plans has increased significantly in recent years, and competition has led to increasingly better pricing for retirees. Although the advantages of obtaining coverage through a Medicare Exchange like Extend Health are numerous, we know this is a significant change and understand how important health benefits are for you and your family. IBM made this decision after thoroughly reviewing several options for continuing to provide access to comprehensive, quality health care coverage at an affordable cost. We feel confident Extend Health will provide the vast majority of you with plan options of equal or better value and more comprehensive support than you have today. Kyu Rhee, M.D., Chief Health Director, IBM Keep reading this newsletter to learn more about what s changing, what this new approach means to you and the steps to take in the coming weeks. * Throughout this newsletter, the term retiree also includes Medicare-eligible individuals who are: surviving spouses; receiving Medical Disability Income Plan (MDIP) benefits or Long-Term Disability (LTD) Plan benefits; eligible for benefits under the Future Health Account (FHA), the Special Retiree Medical Option (SRMO) and Access-Only. ** Throughout this newsletter, the term dependent includes the following Medicare-eligible individuals to the extent they are eligible dependents under the IBM medical plan: your spouse (regardless of sex); your civil union partner; your domestic partner; your dependent children.

2 Meet Extend Health... 1 Personal, Unbiased Support from Benefit Advisors What is Changing? Group vs. Individual Coverage Who is Affected? You and Your Medicare-Eligible Dependents If Your Dependents are Not Eligible for Medicare Enrolling in Dental and Vision Plans What Choices will You Have?... 6 How Does the Health Reimbursement Arrangement (HRA) Work? Eligible Expenses More Information in December HRA Process Overview Information on Other IBM Benefits... 9 What is Next? Q&A Health Care Coverage for 2014 Steps You Need to Take 1 Read this Announcement Newsletter and the enclosed Getting Started Guide. 2 Call (TTY: 711) at any time to listen to a pre-recorded toll-free conference call hosted by IBM and Extend Health and learn more about the changes to your retiree health care coverage. You may also visit for additional information. 3 Gather your doctor and prescription drug information and write it down in the appropriate section of the Getting Started Guide. Then, call Extend Health toll-free at (TTY: 711) by September 30 to create your personal profile and schedule your enrollment appointment with a benefit advisor. (We encourage you to make your appointment and enroll early in the enrollment period to ensure you receive your new health coverage ID card(s) by January 1, 2014.) 4 Watch for your Enrollment Guide in the mail starting in early October (you should receive it at least one week before your scheduled enrollment appointment), and read it prior to your appointment. For information and personalized assistance, call Extend Health. Licensed benefit advisors are available to talk by telephone at (TTY: 711), from 8 a.m. to 9 p.m. Eastern Time, Monday through Friday. 5 Call Extend Health at your scheduled enrollment appointment time between October 1 and December 31 to enroll in medical, prescription drug, dental and/or vision coverage for Visit B

3 Meet Extend Health IBM has selected Extend Health, the country s largest and most experienced private Medicare Exchange, to provide you with new options for medical, prescription drug, dental and vision coverage. Extend Health: n Has successfully transitioned retirees at more than 250 companies from group to individual health care coverage. This includes 17 of the Fortune 100, as well as employers such as DuPont and General Motors (GM). n Offers access to individual plans from more than 70 of the leading insurance providers, including Aetna, Anthem BlueCross BlueShield, Cigna, CVS Caremark, Humana, MVP and UnitedHealthcare. Personal, Unbiased Support from Benefit Advisors Extend Health has licensed benefit advisors who are trained to help you compare and select coverage based on your medical needs and budget. In recent years, they have helped over 500,000 Medicare-eligible retirees evaluate and enroll in coverage in the individual market. Their compensation is unrelated to the type of plan or insurance company you choose they are there to help you make the best enrollment decision for you. You can call as often as you like and have the option of speaking with the same benefit advisor when you call. An Extend Health benefit advisor will be your partner during the enrollment process and will also provide support after your new coverage takes effect in You can call with questions about how your coverage works, premium payments and claims issues. What is a Private Medicare Exchange? A private Medicare Exchange is an organized marketplace that helps Medicare-eligible persons shop for and purchase individual health care plans that are in addition to their Medicare coverage. All plans offered to you in the exchange are approved by the federal Centers for Medicare and Medicaid Services. Watch this short video to learn more about Medicare Exchanges. Visit understanding-medicare and click on Watch this video on the right-hand side of the screen. 1

4 What is Changing? Effective January 1, 2014, your retiree medical and prescription drug coverage (as well as dental and vision) will be provided through Extend Health. This new approach offers more flexibility and choice, new comprehensive levels of support and, in most cases, equal or better value. It will differ from your current group plan options with IBM in the following ways: 1. You will now have a choice of a number of different individual medical, prescription drug, dental and vision plans. These plans are designed to coordinate with your coverage under Medicare Parts A and B. 2. You will enroll in your choice of plans with the help of Extend Health. An Extend Health benefit advisor will personally assist you and your Medicare-eligible dependent(s) by helping you review the individual plans that are available, and choose and enroll in the plans that meet your medical needs and budget. Please note: You and each of your Medicare-eligible dependents will need to make individual enrollment elections to receive coverage for If you re currently eligible to receive a premium subsidy from IBM, you will continue to receive a contribution from IBM, but it will be in the form of a Health Reimbursement Arrangement (HRA). Retirees participating in an IBM plan option through Access-Only or the Special Retiree Medical Option are not eligible for an HRA contribution. The HRA will be set up in your name and administered by Extend Health. The amounts in your HRA are taxfree and can be used to reimburse yourself for health care premiums and eligible out-of-pocket expenses, including deductibles, co-pays and coinsurance. Your HRA contribution will be communicated to you starting in early October, based on your enrollment appointment with Extend Health. Please note: You must enroll in a medical plan through Extend Health to receive an HRA contribution The way you pay your premiums will change. With your new individual coverage, payment must be made directly to the insurance carriers of the plans you elect. If there are premiums for the coverage in which you enroll, they can no longer be deducted from your pension check. Also, depending on the coverage in which you enroll, you may be sending premium payments to more than one insurance carrier. You can speak with a benefit advisor about automatic payment of your premiums from your bank account. Keep in mind, you can be reimbursed for eligible premiums from your HRA, if eligible. 5. The resource you contact for questions will change. Extend Health is your primary contact for information, enrollment and ongoing support related to your retiree health care coverage for 2014 and beyond. You can contact Extend Health toll-free at (TTY: 711), from 8 a.m. to 9 p.m. Eastern Time, Monday through Friday, to speak with a benefit advisor. You can also visit at any time. Action Required: Enroll by December 31 Your post-65 retiree health care coverage under the IBM group plan options will end after December 31, You are not required to enroll in individual coverage through Extend Health, but if you do not make an enrollment election through Extend Health by December 31, 2013, you will not have medical, prescription drug, dental and vision coverage through Extend Health. In order to receive an HRA contribution from IBM, you must enroll in medical coverage through Extend Health. Important note: If you currently participate in an IBM plan option through Access-Only, and you do not enroll in coverage through Extend Health for 2014, you will not be able to enroll in future years.

5 Group vs. Individual Coverage Your current IBM health plan options are group coverage. The cost you pay for coverage your premium is based on several factors, including the benefit amounts the plans pay out each year. The plans available through Extend Health are individual coverage that is, policies that insurance companies sell directly to individuals, rather than to companies like IBM. Each year, millions of Medicare-eligible individuals enroll in individual plans. This means the insurance companies can spread the risk across more people and, as a result, offer individual plans that are comparable to group plans but at a lower cost. The Extend Health Medicare Exchange offers access to individual plans from more than 70 of the leading insurance providers, including Aetna, Anthem BlueCross BlueShield, Cigna, CVS Caremark, Humana, MVP and UnitedHealthcare. IBM is making a Medicare Exchange available to you because the rising cost of health care under the current group model is not sustainable for you. In fact, we project that health care costs under the current IBM Medicare-eligible retiree plan options will nearly triple by 2020, largely impacting the premiums and out-of-pocket costs that you pay. This is one of the main reasons (in addition to the benefits an exchange offers, such as increased choice and flexibility) that hundreds of companies have already transitioned their Medicare-eligible retirees to an exchange. What s New and Different? You will have access to individual medical, prescription drug, dental and vision plans instead of the group coverage you have today. If you currently are eligible to receive a premium subsidy from IBM, you will continue to receive a contribution in the form of an HRA. Eligible retirees will receive an annual contribution to a tax-advantaged Health Reimbursement Arrangement (HRA). Retirees in the Future Health Account (FHA) will have their account balance transferred to an HRA. The vast majority of retirees will have more choices in plans, insurance carriers, and cost-sharing arrangements than they have today. 3

6 Who is Affected? If You will Reach Age 65 between Now and December 31 If you will reach age 65 between now and December 31, 2013, you will receive an IBM enrollment kit three months before you turn age 65 (you may have already received this) and must enroll in IBM retiree group medical and prescription drug coverage in order to have coverage through the end of this year. Your IBM retiree group coverage will end after December 31. By the end of October, you will also receive communications from Extend Health. You must contact an Extend Health benefit advisor to evaluate your options and enroll in individual coverage by December 31, 2013 in order to have coverage effective January 1, You and Your Medicare-Eligible Dependents The change to individual coverage affects Medicare-eligible retirees and their Medicareeligible dependents. If you fall into one of these categories, you must take action and enroll in an individual medical and/or prescription drug plan (dental and vision as well if you want that coverage) by December 31, 2013 to have coverage in n You and your dependents must each enroll separately in the plans in which you want to be covered. n You and your dependents do not need to enroll in the same plans. You can each choose the plans that best meet your medical, prescription drug, dental and/or vision needs. One of the benefits of a Medicare Exchange is that you and your dependents can choose separate plans to meet each of your individual health needs, rather than being required to enroll in the same plan option, as you are today through IBM s plan. That flexibility can reduce your overall cost if you or one of your dependents has different medical needs than the other. You are guaranteed coverage in one of the medical plans available to you, regardless of your current medical conditions, provided you enroll by December 31, Your health status will not affect the rate you pay. Tip from Dr. Kyu Rhee, M.D., Chief Health Director, IBM I don t want you to spend more than you need for your coverage or be overinsured. I strongly encourage you to talk to your benefit advisor about the differences in plans especially between Medigap and Medicare Advantage plans. 4

7 If Your Dependents are Not Eligible for Medicare The changes described in this communication will not apply to dependents who meet the definition of an eligible dependent under the IBM medical plan and who are not yet Medicare-eligible. n Any eligible dependents who are under age 65 and not yet Medicare-eligible will not be able to elect coverage through Extend Health. Instead, these dependents may enroll in health care coverage through IBM s non-medicare retiree plan options. You can expect to receive a separate IBM enrollment kit later this year. n Once your dependents become eligible for Medicare, they must enroll in Medicare Parts A and B, and will have access to individual plans and enrollment support through Extend Health. Enrolling in Dental and Vision Plans IBM group dental and vision plan options will also end after December 31, 2013 for Medicare-eligible retirees and their Medicare-eligible dependents. You have the opportunity to enroll in dental and vision plans through Extend Health. Talk to an Extend Health benefit advisor for more information. Tip from Dr. Kyu Rhee, M.D., Chief Health Director, IBM Make a list of the medications you take and doctors you see and estimate how often you visit these doctors throughout the year. Make sure you list your primary care physician, who is the doctor that oversees all your medical care. If you don t currently have a primary care physician, your benefit advisor can provide the names of primary care doctors in your area who participate in the plans in which you are interested. In addition, you should talk to your doctor and benefit advisor about changing your brand-name medications to generic-equivalent medications. Generic-equivalent medications have the same clinical effectiveness as brand-name medications, but generally cost less. Talking with your benefit advisor during this transition will put you on the right path to choosing a plan that will best meet your needs. 5

8 What Choices will You Have? The individual medical and prescription drug plan(s) you enroll in through Extend Health will complement your Medicare coverage starting January 1, When selecting an individual plan from the Medicare marketplace, you will have a choice of the following types of plans: Medicare Advantage (Medicare Part C) Plans, which are all-in-one plans that bundle your Part A, Part B and prescription drug coverage together with additional benefits. (You will still need to pay your Part B premium.) These plans provide coverage for your doctor visits, hospital stays, and prescription drug expenses. Medicare Advantage plan options vary depending on where you live. These plans generally have lower monthly premiums than Medicare Supplemental Insurance Plans. With these plans, you will have coverage for doctors and hospitals that accept Medicare, as long as they participate in the plan s network. Talk with your benefit advisor to find plans that include your doctors. OR Medicare Supplemental Insurance Plans (also known as Medigap Plans), which help pay some or all of the medical costs not covered by Medicare Parts A and B, such as coinsurance, deductibles and co-pays. These plans generally have higher monthly premiums than most Medicare Advantage Plans. With these plans, you must maintain coverage through Medicare Parts A and B, and you will have coverage for all doctors and hospitals that accept Medicare. AND/OR Medicare Part D Plans, which cover a portion of your prescription drug costs. Important Note: If you are not currently participating in Medicare Part B, you will need to enroll before you can elect medical coverage through Extend Health. If you re in this category, contact Extend Health at (TTY: 711), from 8 a.m. to 9 p.m. Eastern Time, Monday through Friday. You can also learn more at Part D Premium Surcharge Your monthly premium for Medicare Part D prescription drug coverage (under a Medicare Part D Prescription Drug Plan or a Medicare Advantage Plan with prescription drug coverage) is based on your income. If your modified adjusted gross income as reported on your IRS tax return from two years ago (the most recent tax return information provided to Social Security by the IRS) is more than $85,000 (individuals and married individuals filing separately) or $170,000 (married individuals filing jointly), you will pay a premium surcharge for your Medicare prescription drug coverage. If you are affected, you ll be notified by Social Security, and the surcharge will automatically be deducted from your Social Security check. 6

9 How Does the Health Reimbursement Arrangement (HRA) Work? A Health Reimbursement Arrangement (HRA) is an employer-provided account that will be established by IBM for eligible retirees who elect coverage in a medical plan through Extend Health (certain exceptions apply). You are eligible if you receive a premium subsidy or have a Future Health Account (FHA) from IBM currently, and you enroll in an individual medical plan (some exceptions apply) through Extend Health. You can use amounts in your HRA to reimburse yourself for health care premiums and other eligible out-of-pocket expenses incurred beginning January 1, Extend Health will manage your HRA account. Please note: Retirees participating in an IBM plan through Access-Only or the Special Retiree Medical Option and who do not receive subsidized IBM coverage today are not eligible for an HRA contribution from IBM. Here s how the HRA works: n Once you work with Extend Health to select and enroll in an individual medical plan, Extend Health will automatically set up your individual HRA. n IBM s HRA contribution will vary based on your eligibility and will be communicated to you starting in early October, based on your enrollment appointment with Extend Health. n Based on federal law, only IBM can fund your HRA. You cannot legally contribute your own money to the HRA. n You can use the amounts in your HRA to pay a variety of eligible expenses, including medical, prescription drug, dental and vision premiums for plans you enroll in through Extend Health. You will pay your premiums and then submit a claim to Extend Health who will reimburse you from your HRA. Depending on the plans you choose, you may be sending payments to more than one insurance carrier (for example, you may have a separate medical plan, separate prescription drug plan and separate dental plan). n The HRA represents IBM s annual contribution to your health care costs, and will not roll over year to year. Any balance at the end of the calendar year will be forfeited. n For retirees with an FHA, your FHA balance will be transferred into a new HRA and will roll over year to year until it is depleted. FHA participants will not receive an annual contribution to their HRA. Eligible Expenses You can use your HRA to reimburse yourself and your eligible dependents (as long as they also elect coverage in a medical plan through Extend Health) for the following expenses in a given year: n Premiums for individual Medicare supplemental insurance, such as Medicare Advantage, Medigap and prescription drug plans that you enroll in through Extend Health n Unreimbursed premiums for Medicare Part B n Premiums for dental and vision plans n Out-of-pocket expenses, including deductibles, coinsurance and co-pays for medical, prescription drug, dental and vision plans. More Information in December You will receive an HRA Guide from Extend Health in December that will tell you how to access and manage your HRA account and provide you with information about how to make claims for reimbursement. 7

10 HRA Process Overview Setting up an HRA October 1 December 31, 2013 Select a medical plan through Extend Health. Extend Health opens your HRA. Funding your HRA January 1, 2014 Retirees Receiving a Subsidy Today IBM makes an annual contribution to your HRA. FHA Retirees Your 12/31/13 FHA balance is transferred to your HRA. Using your HRA January 1 December 31, 2014 You pay premiums and out-of-pocket expenses directly. Then submit claims for eligible expenses. You have a choice for reimbursement from your HRA: Option 1: Auto-Reimbursement (for premiums only): Extend Health processes your claims electronically. Option 2: Manual Reimbursement (for premiums and out-of-pocket expenses): You submit paper claims to Extend Health. You receive reimbursement (within 1 week if using auto-reimbursement*, within 2 weeks if using manual reimbursement). Your HRA at Year-End December 31, 2014 Retirees Receiving a Subsidy Today Any amounts remaining on 12/31/14 will be forfeited. IBM will make a new contribution to your account on 1/1/15. FHA Retirees Any amounts remaining on 12/31/14 will roll over. Your account balance will be indexed (similar to receiving interest credits). * There may be a six to eight week delay following your effective date of coverage (January 1, 2014) before an auto-reimbursement process begins. If you want to receive your first reimbursement sooner, you can submit a claim directly to Extend Health (Option 2 above) until auto-reimbursement begins. Please talk to a benefit advisor for more information. 8

11 Information on Other IBM Benefits Certain benefits will continue to be available directly through IBM (where applicable, based on your eligibility), including: n Group Life Insurance n Special Care for Children Assistance Plan n Special Health Assistance Provision n Medicare Part B Reimbursement n Life Planning Account Please continue to contact the IBM Employee Services Center at (TTY: ) for any issue regarding the benefits listed above and any questions related to your 2013 health benefits coverage. 9

12 What is Next? The enrollment period for electing new individual health care coverage begins October 1 and ends December 31, The table below outlines what you can expect, and the actions you need to take before December 31. When What Action You Need to Take Now through September 30, 2013 Now through December 31, 2013 October through December 31, 2013 n Read the enclosed Getting Started Guide. n Gather your personal information, such as your current doctors, prescription drugs, etc., and write it down in the appropriate section of the Getting Started Guide. n Call Extend Health toll-free at (TTY: 711), from 8 a.m. to 9 p.m. Eastern Time, Monday through Friday, to review your personal information and schedule an enrollment appointment with a benefit advisor. You can also visit for additional information. n Call (TTY: 711) to listen to a pre-recorded toll-free conference call hosted by IBM and Extend Health and learn more about the changes to your retiree health care coverage. You may also visit for additional information. n Review the Enrollment Guide (mailed to your home starting in early October). n Call Extend Health at your scheduled appointment time to enroll in individual health care plans. Other Important Dates December 31, 2013 Your group coverage through IBM will end. January 1, 2014 The individual coverage you elect through Extend Health takes effect. Ongoing Enjoy the ongoing support of Extend Health. Contact a benefit advisor with any questions or needs you may have. 10

13 Q&A Q1. Why is IBM transitioning Medicare-eligible retirees to Extend Health? The Extend Health Medicare Exchange will offer you many benefits (such as increased choice and flexibility in plan options) that are not available in the group plan options that IBM offers today. This is one of the many reasons that hundreds of companies have already transitioned their Medicare-eligible retirees to individual insurance plans offered through a Medicare Exchange. IBM selected Extend Health because of its deep expertise and proven record of supporting more than 500,000 Medicare-eligible retirees in transitioning from group to individual coverage. Another reason IBM is making a Medicare Exchange available to you is because cost increases under IBM s current retiree group health care plan options are no longer sustainable for you. In fact, IBM projects that health care costs under IBM s current plan options for Medicare-eligible retirees will nearly triple by 2020, significantly impacting your premiums and out-of-pocket costs. Medicare Exchanges are able to provide better value than group plans because each year millions of Medicare-eligible people enroll in individual plans. This means the insurance companies can spread the risk across more people and, as a result, offer individual plans that provide benefits comparable to or better than group plans, but at a lower cost. Q2. How will this affect my health care costs? Will I see an increase in my out-of-pocket expenses? For the vast majority of IBM retirees, transitioning to the Extend Health Medicare Exchange will mean more plan options to choose from at affordable premiums. In fact, based on IBM s analysis, nearly all our retirees will be able to enroll in medical and prescription drug plans that are of equal or better value than the plan options IBM currently offers. In addition, to help with your premium and out-of-pocket costs, IBM will contribute annually to a new Health Reimbursement Arrangement (HRA) for those retirees who are currently eligible for subsidized IBM group coverage. The HRA is a new, tax-free account that you can use to pay eligible premiums and out-of-pocket health care costs each year, including deductibles, co-pays and coinsurance. All in all, this new approach will help your dollars go further when you purchase health care. Q3. Is IBM contributing to my Health Reimbursement Arrangement? IBM will contribute annually to an HRA for those retirees who are currently eligible for subsidized IBM group coverage and who enroll in a medical plan through Extend Health. The HRA is a new, tax-free account that you can use to pay eligible premiums and out-of-pocket health care costs each year, including deductibles, co-pays and coinsurance. IBM will communicate your personal HRA contribution amount starting in early October, based on your enrollment appointment with Extend Health. Please note: FHA retirees will have their December 31, 2013 account balances transferred to an HRA. Other retirees who participate in an IBM group plan option through Access-Only or the Special Retiree Medical Option and who do not receive subsidized IBM coverage today will not be eligible for an HRA contribution from IBM. 11

14 Q4. What is IBM s role with retirees during and after the transition to Extend Health? IBM is working closely with Extend Health to ensure you have the support you need during and after enrollment. Extend Health will become your primary contact throughout the transition for information and enrollment, and will provide ongoing support not only for the transition, but for 2014 and beyond. IBM will no longer provide this support through the IBM Employee Services Center, as we have in the past. Q5. Is this exchange part of the exchanges being set up by the government as a result of Health Care Reform? No. Extend Health is a private Medicare Exchange that was founded in 2004 and is not affiliated in any way with the government s public exchanges. Q6. What happens if my Medicare-eligible dependents and I do not enroll in coverage by December 31, 2013? If you do not enroll in medical, prescription drug, dental and/or vision coverage by December 31, 2013, you will not have coverage effective January 1, Depending on the option(s) you choose, you may be able to enroll in individual coverage on or after January 1, 2014, but you may experience a gap in coverage between January 1 and the date on which you later enroll. You may also be subject to late enrollment penalties in the form of higher premiums and/or a reduced number of options. In addition: n If you do not enroll in coverage that takes effect on January 1, 2014, and later decide to enroll in individual Medigap coverage, you may be subject to pre-existing condition limits or exclusions or may not be eligible for any of these plans due to certain medical conditions. Medicare Advantage and Medicare Part D plans cannot apply pre-existing condition limits or exclusions. n If you are eligible for an HRA contribution from IBM, but do not enroll in a medical plan through Extend Health by December 31, 2013, you will not have an HRA for n If you currently participate in an IBM plan through Access-Only and you do not enroll in coverage through Extend Health for 2014, you will not be able to enroll in future years. 12

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16 The process of engaging with Extend Heath s benefit advisors, and the health plans available through the Extend Health Medicare Exchange, are not part of the IBM Benefits Plan for Retired Employees (Plan). Only the Health Reimbursement Arrangement (HRA) is part of the Plan. Complete details of the HRA can be found in the formal plan documents, which are the complete and exclusive statement of the company s obligations under the Plan. The official Plan documents shall govern in the event of a conflict between information contained in these or other documents and statements. The Plan Administrator retains exclusive authority and discretion to interpret the terms of the HRA under the Plan. The company reserves the right, in its sole discretion, to amend, change, suspend, or terminate any benefit or other plan, program, practice or policy of the company, at any time. The company does not have any obligation to, and nothing contained in these materials shall be construed as creating an express or implied obligation or promise on the part of the company to, maintain, continue to offer, or make available such plans, programs, practices or policies. Eligibility to participate in a plan or program or receipt of benefits does not constitute a promise or right of continued employment or render any person an employee of IBM or constitute any commitment by IBM to continue any plan or benefit. IBM and its affiliated companies (i) are not responsible for the advice provided by Extend Health s benefit advisors, (ii) do not endorse any health plan available on the Extend Health Medicare Exchange, and (iii) do not represent or warrant the quality of the care provided by any providers. The decision to (i) accept the advice provided by Extend Health s benefit advisors, (ii) choose any health plan, or (iii) use any provider, is your responsibility. Third party trademarks and service marks are the property of their respective owners. August 2013