Page 6 - Nortek California Employee Guide
P. 6
Open
Enrollment
Glossary
X Premium: The amount you contribute each month from your
paycheck for insurance coverage.
X Deductible: A set dollar amount you have to pay for your
healthcare expenses before the company starts to share costs with
you. Deductibles vary by plan and by coverage levels.
X Coinsurance: Once you’ve satisied the deductible, this is a set
percentage of the remaining costs which are your responsibility,
until you reach your out-of-pocket max.
X Copay: A set dollar amount you pay for services every time you
use them.
X Out of pocket max: Generally, the most you can spend on
healthcare for the year, not including your monthly premiums.
X HRA: A Health Reimbursement Arrangement includes an account
that the company establishes for you. HRAs do not accept
employee contributions.
X HSA: A Health Savings Account is a personal bank account you
own and is used to pay for qualiied medical expenses. Whatever
money you contribute or accumulate is yours for life. Employees
can make contributions to the account up to the allowed maximum
contribution limits. The IRS contribution limits for 2015 are
$3,350 for individuals and $6,650 for families. These funds can
be withdrawn at any time to cover qualiied medical expenses as
deined by the IRS.
6
Enrollment
Glossary
X Premium: The amount you contribute each month from your
paycheck for insurance coverage.
X Deductible: A set dollar amount you have to pay for your
healthcare expenses before the company starts to share costs with
you. Deductibles vary by plan and by coverage levels.
X Coinsurance: Once you’ve satisied the deductible, this is a set
percentage of the remaining costs which are your responsibility,
until you reach your out-of-pocket max.
X Copay: A set dollar amount you pay for services every time you
use them.
X Out of pocket max: Generally, the most you can spend on
healthcare for the year, not including your monthly premiums.
X HRA: A Health Reimbursement Arrangement includes an account
that the company establishes for you. HRAs do not accept
employee contributions.
X HSA: A Health Savings Account is a personal bank account you
own and is used to pay for qualiied medical expenses. Whatever
money you contribute or accumulate is yours for life. Employees
can make contributions to the account up to the allowed maximum
contribution limits. The IRS contribution limits for 2015 are
$3,350 for individuals and $6,650 for families. These funds can
be withdrawn at any time to cover qualiied medical expenses as
deined by the IRS.
6
