Blue Cross^® and Blue Shield^® Service Benefit Plan http://www.fepblue.org
	2010

A fee-for-service plan (standard and basic option)
with a preferred provider organization

For changes

in benefits

see page 9.

	Sponsored and administered by: The Blue Cross and Blue Shield Association and participating Blue Cross and Blue Shield Plans
	Who may enroll in this Plan: All Federal employees and annuitants who are eligible to enroll in the FEHB
Enrollment codes for this Plan:
104 Standard Option - Self Only 105 Standard Option - Self and Family 111 Basic Option - Self Only 112 Basic Option - Self and Family
		Case management accreditation for this Plan is provided either through URAC or through Health Plan accreditation from NCQA.
		HEALTH WEB SITE
		This Plan has Health Web Site accreditation from URAC. See the 2010 FEHB Guide for more information on accreditation.
		RI 71-005

Important Notice from the Blue Cross and Blue Shield Service Benefit Plan About

Our Prescription Drug Coverage and Medicare

OPM has determined that the Blue Cross and Blue Shield Service Benefit Plan’s prescription drug coverage is, on average, expected to pay out as much as the standard Medicare prescription drug coverage will pay for all plan participants and is considered Creditable Coverage. Thus you do not need to enroll in Medicare Part D and pay extra for prescription drug benefit coverage. If you decide to enroll in Medicare Part D later, you will not have to pay a penalty for late enrollment as long as you keep your FEHB coverage.

However, if you choose to enroll in Medicare Part D, you can keep your FEHB coverage and your FEHB plan will coordinate benefits with Medicare.

Remember: If you are an annuitant and you cancel your FEHB coverage, you may not re-enroll in the FEHB Program.

Please be advised

If you lose or drop your FEHB coverage and go 63 days or longer without prescription drug coverage that’s at least as good as Medicare’s prescription drug coverage, your monthly premium will go up at least 1% per month for every month that you did not have that coverage. For example, if you go 19 months without Medicare Part D prescription drug coverage, your premium will always be at least 19 percent higher than what many other people pay. You’ll have to pay this higher premium as long as you have Medicare prescription drug coverage. In addition, you may have to wait until the next Annual Coordinated Election Period (November 15th through December 31st) to enroll in Medicare Part D.

Medicare’s Low Income Benefits

For people with limited income and resources, extra help paying for a Medicare prescription drug plan is available. Information regarding this program is available through the Social Security Administration (SSA) online at www.socialsecurity.gov, or call the SSA at 1-800-772-1213 (TTY 1-800-325-0778).

You can get more information about Medicare prescription drug plans and the coverage offered in your area from these places:

· Visit www.medicare.gov for personalized help,

· Call 1-800-MEDICARE (1-800-633-4227), (TTY 1-877-486-2048).

Table of Contents

Table of Contents........................................................................................................................................................................................................ 1

Introduction.................................................................................................................................................................................................................. 3

Plain Language............................................................................................................................................................................................................. 3

Stop Health Care Fraud!............................................................................................................................................................................................. 3

Preventing Medical Mistakes..................................................................................................................................................................................... 4

Never Events................................................................................................................................................................................................................. 6

Section 1. Facts about this fee-for-service Plan...................................................................................................................................................... 7

General features of our Standard and Basic Options...................................................................................................................... 7

We have a Preferred Provider Organization (PPO)........................................................................................................................... 7

How we pay professional and facility providers.............................................................................................................................. 7

Your rights............................................................................................................................................................................................... 8

Your medical and claims records are confidential........................................................................................................................... 8

Section 2. How we change for 2010......................................................................................................................................................................... 9

Program-wide changes.......................................................................................................................................................................... 9

Changes to this Plan.............................................................................................................................................................................. 9

Section 3. How you receive benefits...................................................................................................................................................................... 11

Identification cards............................................................................................................................................................................. 11

Where you get covered care............................................................................................................................................................... 11

· Covered professional providers.................................................................................................................................................. 11

· Covered facility providers............................................................................................................................................................ 12

What you must do to get covered care............................................................................................................................................ 14

· Transitional care............................................................................................................................................................................ 14

· If you are hospitalized when your enrollment begins............................................................................................................. 14

How to get approval for… ................................................................................................................................................................ 15

· Your hospital stay......................................................................................................................................................................... 15

· Other services................................................................................................................................................................................. 16

Section 4. Your costs for covered services............................................................................................................................................................ 18

Copayment........................................................................................................................................................................................... 18

Cost-sharing.......................................................................................................................................................................................... 18

Deductible............................................................................................................................................................................................. 18

Coinsurance.......................................................................................................................................................................................... 18

If your provider routinely waives your cost.................................................................................................................................... 18

Waivers.................................................................................................................................................................................................. 19

Differences between our allowance and the bill............................................................................................................................. 19

Your catastrophic protection out-of-pocket maximum for deductibles, coinsurance, and copayments........................... 21

Carryover.............................................................................................................................................................................................. 22

If we overpay you............................................................................................................................................................................... 22

When Government facilities bill us................................................................................................................................................... 22

When you are age 65 or over and do not have Medicare............................................................................................................ 23

When you have the Original Medicare Plan (Part A, Part B, or both)........................................................................................ 24

Section 5. Benefits

Standard and Basic Option Benefits................................................................................................................................................ 25

Non-FEHB benefits available to Plan members.......................................................................................................................... 109

Section 6. General exclusions – things we don’t cover..................................................................................................................................... 111

Section 7. Filing a claim for covered services..................................................................................................................................................... 112

Section 8. The disputed claims process............................................................................................................................................................... 115

Section 9. Coordinating benefits with other coverage...................................................................................................................................... 117

When you have other health coverage.......................................................................................................................................... 117

What is Medicare?............................................................................................................................................................................. 117

· Should I enroll in Medicare?..................................................................................................................................................... 118

· The Original Medicare Plan (Part A or Part B)....................................................................................................................... 118

· Tell us about your Medicare coverage.................................................................................................................................... 119

· Private contract with your physician....................................................................................................................................... 120

· Medicare Advantage (Part C)................................................................................................................................................... 120

· Medicare prescription drug coverage (Part D)........................................................................................................................ 120

· Medicare prescription drug coverage (Part B)........................................................................................................................ 120

TRICARE and CHAMPVA............................................................................................................................................................. 122

Workers’ Compensation.................................................................................................................................................................. 122

Medicaid............................................................................................................................................................................................. 122

When other Government agencies are responsible for your care............................................................................................. 122

Clinical Trials...................................................................................................................................................................................... 122

When others are responsible for injuries........................................................................................................................................ 123

When you have Federal Employees Dental and Vision Insurance Plan (FEDVIP).............................................................. 123

Section 10. Definitions of terms we use in this brochure.................................................................................................................................. 124

Section 11. FEHB facts.......................................................................................................................................................................................... 130

Coverage information...................................................................................................................................................................... 130

· No pre-existing condition limitation......................................................................................................................................... 130

· Where you can get information about enrolling in the FEHB Program............................................................................ 130

· Types of coverage available for you and your family........................................................................................................ 130

· Children’s Equity Act................................................................................................................................................................. 131

· When benefits and premiums start.......................................................................................................................................... 131

· When you retire........................................................................................................................................................................... 131

When you lose benefits.................................................................................................................................................................... 131

· When FEHB coverage ends...................................................................................................................................................... 131

· Upon divorce................................................................................................................................................................................ 132

· Temporary Continuation of Coverage (TCC)....................................................................................................................... 132

· Converting to individual coverage........................................................................................................................................... 132

· Getting a Certificate of Group Health Plan Coverage.......................................................................................................... 132

Section 12. Three Federal Programs complement FEHB benefits................................................................................................................. 133

The Federal Flexible Spending Account Program – FSAFEDS................................................................................................. 133

The Federal Employees Dental and Vision Insurance Program – FEDVIP............................................................................ 133

The Federal Long Term Care Insurance Program – FLTCIP.................................................................................................... 134

Index.......................................................................................................................................................................................................................... 135

Summary of benefits for the Blue Cross and Blue Shield Service Benefit Plan Standard Option – 2010............................................. 136

Summary of benefits for the Blue Cross and Blue Shield Service Benefit Plan Basic Option – 2010.................................................... 137

2010 Rate Information for the Blue Cross and Blue Shield Service Benefit Plan...................................................................................... 138

Introduction

This brochure describes the benefits of the Blue Cross and Blue Shield Service Benefit Plan under our contract (CS 1039) with the United States Office of Personnel Management, as authorized by the Federal Employees Health Benefits law. This Plan is underwritten by participating Blue Cross and Blue Shield Plans (Local Plans) that administer this Plan on behalf of the Blue Cross and Blue Shield Association (the Carrier). The address for the Blue Cross and Blue Shield Service Benefit Plan administrative office is:

Blue Cross and Blue Shield Service Benefit Plan
1310 G Street, NW, Suite 900
Washington, DC 20005

This brochure is the official statement of benefits. No oral statement can modify or otherwise affect the benefits, limitations, and exclusions of this brochure. It is your responsibility to be informed about your health care benefits.

If you are enrolled in this Plan, you are entitled to the benefits described in this brochure. If you are enrolled in Self and Family coverage, each eligible family member is also entitled to these benefits. You do not have a right to benefits that were available before January 1, 2010, unless those benefits are also shown in this brochure.

OPM negotiates benefits and rates with each plan annually. Benefit changes are effective January 1, 2010, and changes are summarized on pages 9 and 10. Rates are shown on the back cover of this brochure.

Plain Language

All FEHB brochures are written in plain language to make them responsive, accessible, and understandable to the public. For instance,

· Except for necessary technical terms, we use common words. For instance, “you” means the enrollee or family member; “we” means the Blue Cross and Blue Shield Service Benefit Plan.

· We limit acronyms to ones you know. FEHB is the Federal Employees Health Benefits Program. OPM is the United States Office of Personnel Management. If we use others, we tell you what they mean first.

· Our brochure and other FEHB plans’ brochures have the same format and similar descriptions to help you compare plans.

If you have comments or suggestions about how to improve the structure of this brochure, let OPM know. Visit OPM’s “Rate Us” feedback area at www.opm.gov/insure or e-mail OPM at fehbwebcomments@opm.gov. You may also write to OPM at the U.S. Office of Personnel Management, Insurance Services Programs, Program Planning & Evaluation Group, 1900 E Street, NW, Washington, DC 20415-3650.

Stop Health Care Fraud!

Fraud increases the cost of health care for everyone and increases your Federal Employees Health Benefits Program premium.

OPM’s Office of the Inspector General investigates all allegations of fraud, waste, and abuse in the FEHB Program regardless of the agency that employs you or from which you retired.

Protect Yourself From Fraud – Here are some things you can do to prevent fraud:

Do not give your plan identification (ID) number over the telephone or to people you do not know, except for your health care provider, authorized health benefits plan, or OPM representative.

· Let only the appropriate medical professionals review your medical record or recommend services.

· Avoid using health care providers who say that an item or service is not usually covered, but they know how to bill us to get it paid.

· Carefully review explanations of benefits (EOBs) statements that you receive from us.

· Please review your claims history periodically for accuracy to ensure services are not being billed to your accounts that were never rendered.

· Do not ask your doctor to make false entries on certificates, bills, or records in order to get us to pay for an item or service.

· If you suspect that a provider has charged you for services you did not receive, billed you twice for the same service, or misrepresented any information, do the following:

Call the provider and ask for an explanation. There may be an error.

If the provider does not resolve the matter, call us at 1-800-FEP-8440 (1-800-337-8440) and explain the situation.

If we do not resolve the issue:

CALL ¾ THE HEALTH CARE FRAUD HOTLINE

202-418-3300

OR WRITE TO:

United States Office of Personnel Management

Office of the Inspector General Fraud Hotline

1900 E Street NW Room 6400

Washington, DC 20415-1100

· Do not maintain as a family member on your policy:

Your former spouse after a divorce decree or annulment is final (even if a court order stipulates otherwise); or

Your child over age 22 (unless he/she is disabled and incapable of self support).

· If you have any questions about the eligibility of a dependent, check with your personnel office if you are employed, with your retirement office (such as OPM) if you are retired, or with the National Finance Center if you are enrolled under Temporary Continuation of Coverage.

· You can be prosecuted for fraud and your agency may take action against you if you falsify a claim to obtain FEHB benefits or try to obtain services for someone who is not an eligible family member or who is no longer enrolled in the Plan.

Preventing Medical Mistakes

An influential report from the Institute of Medicine estimates that up to 98,000 Americans die every year from medical mistakes in hospitals alone. That’s about 3,230 preventable deaths in the FEHB Program a year. While death is the most tragic outcome, medical mistakes cause other problems such as permanent disabilities, extended hospital stays, longer recoveries, and even additional treatments. By asking questions, learning more and understanding your risks, you can improve the safety of your own health care, and that of your family members. Take these simple steps:

1. Ask questions if you have doubts or concerns.

· Ask questions and make sure you understand the answers.

· Choose a doctor with whom you feel comfortable talking.

· Take a relative or friend with you to help you ask questions and understand answers.

2. Keep and bring a list of all the medicines you take.

· Bring the actual medicines or give your doctor and pharmacist a list of all the medicines that you take, including non-prescription (over-the-counter) medicines.

· Tell them about any drug allergies you have.

· Ask about any risks or side effects of the medication and what to avoid while taking it. Be sure to write down what your doctor or pharmacist says.

· Make sure your medicine is what the doctor ordered. Ask the pharmacist about your medicine if it looks different than you expected.

· Read the label and patient package insert when you get your medicine, including all warnings and instructions.

· Know how to use your medicine. Especially note the times and conditions when your medicine should and should not be taken.

· Contact your doctor or pharmacist if you have any questions.

3. Get the results of any test or procedure.

· Ask when and how you will get the results of tests or procedures.

· Do not assume the results are fine if you do not get them when expected, be it in person, by phone, or by mail.

· Call your doctor and ask for your results.

· Ask what the results mean for your care.

4. Talk to your doctor about which hospital is best for your health needs.

· Ask your doctor about which hospital has the best care and results for your condition if you have more than one hospital to choose from to get the health care you need.

· Be sure you understand the instructions you get about follow-up care when you leave the hospital.

5. Make sure you understand what will happen if you need surgery.

· Make sure you, your doctor, and your surgeon all agree on exactly what will be done during the operation.

· Ask your doctor, “Who will manage my care when I am in the hospital?”

· Ask your surgeon:

Exactly what will you be doing?

About how long will it take?

What will happen after surgery?

How can I expect to feel during recovery?

· Tell the surgeon, anesthesiologist, and nurses about any allergies, bad reactions to anesthesia, and any medications you are taking.

Visit these Web sites for more information about patient safety.

– www.ahrq.gov/path/beactive.htm. The Agency for Healthcare Research and Quality makes available a wide-ranging list of topics not only to inform consumers about patient safety but to help choose quality health care providers and improve the quality of care you receive.

– www.npsf.org. The National Patient Safety Foundation has information on how to ensure safer health care for you and your family.

– www.talkaboutrx.org. The National Council on Patient Information and Education is dedicated to improving communication about the safe, appropriate use of medicines.

– www.leapfroggroup.org. The Leapfrog Group is active in promoting safe practices in hospital care.

– www.ahqa.org. The American Health Quality Association represents organizations and health care professionals working to improve patient safety.

– www.quic.gov/report. Find out what federal agencies are doing to identify threats to patient safety and help prevent mistakes in the nation’s health care delivery system.

Never Events

Beginning January 1, 2010, you will no longer be billed for inpatient services related to treatment of specific hospital-acquired conditions or for inpatient services needed to correct never events, if you use Service Benefit Plan Preferred or Member hospitals.  This new policy will help protect you from preventable medical errors and improve the quality of care you receive.

When you enter the hospital for treatment of one medical problem, you don’t expect to leave with additional injuries, infections or other serious conditions that occur during the course of your stay.  Although some of these complications may not be avoidable, too often patients suffer from injuries or illnesses that could have been prevented if the hospital had taken proper precautions.

We are adopting a benefit payment policy that will encourage hospitals to reduce the likelihood of hospital-acquired conditions such as certain infections, severe bedsores and fractures; and reduce medical errors that should never happen called “Never Events”.  When a Never Event occurs neither your FEHB plan nor you will incur cost to correct the medical error.

Section 1. Facts about this fee-for-service Plan

This Plan is a fee-for-service (FFS) plan. You can choose your own physicians, hospitals, and other health care providers.

We reimburse you or your provider for your covered services, usually based on a percentage of the amount we allow. The type and extent of covered services, and the amount we allow, may be different from other plans. Read brochures carefully.

General features of our Standard and Basic Options

We have a Preferred Provider Organization (PPO)

Our fee-for-service plan offers services through a PPO. This means that certain hospitals and other health care providers are “Preferred providers.” When you use our PPO (Preferred) providers, you will receive covered services at a reduced cost. Your Local Plan (or, for retail pharmacies, Caremark) is solely responsible for the selection of PPO providers in your area. Contact your Local Plan for the names of PPO (Preferred) providers and to verify their continued participation. You can also go to our Web page, www.fepblue.org, which you can reach through the FEHB Web site, www.opm.gov/insure. Contact your Local Plan to request a PPO directory.

Under Standard Option, PPO (Preferred) benefits apply only when you use a PPO (Preferred) provider. PPO networks may be more extensive in some areas than in others. We cannot guarantee the availability of every specialty in all areas. If no PPO (Preferred) provider is available, or you do not use a PPO (Preferred) provider, non-PPO (Non-preferred) benefits apply.

Under Basic Option, you must use Preferred providers in order to receive benefits. See page 14 for the exceptions to this requirement.

Note: Dentists and oral surgeons who are in our Preferred Dental Network for routine dental care are not necessarily Preferred providers for other services covered by this Plan under other benefit provisions (such as the surgical benefit for oral and maxillofacial surgery). Call us at the customer service number on the back of your ID card to verify that your provider is Preferred for the type of care (e.g., routine dental care or oral surgery) you are scheduled to receive.

How we pay professional and facility providers

We pay benefits when we receive a claim for covered services. Each Local Plan contracts with hospitals and other health care facilities, physicians, and other health care professionals in its service area, and is responsible for processing and paying claims for services you receive within that area. Many, but not all, of these contracted providers are in our PPO (Preferred) network.

· PPO providers. PPO (Preferred) providers have agreed to accept a specific negotiated amount as payment in full for covered services provided to you. We refer to PPO facility and professional providers as “Preferred.” They will generally bill the Local Plan directly, who will then pay them directly. You do not file a claim. Your out-of-pocket costs are generally less when you receive covered services from Preferred providers, and are limited to your coinsurance or copayments (and, under Standard Option only, the applicable deductible).

· Participating providers. Some Local Plans also contract with other providers that are not in our Preferred network. If they are professionals, we refer to them as “Participating” providers. If they are facilities, we refer to them as “Member” facilities. They have agreed to accept a different negotiated amount than our Preferred providers as payment in full. They will also generally file your claims for you. They have agreed not to bill you for more than your applicable deductible, and coinsurance or copayments, for covered services. We pay them directly, but at our Non-preferred benefit levels. Your out-of-pocket costs will be greater than if you use Preferred providers.

Note: Not all areas have Participating providers and/or Member facilities. To verify the status of a provider, please contact the Local Plan where the services will be performed.

· Non-participating providers. Providers who are not Preferred or Participating providers do not have contracts with us, and may or may not accept our allowance. We refer to them as “Non-participating providers” generally, although if they are facilities we refer to them as “Non-member facilities.” When you use Non-participating providers, you may have to file your claims with us. We will then pay our benefits to you, and you must pay the provider.

You must pay any difference between the amount Non-participating providers charge and our allowance (except in certain circumstances – see page 128). In addition, you must pay any applicable coinsurance amounts, copayment amounts, amounts applied to your calendar year deductible, and amounts for noncovered services. Important: Under Standard Option, your out-of-pocket costs may be substantially higher when you use Non-participating providers than when you use Preferred or Participating providers. Under Basic Option, you must use Preferred providers to receive benefits. See page 14 for the exceptions to this requirement.

Note: In Local Plan areas, Preferred providers and Participating providers who contract with us will accept 100% of the Plan allowance as payment in full for covered services. As a result, you are only responsible for applicable coinsurance or copayments (and, under Standard Option only, the applicable deductible), for covered services, and any charges for noncovered services.

Your rights

OPM requires that all FEHB plans provide certain information to their FEHB members. You may get information about us, our networks, and our providers. OPM’s FEHB Web site (www.opm.gov/insure) lists the specific types of information that we must make available to you. Some of the required information is listed below.

· Care management, including medical practice guidelines;

· Disease management programs; and

· How we determine if procedures are experimental or investigational.

If you want more information about us, call or write to us. Our telephone number and address are shown on the back of your Service Benefit Plan ID card. You may also visit our Web site at www.fepblue.org.

Your medical and claims records are confidential

We will keep your medical and claims information confidential. Note: As part of our administration of this contract, we may disclose your medical and claims information (including your prescription drug utilization) to any treating physicians or dispensing pharmacies. You may view our Notice of Privacy Practice for more information about how we may use and disclose member information by visiting our Web site at www.fepblue.org.

Section 2. How we change for 2010

Do not rely only on these change descriptions; this Section is not an official statement of benefits. For that, go to Section 5 (Benefits). Also, we edited and clarified language throughout the brochure; any language change not shown here is a clarification that does not change benefits.

Program-wide changes

· We have clarified cost categories associated with clinical trials. (See pages 122 and 124.)

Changes to this Plan

Changes to our Standard Option only

· Your share of the non-Postal premium will increase for Self Only or increase for Self and Family. (See page 138.)

· At Preferred retail pharmacies, you may be eligible to receive your first 4 generic prescriptions filled (and/or refills ordered) per drug per calendar year at no charge when you change from certain brand-name drugs to a corresponding generic drug replacement. (See page 94.)

· The amount you pay for your calendar year deductible no longer accumulates toward your Catastrophic Protection Out-of-Pocket Maximum. Previously, deductible amounts did accumulate toward the catastrophic maximum. In addition, the coinsurance and copayment amounts you pay for mental health and substance abuse care performed by Non-preferred providers, are now included in your Catastrophic Protection Out-of-Pocket Maximum. Previously, these types of expenses did not accumulate toward the maximum. (See page 21.)

· Your copayment for office visits to Preferred specialists is now $30 per visit. Previously, you paid $20 for visits to both specialists and primary care providers. Your $20 copayment for office visits to Preferred primary care providers has not changed.

· Your coinsurance amount for certain Non-preferred professional and outpatient facility services is now 35% of the Plan allowance. Previously, your coinsurance amount was 30% of the Plan allowance for certain medical and surgical services, and 40% of the Plan allowance for certain mental health and substance abuse services. [See Sections 5(a) and 5(e).]

· You now pay 35% of the Plan allowance (plus any difference between our allowance and the billed amount) for anesthesia provided by a Non-participating anesthesiologist or certified registered nurse anesthetist (CRNA) (deductible applies). Previously, you paid 100% of the amount billed up to a maximum of $800. (See page 66.)

· Your copayment for inpatient care at Non-preferred hospitals is now $350 per admission. Previously, you paid $300 per admission for medical and surgical care, and $400 per day for mental health and substance abuse care. [See Sections 5(c) and 5(e).]

· Benefits for outpatient mental health and substance abuse care are no longer limited to 25 visits per year. However, you must now obtain prior approval for outpatient mental health and substance abuse care in order to receive benefits. Previously, if you did not obtain prior approval, we provided benefits at Non-preferred benefit levels. (See page 16.)

· Benefits for inpatient mental health care at Non-preferred facilities are no longer limited to 100 days per calendar year.

· Benefits for inpatient care at Non-preferred facilities to treat substance abuse are no longer limited to one 28-day stay per lifetime.

· We clarified that we waive your copayments for professional care provided in an emergency room by Non-participating providers when Medicare Part B is the primary payor. (See page 119.)

· We clarified those situations in which your responsibility for the difference between the Non-participating Provider Allowance (NPA) and the billed amount may be limited. (See page 128.)

Changes to our Basic Option only

· Your share of the non-Postal premium will increase for Self Only or increase for Self and Family. (See page 138.)

· Your copayment for office visits to Preferred specialists is now $35 per visit. Previously, you paid $30 per visit. Your $25 copayment for office visits to Preferred primary care providers has not changed. [See Sections 5(a) and 5(e).]

· Your copayment for inpatient care at Preferred hospitals is now $150 per day, up to $750 per admission. Previously, you paid $100 per day, up to $500 per admission. [See Sections 5(c) and 5(e).]

· Your total responsibility for facility-billed maternity services provided at Preferred facilities is now limited to $150 per admission. Previously, you paid $100 for your inpatient facility care and $50 for each maternity-related visit to the outpatient department of a Preferred facility, plus 30% of the Plan allowance for drugs received in the outpatient department. (See page 36.)

· Your copayment for most outpatient facility care at Preferred hospitals is now $75 per day per facility. Previously, you paid $50 per day. [See Sections 5(c) and 5(e).]

· Your copayment for screening colonoscopies provided in the outpatient department of a Preferred hospital is now $25. Previously, you paid $50 for colonoscopy screening at Preferred facilities. (See page 34.)

· We clarified that your coinsurance for non-preferred brand-name drugs does not accumulate toward your Catastrophic Protection Out-of-Pocket Maximum. (See page 22.)

· We clarified that you pay 30% of our allowance for drugs and supplies administered or obtained in connection with your care.

· We clarified that we provide benefits in full for screening procedures billed by the outpatient department of a hospital or ambulatory surgical center (does not include screening colonoscopies). (See page 71.)

· We have discontinued our Basic Consumer Option High Deductible Health Plan (HDHP).
Changes to both our Standard and Basic Options

· Preferred and Member hospitals will not be able to bill you for any inpatient services related to specific types of medical errors and hospital-acquired conditions known as Never Events. In addition, we will no longer provide benefits to Preferred and Member hospitals for inpatient services related to Never Events. (See page 6.)

· We now provide Preventive Care benefits for individual counseling on prevention and reducing health risks. In addition, we now provide Preventive Care benefits for the administration and interpretation of a Health Risk Assessment (HRA) questionnaire. You must use a Preferred provider in order to receive these benefits. (See page 32.)

· We clarified that you now have access to our online “Blue Health Assessment” tool which confidentially assesses your overall health, identifies potential health risks, and provides you with a personal health action plan – at no charge. (See page 32.)

· You may be entitled to receive your annual physical examination or one visit for counseling on prevention and reducing health risks at no charge when you complete a Blue Health Assessment questionnaire and see a Preferred health care provider. (See page 32.)

· Children age 5 through 17 who meet certain Body Mass Index (BMI) criteria may be eligible to participate in our new
Jump 4 Health Weight Management Program and receive up to 4 nutritional counseling visits at no cost when they use Preferred providers. (See page 52.)

· We now provide benefits for the H1N1 Influenza (Swine) vaccine. (See page 35.)

· We clarified the advantages of using generic drugs. (See page 91.)

· Many of our Preferred retail pharmacies now participate in our vaccine network, allowing members the convenience of receiving certain vaccines at no charge at pharmacies in the vaccine network. See page 92 for information about our vaccine network.

· We now provide benefits for Human Papillomavirus (HPV), Meningococcal, Pneumococcal, and Herpes Zoster (shingles) vaccines provided by Preferred retail pharmacies that participate in our vaccine network. Previously, these vaccines were not available through our vaccine network. (See page 92.)

· We now provide benefits for speech-generating devices, limited to $1,000 per calendar year. (See page 46.)

· We now provide benefits for oxygen billed for by skilled nursing facilities, nursing homes, and extended care facilities. Previously, benefits were not available for these types of expenses. (See page 48.)

· We now provide benefits for up to 6 nutritional counseling visits per year. Previously, we provided benefits for up to 4 nutritional counseling visits per year. (See page 51.)

· We now provide benefits for additional types of stem cell transplants. [See Section 5(b).]

· We now provide benefits for up to 7 days of inpatient hospice care for members not previously enrolled in a home hospice care program, in addition to 7 days of inpatient care every 21 days for members enrolled in a home hospice care program. Previously, we provided benefits for up to 5 days of inpatient hospice care only for those members already enrolled in a home hospice program.

· We now also provide benefits for up to 7 days of continuous home hospice care. Previously, benefits were not available for this type of hospice care. (See page 76.)

· Case management accreditation for this Plan is now provided either through URAC or through Health Plan accreditation from NCQA. (See accreditation information on brochure cover.)

· Chiropractors/Doctors of Chiropractic (D.C.) are now listed as “physicians.” Previously, these types of providers were listed as “other covered health care professionals.” We also clarified reimbursable chiropractic services. (See page 11.)

· We added licensed mental health and substance abuse professionals who provide mental health and/or substance abuse services within the scope of their license, to the list of covered health care professionals. (See page 11.)

· You must now obtain prior approval for outpatient intensity-modulated radiation therapy (IMRT). Previously, these types of services did not require prior approval. (See page 16.)

· We clarified that you may request prior approval and receive specific benefit information in advance for surgical procedures (including maternity care) to be provided by a Non-participating physician when the charge for that care will be $5,000 or more. (See page 17.)

· We clarified the benefit payment levels that apply to routine physical examinations and screening procedures performed in the outpatient department of a hospital. [See Sections 5(a) and 5(c).]

· We clarified the benefit payment levels that apply to colonoscopies. [See Sections 5(a), 5(b), and 5(c).]

· We clarified U.S. Food and Drug Administration (FDA) limitations on the use of immunizations and vaccines. (See page 35.)

· We clarified that benefits are not available for telephone consultations related to your medical care. (See page 31.)

· We clarified that benefits are not available for genetic screening. (See pages 31 and 34.)

· We clarified that Maternity Care benefits are not provided for oral tocolytic agents. (See page 36.)

· We clarified that benefits are not available for deluxe lens features for eyeglasses. (See page 43.)

· We clarified that benefits are not available for private duty nursing in any setting. (See pages 31, 49 and 69.)

· We clarified that benefits are not available for wheelchair van services or gurney van services. (See pages 78 and 83.)

· We clarified that benefits are not available for professional charges for shift differentials. (See page 111.)

Section 3. How you receive benefits
Identification cards	We will send you an identification (ID) card when you enroll. You should carry your ID card with you at all times. You will need it whenever you receive services from a covered provider, or fill a prescription through a Preferred retail or internet pharmacy. Until you receive your ID card, use your copy of the Health Benefits Election Form, SF-2809, your health benefits enrollment confirmation letter (for annuitants), or your electronic enrollment system (such as Employee Express) confirmation letter.
	If you do not receive your ID card within 30 days after the effective date of your enrollment, or if you need replacement cards, call the Local Plan serving the area where you reside and ask them to assist you, or write to us directly at: FEP Enrollment Services, 840 First Street, NE, Washington, DC 20065. You may also request replacement cards through our Web site, www.fepblue.org.
Where you get covered care	Under Standard Option, you can get care from any “covered professional provider” or “covered facility provider.” How much we pay – and you pay – depends on the type of covered provider you use. If you use our Preferred, Participating, or Member providers, you will pay less.
	Under Basic Option, you must use those “covered professional providers” or “covered facility providers” that are Preferred providers for Basic Option in order to receive benefits. Please refer to page 14 for the exceptions to this requirement. Refer to page 7 for more information about Preferred providers.
	The term “primary care provider” includes family practitioners, general practitioners, medical internists, pediatricians, obstetricians/gynecologists, and physician assistants.
· Covered professional providers	We consider the following to be covered professionals when they perform services within the scope of their license or certification:
	Physicians – Doctors of medicine (M.D.); Doctors of osteopathy (D.O.); Doctors of dental surgery (D.D.S.); Doctors of medical dentistry (D.M.D.); Doctors of podiatric medicine (D.P.M.); Doctors of optometry (O.D.); and Doctors of Chiropractic/chiropractors (D.C.). Reimbursable chiropractic services shall only be those covered services listed under the Chiropractic benefit on page 49; covered services provided in medically underserved areas as described on page 12; and the performance of covered physical therapy evaluations and physical therapy treatment modalities identified on page 41.
	Other Covered Health Care Professionals – Professionals who provide additional covered services and meet the state’s applicable licensing or certification requirements and the requirements of the Local Plan. Other covered health care professionals include:
	- Audiologist – A professional who, if the state requires it, is licensed, certified, or registered as an audiologist where the services are performed.
	- Clinical Psychologist – A psychologist who (1) is licensed or certified in the state where the services are performed; (2) has a doctoral degree in psychology (or an allied degree if, in the individual state, the academic licensing/certification requirement for clinical psychologist is met by an allied degree) or is approved by the Local Plan; and (3) has met the clinical psychological experience requirements of the individual State Licensing Board.
	- Clinical Social Worker – A social worker who (1) has a master’s or doctoral degree in social work; (2) has at least two years of clinical social work practice; and (3) if the state requires it, is licensed, certified, or registered as a social worker where the services are performed.
	- Diabetic Educator – A professional who, if the state requires it, is licensed, certified, or registered as a diabetic educator where the services are performed.
	- Dietician – A professional who, if the state requires it, is licensed, certified, or registered as a dietician where the services are performed.
	- Independent Laboratory – A laboratory that is licensed under state law or, where no licensing requirement exists, that is approved by the Local Plan.
	- Mental Health or Substance Abuse professional – A professional who is licensed by the state where the care is provided to provide mental health and/or substance abuse services within the scope of that license.
	- Nurse Midwife – A person who is certified by the American College of Nurse Midwives or, if the state requires it, is licensed or certified as a nurse midwife.
	- Nurse Practitioner/Clinical Specialist – A person who (1) has an active R.N. license in the United States; (2) has a baccalaureate or higher degree in nursing; and (3) if the state requires it, is licensed or certified as a nurse practitioner or clinical nurse specialist.
	- Nursing School Administered Clinic – A clinic that (1) is licensed or certified in the state where services are performed; and (2) provides ambulatory care in an outpatient setting – primarily in rural or inner-city areas where there is a shortage of physicians. Services billed by these clinics are considered outpatient “office” services rather than facility charges.
	- Nutritionist – A professional who, if the state requires it, is licensed, certified, or registered as a nutritionist where the services are performed.
	- Physical, Speech, and Occupational Therapist – A professional who is licensed where the services are performed or meets the requirements of the Local Plan to provide physical, speech, or occupational therapy services.
	- Physician Assistant – A person who is nationally certified by the National Commission on Certification of Physician Assistants in conjunction with the National Board of Medical Examiners or, if the state requires it, is licensed, certified, or registered as a physician assistant where the services are performed.
	- Other professional providers specifically shown in the benefit descriptions in Section 5.
	Medically underserved areas. In the states OPM determines are “medically underserved”:
	Under Standard Option, we cover any licensed medical practitioner for any covered service performed within the scope of that license.
	Under Basic Option, we cover any licensed medical practitioner who is Preferred for any covered service performed within the scope of that license.
	For 2010, the states are: Alabama, Arizona, Idaho, Illinois, Kentucky, Louisiana, Mississippi, Missouri, Montana, New Mexico, North Dakota, South Carolina, South Dakota, and Wyoming.
· Covered facility providers	Covered facilities include those listed below, when they meet the state’s applicable licensing or certification requirements.
	· Hospital – An institution, or a distinct portion of an institution, that:
	(1) Primarily provides diagnostic and therapeutic facilities for surgical and medical diagnoses, treatment, and care of injured and sick persons provided or supervised by a staff of licensed doctors of medicine (M.D.) or licensed doctors of osteopathy (D.O.), for compensation from its patients, on an inpatient or outpatient basis;
	(2) Continuously provides 24-hour-a-day professional registered nursing (R.N.) services; and
	(3) Is not, other than incidentally, an extended care facility; a nursing home; a place for rest; an institution for exceptional children, the aged, drug addicts, or alcoholics; or a custodial or domiciliary institution having as its primary purpose the furnishing of food, shelter, training, or non-medical personal services.
	Note: We consider college infirmaries to be Non-member hospitals. In addition, we may, at our discretion, recognize any institution located outside the 50 states and the District of Columbia as a Non-member hospital.
	· Freestanding Ambulatory Facility – A freestanding facility, such as an ambulatory surgical center, freestanding surgi-center, freestanding dialysis center, or freestanding ambulatory medical facility, that:
	(1) Provides services in an outpatient setting;
	(2) Contains permanent amenities and equipment primarily for the purpose of performing medical, surgical, and/or renal dialysis procedures;
	(3) Provides treatment performed or supervised by doctors and/or nurses, and may include other professional services performed at the facility; and
	(4) Is not, other than incidentally, an office or clinic for the private practice of a doctor or other professional.
	Note: We may, at our discretion, recognize any other similar facilities, such as birthing centers, as freestanding ambulatory facilities.

· Blue Distinction Centers for Bariatric Surgery, Cardiac Care, and Complex and Rare Cancers

Certain Preferred facilities have been selected to be Blue Distinction Centers for Bariatric Surgery, Cardiac Care, and/or Complex and Rare Cancers. These facilities meet stringent quality criteria established by expert physician panels, surgeons, and other medical professionals. The Blue Distinction Centers for Bariatric Surgery^SM provide a full range of bariatric surgical care services, including inpatient care, post-operative care, follow-up care, and patient education. The Blue Distinction Centers for Cardiac Care^SM provide a full range of cardiac care services, including inpatient cardiac care, cardiac rehabilitation, cardiac catheterization (including percutaneous coronary interventions), and cardiac surgery (including coronary artery bypass graft surgery). The Blue Distinction Centers for Complex and Rare Cancers^SM offer comprehensive inpatient cancer care programs for adults, delivered by multidisciplinary teams with subspecialty training and distinguished clinical expertise in treating complex and rare types of cancer.

If you are considering covered bariatric surgery, cardiac procedures, or inpatient treatment for a complex or rare cancer, you may want to consider receiving those services at a Blue Distinction Center. You can find these facilities listed in the online provider directory available at www.fepblue.org, or by calling the customer service number listed on the back of your ID card.

· Blue Distinction Centers for Transplants

In addition to Preferred transplant facilities, you have access to the Blue Distinction Centers for Transplants^SM, a centers of excellence program. Blue Distinction Centers for Transplants are selected based on their ability to meet defined clinical quality criteria that are unique for each type of transplant. These facilities negotiate a payment for transplant services performed during the transplant period (see page 129 for the definition of “transplant period”).

Members who choose to use a Blue Distinction Centers for Transplants facility for a covered transplant only pay the $200 per admission copayment under Standard Option, or the $150 per day copayment ($750 maximum) under Basic Option, for the transplant period. Members are not responsible for additional costs for included professional services. Regular Preferred benefits (subject to the regular cost-sharing levels for facility and professional services) are paid for pre- and post-transplant services performed in Blue Distinction Centers for Transplants before and after the transplant period.

Blue Distinction Centers for Transplants are available for eight types of transplants: heart; heart-lung; single, double, or lobar lung; liver; pancreas; simultaneous pancreas-kidney; simultaneous liver-kidney; and autologous or allogeneic bone marrow (see page 65 for limitations).

All members (including those who have Medicare Part A or another group health insurance policy as their primary payor) must contact us at the customer service number listed on the back of their ID card before obtaining services. We will refer you to the designated Plan transplant coordinator for information about Blue Distinction Centers for Transplants and assistance in arranging for your transplant at a Blue Distinction Centers for Transplants facility.

· Cancer Research Facility – A facility that is:

(1) A National Cooperative Cancer Study Group institution that is funded by the National Cancer Institute (NCI) and has been approved by a Cooperative Group as a blood or marrow stem cell transplant center;

(2) An NCI-designated Cancer Center; or

(3) An institution that has a peer-reviewed grant funded by the National Cancer Institute (NCI) or National Institutes of Health (NIH) to study allogeneic or autologous blood or marrow stem cell transplants.

· Other facilities specifically listed in the benefits descriptions in Section 5(c).

What you must do to get covered care	Under Standard Option, you can go to any covered provider you want, but in some circumstances, we must approve your care in advance.
	Under Basic Option, you must use Preferred providers in order to receive benefits, except under the special situations listed below. In addition, we must approve certain types of care in advance. Please refer to Section 4, Your costs for covered services, for related benefits information.
	(1) Medical emergency or accidental injury care in a hospital emergency room and related ambulance transport as described in Section 5(d), Emergency services/accidents;
	(2) Professional care provided at Preferred facilities by Non-preferred radiologists, anesthesiologists, certified registered nurse anesthetists (CRNAs), pathologists, emergency room physicians, and assistant surgeons;
	(3) Laboratory and pathology services, X-rays, and diagnostic tests billed by Non-preferred laboratories, radiologists, and outpatient facilities;
	(4) Services of assistant surgeons;
	(5) Special provider access situations (contact your Local Plan for more information); or
	(6) Care received outside the United States and Puerto Rico.
	Unless otherwise noted in Section 5, when services of Non-preferred providers are covered in a special exception, benefits will be provided based on the Plan allowance. You are responsible for the applicable coinsurance or copayment, and may also be responsible for any difference between our allowance and the billed amount.
· Transitional care	Specialty care: If you have a chronic or disabling condition and
	· lose access to your specialist because we drop out of the Federal Employees Health Benefits (FEHB) Program and you enroll in another FEHB plan, or
	· lose access to your Preferred specialist because we terminate our contract with your specialist for reasons other than for cause,
	you may be able to continue seeing your specialist and receiving any Preferred benefits for up to 90 days after you receive notice of the change. Contact us or, if we drop out of the Program, contact your new plan.
	If you are in the second or third trimester of pregnancy and you lose access to your specialist based on the above circumstances, you can continue to see your specialist and your Preferred benefits will continue until the end of your postpartum care, even if it is beyond the 90 days.
· If you are hospitalized when your enrollment begins	We pay for covered services from the effective date of your enrollment. However, if you are in the hospital when your enrollment in our Plan begins, call us immediately. If you have not yet received your Service Benefit Plan ID card, you can contact your Local Plan at the telephone number listed in your local telephone directory. If you already have your new Service Benefit Plan ID card, call us at the number on the back of the card. If you are new to the FEHB Program, we will reimburse you for your covered services while you are in the hospital beginning on the effective date of your coverage.
	However, if you changed from another FEHB plan to us, your former plan will pay for the hospital stay until:
	· You are discharged, not merely moved to an alternative care center; or
	· The day your benefits from your former plan run out; or
	· The 92nd day after you become a member of this Plan, whichever happens first.
	These provisions apply only to the benefits of the hospitalized person. If your plan terminates participation in the FEHB in whole or in part, or if OPM orders an enrollment change, this continuation of coverage provision does not apply. In such cases, the hospitalized family member’s benefits under the new plan begin on the effective date of enrollment.
How to get approval for…
· Your hospital stay	Precertification is the process by which – prior to your inpatient hospital admission – we evaluate the medical necessity of your proposed stay, the procedure(s)/service(s) to be performed, and the number of days required to treat your condition. Unless we are misled by the information given to us, we will not change our decision on medical necessity.
	In most cases, your physician or hospital will take care of precertification. Because you are still responsible for ensuring that your care is precertified, you should always ask your physician or hospital whether they have contacted us.
Warning:	We will reduce our benefits for the inpatient hospital stay by $500 if no one contacts us for precertification. If the stay is not medically necessary, we will not pay any benefits.
How to precertify an admission	· You, your representative, your doctor, or your hospital must call us at the telephone number listed on the back of your Service Benefit Plan ID card any time prior to admission.
	· If you have an emergency admission, due to a condition that you reasonably believe puts your life in danger or could cause serious damage to bodily function, you, your representative, your doctor, or your hospital must telephone us within two business days following the day of the emergency admission, even if you have been discharged from the hospital.
	· Provide the following information:
	- Enrollee’s name and Plan identification number;
	- Patient’s name, birth date, and phone number;
	- Reason for hospitalization, proposed treatment, or surgery;
	- Name and phone number of admitting doctor;
	- Name of hospital or facility; and
	- Number of planned days of confinement.
	· We will then tell the doctor and/or hospital the number of approved inpatient days and we will send written confirmation of our decision to you, your doctor, and the hospital.
Maternity care	You do not need to precertify a maternity admission for a routine delivery. However, if your medical condition requires you to stay more than 48 hours after a vaginal delivery or 96 hours after a cesarean section, then your physician or the hospital must contact us for precertification of additional days. Further, if your baby stays after you are discharged, then your physician or the hospital must contact us for precertification of additional days for your baby.
If your hospital stay needs to be extended:	If your hospital stay – including for maternity care – needs to be extended, you, your representative, your doctor, or the hospital must ask us to approve the additional days.
What happens when you do not follow the precertification rules	· If no one contacts us, we will decide whether the hospital stay was medically necessary.
	· If we determine that the stay was medically necessary, we will pay the inpatient charges, less the $500 penalty. [See Section 5(c) for payment information.]
	· If we determine that it was not medically necessary for you to be an inpatient, we will not pay inpatient hospital benefits. We will only pay for any covered medical supplies and services that are otherwise payable on an outpatient basis.
	If we denied the precertification request, we will not pay inpatient hospital benefits or inpatient physician care benefits. We will only pay for any covered medical supplies and services that are otherwise payable on an outpatient basis.

	When we precertified the admission but you remained in the hospital beyond the number of days we approved and you did not get the additional days precertified, then:
	· for the part of the admission that was medically necessary, we will pay inpatient benefits, but
	· for the part of the admission that was not medically necessary, we will pay only medical services and supplies otherwise payable on an outpatient basis and we will not pay inpatient benefits.
Exceptions:	You do not need precertification in these cases:
	· You are admitted to a hospital outside the United States.
	· You have another group health insurance policy that is the primary payor for the hospital stay. (See page 13 for special instructions regarding admissions to Blue Distinction Centers for Transplants.)
	· Medicare Part A is the primary payor for the hospital stay. (See page 13 for special instructions regarding admissions to Blue Distinction Centers for Transplants.)
	Note: If you exhaust your Medicare hospital benefits and do not want to use your Medicare lifetime reserve days, then you do need precertification.
· Other services	These services require prior approval under both Standard and Basic Option:
	· Outpatient surgical services – The surgical services listed below require prior approval when they are to be performed on an outpatient basis. This requirement applies to both the physician services and the facility services from Preferred, Participating/Member, and Non-participating/Non-member providers. You must contact us at the customer service number listed on the back of your ID card before obtaining these types of services.
	- Outpatient surgery for morbid obesity;
	- Outpatient surgical correction of congenital anomalies; and
	- Outpatient surgery needed to correct accidental injuries (see Definitions) to jaws, cheeks, lips, tongue, roof and floor of mouth.
	· Outpatient intensity-modulated radiation therapy (IMRT) – Contact us at the customer service number listed on the back of your ID card before obtaining services. We will request the medical evidence we need to make our coverage determination.
	· Hospice care – Contact us at the customer service number listed on the back of your ID card before obtaining home hospice, continuous home hospice, or inpatient hospice care services. We will request the medical evidence we need to make our coverage determination and advise you which home hospice care agencies we have approved. See page 75 for information about the exception to this requirement.
	· Outpatient mental health and substance abuse treatment – You must call us at the mental health and substance abuse number listed on the back of your ID card before receiving any outpatient professional or outpatient facility care [except visits for pharmacotherapy (medication management) or psychological testing]. We will then provide you with the names and phone numbers of several providers to choose from and tell you how many visits we are initially approving. For intensive outpatient treatment and partial hospitalization, we will request the medical evidence we need to make our coverage determination. We will also consider the necessary duration of either of these services.
	· Organ/tissue transplants – Contact us at the customer service number listed on the back of your ID card before obtaining services. We will request the medical evidence we need to make our coverage determination. We will consider whether the facility is approved for the procedure and whether you meet the facility’s criteria.
	· Clinical trials for certain organ/tissue transplants – See pages 62 and 63 for the list of conditions covered only in clinical trials for blood or marrow stem cell transplants. Contact our Transplant Clinical Trials Information Unit at 1-800-225-2268 for information or to request prior approval before obtaining services. We will request the medical evidence we need to make our coverage determination.
	Note: For the purposes of the blood or marrow stem cell clinical trial transplants listed on pages 62 and 63, a clinical trial is a research study whose protocol has been reviewed and approved by the Institutional Review Board of the Cancer Research Facility (see page 13) where the procedure is to be delivered.
	· Prescription drugs – Certain prescription drugs require prior approval. Contact our Retail Pharmacy Program at 1-800-624-5060 (TDD: 1-800-624-5077 for the hearing impaired) to request prior approval, or to obtain an updated list of prescription drugs that require prior approval. We will request the information we need to make our coverage determination. You must periodically renew prior approval for certain drugs. See page 97 for more about our prescription drug prior approval program, which is part of our Patient Safety and Quality Monitoring (PSQM) program.
	Note: Benefits for drugs to aid smoking cessation that require a prescription by Federal law are limited to one course of treatment per calendar year. Prior approval is required before benefits will be provided for additional medication. To obtain approval, the physician must certify the patient is participating in a smoking cessation program that provides clinical treatment, including counseling and behavioral therapies.
	Note: Until we approve them, you must pay for these drugs in full when you purchase them – even if you purchase them at a Preferred retail pharmacy or through an internet pharmacy – and submit the expense(s) to us on a claim form. Preferred pharmacies will not file these claims for you.
	Under Standard Option, members may use our Mail Service Prescription Drug Program to fill their prescriptions. However, the Mail Service Prescription Drug Program also will not fill your prescription until you have obtained prior approval. Medco, the administrator of the Mail Service Prescription Drug Program, will hold your prescription for you up to thirty days. If prior approval is not obtained within 30 days, your prescription will be returned to you along with a letter explaining the prior approval procedures.
	The Mail Service Prescription Drug Program is not available under Basic Option.
Surgery by Non-participating providers under Standard Option	You may request prior approval and receive specific benefit information in advance for non-emergency surgeries to be performed by Non-participating physicians when the charge for the surgery will be $5,000 or more. When you contact your local Blue Cross and Blue Shield Plan before your surgery, the Local Plan will review your planned surgery to determine your coverage, the medical necessity of the procedure(s), and the Plan allowance for the services. You can call your Local Plan at the customer service number on the back of your ID card.
	Note: Standard Option members are not required to obtain prior approval for surgeries performed by Non-participating providers (unless the surgery is listed on page 16 or is one of the transplant procedures listed above) – even if the charge will be $5,000 or more. If you do not call your Local Plan in advance of the surgery, we will review your claim to provide benefits for the services in accordance with the terms of your coverage.

Section 4. Your costs for covered services
This is what you will pay out-of-pocket for your covered care:
Copayment	A copayment is a fixed amount of money you pay to the provider, facility, pharmacy, etc., when you receive certain services.
	Example: If you have Standard Option when you see your Preferred physician, you pay a copayment of $20 for the office visit and we then pay the remainder of the amount we allow for the office visit. (You may have to pay separately for other services you receive while in the physician’s office.) When you go into a Preferred hospital, you pay a copayment of $200 per admission. We then pay the remainder of the amount we allow for the covered services you receive.
	Copayments do not apply to services and supplies that are subject to a deductible and/or coinsurance amount.
	Note: If the billed amount (or the Plan allowance that providers we contract with have agreed to accept as payment in full) is less than your copayment, you pay the lower amount.
Cost-sharing	Cost-sharing is the general term used to refer to your out-of-pocket costs (e.g., deductible, coinsurance, and copayments) for the covered care you receive.
Deductible	A deductible is a fixed amount of covered expenses you must incur for certain covered services and supplies before we start paying benefits for them. Copayments and coinsurance amounts do not count toward your deductible. When a covered service or supply is subject to a deductible, only the Plan allowance for the service or supply that you then pay counts toward meeting your deductible.
	Under Standard Option, the calendar year deductible is $300 per person. Under a family enrollment, the calendar year deductible for each family member is satisfied and benefits are payable for all family members when the combined covered expenses of the family reach $600.
	Note: If the billed amount (or the Plan allowance that providers we contract with have agreed to accept as payment in full) is less than the remaining portion of your deductible, you pay the lower amount.
	Example: If the billed amount is $100, the provider has an agreement with us to accept $80, and you have not paid any amount toward meeting your Standard Option calendar year deductible, you must pay $80. We will apply $80 to your deductible. We will begin paying benefits once the remaining portion of your Standard Option calendar year deductible ($220) has been satisfied.
	Note: If you change plans during Open Season and the effective date of your new plan is after January 1 of the next year, you do not have to start a new deductible under your old plan between January 1 and the effective date of your new plan. If you change plans at another time during the year, you must begin a new deductible under your new plan.
	Under Basic Option, there is no calendar year deductible.
Coinsurance	Coinsurance is the percentage of the Plan allowance that you must pay for your care. Your coinsurance is based on the Plan allowance, or billed amount, whichever is less. Under Standard Option only, coinsurance does not begin until you meet your deductible.
	Example: You pay 15% of the Plan allowance under Standard Option for durable medical equipment obtained from a Preferred provider, after meeting your $300 calendar year deductible.
If your provider routinely waives your cost	Note: If your provider routinely waives (does not require you to pay) your applicable deductible (under Standard Option only), coinsurance, or copayments, the provider is misstating the fee and may be violating the law. In this case, when we calculate our share, we will reduce the provider’s fee by the amount waived.
	Example: If your physician ordinarily charges $100 for a service but routinely waives your 35% Standard Option coinsurance, the actual charge is $65. We will pay $42.25 (65% of the actual charge of $65).
Waivers	In some instances, a Preferred, Participating, or Member provider may ask you to sign a “waiver” prior to receiving care. This waiver may state that you accept responsibility for the total charge for any care that is not covered by your health plan. If you sign such a waiver, whether you are responsible for the total charge depends on the contracts that the Local Plan has with its providers. If you are asked to sign this type of waiver, please be aware that, if benefits are denied for the services, you could be legally liable for the related expenses. If you would like more information about waivers, please contact us at the customer service number on the back of your ID card.
Differences between our allowance and the bill	Our “Plan allowance” is the amount we use to calculate our payment for certain types of covered services. Fee-for-service plans arrive at their allowances in different ways, so allowances vary. For information about how we determine our Plan allowance, see the definition of Plan allowance in Section 10.
	Often, the provider’s bill is more than a fee-for-service plan’s allowance. Whether or not you have to pay the difference between our allowance and the bill will depend on the type of provider you use. In this Plan, we have the following types of providers:
	· Preferred providers. These types of providers have agreements with the Local Plan to limit what they bill our members. Because of that, when you use a Preferred provider, your share of the provider’s bill for covered care is limited.
	Under Standard Option, your share consists only of your deductible and coinsurance or copayment. Here is an example about coinsurance: You see a Preferred physician who charges $150, but our allowance is $100. If you have met your deductible, you are only responsible for your coinsurance. That is, under Standard Option, you pay just 15% of our $100 allowance ($15). Because of the agreement, your Preferred physician will not bill you for the $50 difference between our allowance and his/her bill.
	Under Basic Option, your share consists only of your copayment or coinsurance amount, since there is no calendar year deductible. Here is an example involving a copayment: You see a Preferred physician who charges $150 for covered services subject to a $25 copayment. Even though our allowance may be $100, you still pay just the $25 copayment. Because of the agreement, your Preferred physician will not bill you for the $125 difference between your copayment and his/her bill.
	Remember, under Basic Option, you must use Preferred providers in order to receive benefits. See page 14 for the exceptions to this requirement.
	· Participating providers. These types of Non-preferred providers have agreements with the Local Plan to limit what they bill our Standard Option members.
	Under Standard Option, when you use a Participating provider, your share of covered charges consists only of your deductible and coinsurance or copayment. Here is an example: You see a Participating physician who charges $150, but the Plan allowance is $100. If you have met your deductible, you are only responsible for your coinsurance. That is, under Standard Option, you pay just 35% of our $100 allowance ($35). Because of the agreement, your Participating physician will not bill you for the $50 difference between our allowance and his/her bill.
	Under Basic Option, there are no benefits for care performed by Participating providers; you pay all charges. See page 14 for the exceptions to this requirement.
	· Non-participating providers. These Non-preferred providers have no agreement to limit what they will bill you.

	Under Standard Option, when you use a Non-participating provider, you will pay your deductible and coinsurance – plus any difference between our allowance and the charges on the bill (except in certain circumstances – see page 128). For example, you see a Non-participating physician who charges $150. The Plan allowance is again $100, and you have met your deductible. You are responsible for your coinsurance, so you pay 35% of the $100 Plan allowance or $35. Plus, because there is no agreement between the Non-participating physician and us, the physician can bill you for the $50 difference between our allowance and his/her bill.
	Under Basic Option, there are no benefits for care performed by Non-participating providers; you pay all charges. See page 14 for the exceptions to this requirement.
	The following table illustrates examples of how much you have to pay out-of-pocket for services from a Preferred physician, a Participating physician, and a Non-participating physician. The table uses our example of a service for which the physician charges $150 and the Plan allowance is $100. For Standard Option, the table shows the amount you pay if you have met your calendar year deductible.
EXAMPLE	Preferred physician Standard Option		Preferred physician Basic Option		Participating physician (Standard Option*)		Non-participating physician (Standard Option*)
Physician’s charge		$150		$150		$150		$150
Our allowance	We set it at:	100	We set it at:	100	We set it at:	100	We set it at:	100
We pay	85% of our allowance:	85	Our allowance less copay:	75	65% of our allowance:	65	65% of our allowance:	65
You owe: Coinsurance	15% of our allowance:	15	Not applicable		35% of our allowance:	35	35% of our allowance:	35
You owe: Copayment	Not applicable			25	Not applicable