2015 INCENTIVE
& REWARD
PROGRAM GUIDE EXELISPOWEROFYOU.COM
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Contents Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Why do we have an incentive program?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 What is the difference between incentives and rewards?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Who is eligible to participate?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 When can I earn incentives?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 What if I’m a new hire?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 What’s the most I can earn?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 How do I earn rewards?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 How do I earn incentives? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 The Virgin Pulse Program. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Earning HealthMiles . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Health Coaching Programs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Preventive Health Programs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Healthy Pregnancies, Healthy Babies Program. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Are all of the wellness program components free?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Do I have to participate? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 How do I get my incentive dollars?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 How can I use my incentive dollars?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 How can I check on the status of my incentives/rewards? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 What’s the difference between the Health Savings Account and the Health Account?. . . . . . . . . . . . . . . . . 9 Can I roll over unused incentive dollars from year to year?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 What if I change coverage levels in the middle of the year? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 What if I terminate employment? Can I take my incentive money with me? . . . . . . . . . . . . . . . . . . . . . . . . 10 Waiver. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Introduction Exelis is powering our success through our people. With the use of incentive dollars and rewards, we hope to motivate you to participate in the programs available so you can be at your best. At the end of the day, it’s all about the Power of YOU, but we’re here to support you every step of the way.
Why do we have an incentive program? We want you to be healthy and participate in healthy actions. And, money talks, so we’re using it as a motivator to get you engaged in your health.
What is the difference between incentives and rewards? Incentives refer to money that is deposited into either a Health Account or Health Savings Account (HSA) linked to your Cigna® health plan. Only Cigna members can earn incentives. Rewards are gift cards and other prizes that you have the chance to win by participating in the wellness program. Generally, all employees and their spouses/domestic partners are eligible to earn rewards, regardless of their participation in the Cigna plan.
Who is eligible to participate? Generally, all employees and their spouses/domestic partners are eligible to participate in the wellness program and earn rewards (gift cards and prizes). However, only employees and their spouses/domestic partners enrolled in the Cigna health plan are eligible to earn incentive dollars that can be used toward eligible medical expenses.
When can I earn incentives? Eligible employees and their spouses/domestic partners can participate in activities to earn 2015 incentive dollars starting September 2014. You’ll have until August 31, 2015, to earn 2015 incentive dollars.
What if I’m a new hire? If you just came on board to Exelis, you have until August 31, 2015, to earn 2015 incentives. Your ability to start participating in activities to earn incentives begins as soon as administratively possible after your date of hire.
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What’s the most I can earn? Your coverage level determines your annual earnings. Each eligible individual can earn a maximum of $400 (except those enrolled at the “Employee + Child(ren)” level, which includes an $800 maximum). In other words, if you and your spouse are enrolled, you each have to complete enough healthy actions to earn $400. No, you can’t make your spouse do all of the work!
Maximum Annual Incentive Amount That Can Be Earned Employee Only
Employee + Spouse/ Domestic Partner
Employee + Child(ren)*
Family
Employee
$400
$400
$800
$400
Spouse/Domestic Partner
N/A
$400
N/A
$400
Total/Maximum Amount That Can Be Earned
$400
$800
$800
$800
*Children are not eligible to earn incentives. To ensure all members have the opportunity to earn an equitable amount of incentive money, employees enrolled at the “Employee + Child(ren)” coverage level will have their dollars doubled.
How do I earn rewards? Both Cigna-enrolled and non-Cigna-enrolled employees and their spouses/domestic partners can earn rewards by participating in various wellness activities. For 2014/2015, the Virgin Pulse program will run quarterly, which means you have more chances to win—up to five entries per quarter! Raffles will be held December 2014, March 2015, June 2015 and September 2015, and the more you do, the more entries you can earn. Completion of each of the below activities will earn you one raffle entry. Raffle entries are cumulative and carry over into future raffle drawings. •
Completion of the Personal Health Assessment
•
Participation in a Biometric Screening
•
Completion of the Privacy Module
•
Completion of a Cigna Coaching Program (includes Tobacco Cessation Program)
• Completion of the Healthy Pregnancy, Healthy Babies Program • Completion of a Lifestyle Management Coaching Program through LiveHealthier Each quarter, one ticket is earned for: •
Reaching Level 1 of the Virgin Pulse Program
•
Reaching Level 4 of the Virgin Pulse Program
•
Reaching Level 2 of the Virgin Pulse Program
•
Reaching Level 5 of the Virgin Pulse Program
•
Reaching Level 3 of the Virgin Pulse Program
How do I earn incentives? The first step toward earning incentive dollars is to complete three core activities: •
Personal Health Assessment
•
Biometric Screening
•
Privacy Module
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Once you complete these three core activities, you’re eligible for a payout of additional incentive dollars, Power Up dollars, by participating in any of the below activities: •
Virgin Pulse Program
•
Treatment Decision Support
•
Health Coaching
•
Annual Exam
•
Tobacco Cessation Program
•
Preventive Exam
•
Maternity Management Program (Healthy Pregnancies, Healthy Babies)
•
Flu Shot
•
Dental Exam
While you can work on completing your core activities concurrently with your Power Up dollar activities, and we encourage you to do so, you won’t be paid out for Power Up dollar activities until you complete the three core activities. The following chart (Steps 1, 2 and 3) provides additional details on what you need to do to earn incentives for 2015.
Step 1: Complete three core activities. Core Activities = $150 for individuals/$300 for families Activity
Criteria
Personal Health Assessment (PHA)
Complete the PHA
Biometric Screening
Complete either an onsite or offsite Biometric Screening
Privacy Module
Payout by Tier EE Only
EE + Sp/Dp
EE + Child(ren)
EE + Family
$150
$150 for EE and $150 for Sp/Dp
$300 for EE
$150 for EE and $150 for Sp/Dp
Complete the Privacy Module
EE=Employee Sp/Dp=Spouse/Domestic partner
Step 2: Earn Power Up dollars. YOU choose which activities you want to complete. Power Up dollars: Capped at $250 for individuals/$500 for families Activity
Criteria
Participation in Virgin Pulse (There are four earning opportunities per year. The program resets each quarter, and you are paid the amount listed based on the number of HealthMiles you uploaded for that quarter. Amounts are NOT cumulative per quarter).
Health Coaching
Healthy Pregnancies, Healthy Babies
Treatment Decision Support
Payout by Tier EE Only
EE + Sp/Dp
EE + Child(ren)
EE + Family
4,000–4,999 HealthMiles
$25
$25 for EE and $25 for Sp/Dp
$50 for EE
$25 for EE and $25 for Sp/Dp
5,000–5,999 HealthMiles
$50
$50 for EE and $50 for Sp/Dp
$100 for EE
$50 for EE and $50 for Sp/Dp
6,000–7,999 HealthMiles
$75
$75 for EE and $75 for Sp/Dp
$150 for EE
$75 for EE and $75 for Sp/Dp
8,000+ HealthMiles
$100
$100 for EE and $100 for Sp/Dp
$200 for EE
$100 for EE and $100 for Sp/Dp
1. Enrollment call 2. Completion of four calls 3. Completion of health goal
$150
$150 for EE and $150 for Sp/Dp
$300 for EE
$150 for EE and $150 for Sp/Dp
Enrollment during first trimester and completion of program
$150
$150 for EE and $150 for Sp/Dp
$300 for EE
$150 for EE and $150 for Sp/Dp
Enrollment during second trimester and completion of program
$75
$75 for EE and $75 for Sp/Dp
$150 for EE
$75 for EE and $75 for Sp/Dp
Completion of program
$150
$150 for EE and $150 for Sp/Dp
$300 for EE
$150 for EE and $150 for Sp/Dp
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Power Up dollars: Capped at $250 for individuals/$500 for families Activity
Criteria
Payout by Tier EE Only
EE + Sp/Dp
EE + Child(ren)
EE + Family
$300 for EE
$150 for EE and $150 for Sp/Dp
Tobacco Cessation
Completion of program
$150
$150 for EE and $150 for Sp/Dp
Annual Exam
Completion of exam
$50
$50 for EE and $50 for Sp/Dp
$100 for EE
$50 for EE and $50 for Sp/Dp
Preventive Exam
Completion of exam
$50
$50 for EE and $50 for Sp/Dp
$100 for EE
$50 for EE and $50 for Sp/Dp
Flu Shot
Receive flu shot
$25
$25 for EE and $25 for Sp/Dp
$25 for EE
$25 for EE and $25 for Sp/Dp
Dental Exam
Completion of exam
$50
$50 for EE and $50 for Sp/Dp
$100 for EE
$50 for EE and $50 for Sp/Dp
EE=Employee Sp/Dp=Spouse/Domestic partner
Step 3: Receive your incentive. Incentive dollars will be deposited into an account that’s attached to your Cigna medical plan, and you can use the dollars toward your 2015 eligible medical expenses. Generally, it will take up to six weeks after you complete a healthy activity for the money to show up in your Health Savings Account (HSA) or Health Account. Activities completed in the fourth quarter of 2014 won’t be paid out until 2015. Payout for participation in the Virgin Pulse program is done quarterly, not as you reach each level. There are four upload deadlines during the incentive year. Payout will be done several weeks after each of these deadlines and will be based on the number of HealthMiles you’ve earned as of that date. •
December 1, 2014, at 11:59 p.m.
•
February 27, 2015, at 11:59 p.m.
•
June 1, 2015, at 11:59 p.m.
•
September 3, 2015, at 11:59 p.m.
Exelis makes no guarantees on when incentive dollars will be deposited into your account. Furthermore, Exelis will not authorize exceptions to be made to have claims re-processed to use incentive dollars that were not available when a claim was initially submitted for payment.
The Virgin Pulse Program The Virgin Pulse program is now a quarterly program. While the program never stops, the levels reset each quarter. Below are the levels and incentive-earning opportunities for each quarter: Levels
HealthMiles
Quarterly Earning Opportunity (note your earning potential is capped at $250 for the year for this activity)
Level 1
0–3,999
$0
Level 2
4,000–4,999
$25
Level 3
5,000–5,999
$50
Level 4
6,000–7,900
$75
Level 5
8,000 and over
$100
The amount you can earn each quarter is based on the level you reach in that quarter. Amounts are not cumulative. For example, if you reach Level 3, you will earn $50. Your earning potential is capped at $250 for the year for this activity.
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The quarterly schedule for the program is as follows: Quarter
Schedule
One
9/4/14 – 12/1/14
Two
12/2/14 – 2/27/15
Three
2/28/15 – 6/1/15
Four
6/2/15 – 9/3/15
IMPORTANT: You must upload by the last day of the quarter for all HealthMiles earned during that quarter to count. HealthMiles do not carry over from quarter to quarter. There is no grace period for uploading. Once the last day of the quarter is over, the levels reset and start over. Earning HealthMiles
Earning HealthMiles To earn HealthMiles, wear your Max (activity tracker) or other compatible Virgin activity-tracking device every day to track all of your activity. You can earn a total of 100 HealthMiles per day based on the number of steps or “active minutes” you upload to the website. Active minutes are considered a more intense activity—on a treadmill, an active minute would equate to moving 4.3 MPH or more for one minute. However, you don’t have to be a runner to rack up the HealthMiles. Just about any kind of activity you do will register on your tracking device and earn you HealthMiles. Activity
HealthMiles per day (100 maximum)
1–6,999 steps or less than 15 Active Minutes
20 HealthMiles
7,000–11,999 steps or 15–29 Active Minutes
60 HealthMiles
12,000–19,999 steps or 30–44 Active Minutes
80 HealthMiles
20,000+ steps or 45 Active Minutes
100 HealthMiles
Activity Journal Entries
10 HealthMiles per entry – 2x/day
You can also earn bonus HealthMiles on top of the 100 max/day by doing the following: •
Participating in Virgin/Exelis-sponsored events/challenges–the amount of HealthMiles varies
•
Setting up your own personal challenge–500 HealthMiles (limit one time per year)
•
Logging in to the Virgin Pulse portal–10 HealthMiles per visit (max two times per week)
Health Coaching Programs A variety of Health Coaching by Phone programs are available to address lifestyle management concerns and chronic conditions. Below is a list of programs available. Health Coaching Programs (through our partnership with LiveHealthier) Stress Management
Weight
Nutrition
High Blood Pressure
Exercise
High Cholesterol
Chronic Condition Management Programs (through our partnership with Cigna): Heart Disease (CAD, Heart Failure, Angina, Acute Myocardial Infarction)
Asthma
Osteoarthritis
Diabetes Mellitus Type 1 and Type 2
Metabolic Syndrome/Weight Complications
Chronic Obstructive Pulmonary Disease (COPD), Including Emphysema and Chronic Bronchitis
Depression (Anxiety, Bi-Polar Disorder)
Low Back Pain
Peripheral Arterial Disease
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Preventive Health Programs The 2014/2015 incentive program now gives you more opportunities to be paid/rewarded for staying on top of your health. You can earn rewards/incentives for participating in preventive health exams, which include the following: Preventive Health Exam
Incentive
Annual Physical
$50
ONE of the Following Preventive Screenings: • Mammogram • Pap • Colonoscopy
$50
Flu Shot
$25
Dental Exam (one per year)
$50
To qualify to earn an incentive for participating in the above, you must submit a self-attestation form to LiveHealthier for validation via the LiveHealthier portal at thePowerofYOU.livehealthier.com.
Healthy Pregnancies, Healthy Babies Program Pregnant women are eligible to earn an incentive by enrolling in and completing the maternity management program through Cigna called Healthy Pregnancies, Healthy Babies. The program has been modified this year to encourage enrollment during the first trimester. Trimester YOU Enroll in the Program
Incentive
Enroll during your first trimester and complete the program
$150
Enroll during your second trimester and complete the program
$75
Enroll during your third trimester
$0
Are all of the wellness program components free? Yes, all of the wellness program components are free. Exelis not only pays for the program, we’ll also pay you to participate. You can’t lose.
Do I have to participate? No, participation in the incentive program is voluntary—it’s your choice.
How do I get my incentive dollars? Your incentive dollars will be deposited into a Health Savings Account (HSA) if you’re enrolled in the Exelis Health Savings Plan, or a Health Account if you’re enrolled in the Exelis Health Plan.
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How can I use my incentive dollars? It depends on the plan you’re enrolled in: Exelis Health Savings Plan—Incentives are deposited into your Health Savings Account (HSA). YOU choose how to spend this money (on eligible medical/drug expenses) or save and invest it. For a full list of eligible expenses, go to http://www.irs.gov/pub/irs-pdf/p502.pdf. Exelis Health Plan—Incentives are deposited into a Health Account. Money is used automatically to pay for eligible medical expenses that count toward your deductible and coinsurance. You do nothing.
How can I check on the status of my incentives/rewards? To see which activities you’ve been given credit for completing, log in to your Wellness Bank on the LiveHealthier portal—thePowerofYOU.livehealthier.com. To access your HSA or Health Account and track your actual incentive money balance and usage, log in to the Cigna website—myCigna.com.
What’s the difference between the Health Savings Account and the Health Account? There are several differences between the two types of accounts that come with the 2014/2015 medical plans. Here are the five things you should know: Exelis Health Savings Plan With HSA
Exelis Health Plan With Health Account
Who owns the money in the account?
You do. Any money in the account is yours, even if you leave Exelis. You can treat it as a tax-free savings vehicle for future healthcare expenses, including during retirement.
Exelis. While unused funds do roll over year to year, you’ll forfeit the money in the account if you leave Exelis or the plan.
How can I use the money in my account?
You use the funds to pay for eligible expenses at the point of service, just like an FSA. You can use your HSA debit card or checkbook, or complete a reimbursement form through Cigna.
Whenever there is money in your Health Account, it’s automatically used to pay for eligible expenses that count toward your deductible. However, if you have an FSA and set it on autopay, those funds will be used first.
Who can contribute to the account?
You and Exelis. In addition to the money Exelis contributes when you participate in the incentive program, you can make pre-tax monthly contributions to the account.
Only Exelis. When you participate in the incentive program, Exelis contributes a certain amount of money into your account.
Can I still use a Healthcare FSA?
No. IRS regulations do not allow employees to participate in both accounts at the same time.
Yes. You can have an FSA with this plan. You can choose whether you want your FSA funds or your incentive dollars used first. If you set your FSA on autopay, those funds will be used first.
Yes. You have the option to invest with JPMorgan Chase if the money in your account totals more than $2,000.
No.
Can I invest the money in the account?
Can I roll over unused incentive dollars from year to year? Yes, you can roll over unused incentive dollars from year to year. There is no lifetime maximum.
What if I change coverage levels in the middle of the year? If you make a coverage level change in the middle of an incentive year that impacts your potential incentive earnings, Exelis will adjust your incentive earnings going forward, as appropriate, but will not make any changes retroactively.
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For example, let’s say you start the year with individual coverage and earn your full incentive amount ($400). Then, you have a baby and change your coverage level to “Employee + Child.” In this case, your incentive earnings would not be retro-adjusted to $800 and would stay at the original $400. However, in this same example, if you had not yet earned the full incentive amount (i.e., you only completed the core activities and earned $150) before having the baby and changed your coverage level to “Employee + Child,” then your Power Up dollars incentive amounts would be based on your new coverage level (i.e., participation in Health Coaching would equate to $300 instead of $150).
What if I terminate employment? Can I take my incentive money with me? It depends. You must have completed the incentive-earning activity prior to your termination to be paid for this activity. Eligible employees who are terminated, but on severance, can continue to complete activities to earn incentive dollars through their last day of severance. For the Virgin Pulse program, you must have still been employed (or on severance) at the time of the last quarterly upload deadline to be paid for any activity completed during that quarter. For example, the first quarter of the Virgin Pulse program ends December 1, 2014. If you terminated employment prior to this deadline (e.g., November 1, 2014), you would not be eligible for payout of any activity you uploaded during the quarter. However, if your termination date was December 2, 2014, you would be eligible for payout of any dollars earned during the first quarter.If you are enrolled in the Exelis Health Savings Plan with the HSA, any money deposited into your HSA is yours to keep forever—even if you leave the plan or company. If you are enrolled in the Exelis Health Plan with the Health Account, your incentive dollars are generally forfeited when you leave the plan or company, or if you retire.
Waiver If you cannot complete one or more requirements for earning the incentive, Exelis will provide a waiver. To receive a waiver, you must have a medical professional complete Exelis’ “Wellness Exception Form,” certifying that it would be unreasonably difficult or inadvisable due to a medical condition for you to participate in the activity or activities necessary to earn incentives. This form is available by request by emailing
[email protected]. The incentive and reward program, which is intended to be part of the overall Exelis Health and Health Savings Plan (including the Exelis Inc. Corporation Welfare Plan), provides group medical benefits intended to be covered by the Employee Retirement Income Security Act of 1974 (ERISA), as amended. For information about the ways in which ERISA interacts with the incentive and reward program, you should consult the 2014 Medical and Prescription Drug Summary Plan Description (the SPD) for the Exelis Health and Health Savings Plan. A new SPD will be published in 2015. The SPD contains important information, including the applicability of ERISA’s claims procedures, information about the administration of the Exelis Health and Health Savings Plan and important information about the privacy of your protected health information.
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