Verizon Communications Inc.

Verizon Communications Inc's pension plan is a defined benefit plan. This plan type provides a monthly retirement benefit and in some cases a lump sum using the Northrop Grumman segment rates that is adjusted for early retirement using age penalties to Verizon Communications Inc's employees upon reaching a specific age.

At the time of retirement, benefits from Verizon Communications Inc pension plans are calculated using a formula based on Verizon Communications Inc's compensation information and Verizon Communications Inc years of credited service. Upon reaching 'normal retirement age', benefits are paid to the contributor for the remainder of their lifetime. Benefits that are accumulated under this plan type are often referred to as 'accrued benefits'. In this plan type, the Verizon Communications Inc alternate payee may be given a lump sum cash payment from the Plan. They also are able to receive a monthly benefit payable for either the lifetime of the Contributor (a 'shared payment') or the Alternate Payee (a 'separate interest') as an alternative to the Verizon Communications Inc lump sum.

With this type of plan, the alternate payee is usually not awarded a lump sum cash payment from the plan. Rather, the alternate payee's award is typically made in terms of a monthly benefit payable for either the lifetime of the participant (a "shared payment") or the alternate payee (a "separate interest").

With this type of plan, the Alternate Payee is usually not awarded a lump sum cash payment from the Plan. Rather, the Alternate Payee's award is typically made in terms of a monthly benefit payable for either the lifetime of the Participant (a "shared payment") or the Alternate Payee (a "separate interest").

Features of the Verizon Communications Inc. plan may include:

1. You may have benefits accrued under this Plan maybe pay related

2. You may have benefits accrued under this Plan maybe "flat dollar" (includes dollars per year of service)

3. You may also have a "Cash Balance" or similar plan, meaning that the Plan has a "cash balance" formula for determining benefits. For this purpose, a "cash balance" formula is a benefit formula in a defined benefit plan by whatever name (for example, personal account plan, pension equity plan, life cycle plan, cash account plan, etc.) that rather than, or in addition to, expressing the accrued benefit as a life annuity commencing at normal retirement age, defines benefits for each employee in terms more common to a defined contribution plan such as a "single sum distribution amount" (for example, 10 percent of final average pay times years of service, or the amount of the employee's hypothetical account balance).

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Verizon Communications Inc. Healthcare Basics

Verizon Communications Inc. and Miscellaneous Employer-Sponsored Health Insurance

Verizon Communications Inc. and employer-sponsored health insurance is a health policy selected and purchased by your employer or Verizon Communications Inc. and offered to eligible employees and their dependents. These are also called group plans or Verizon Communications Inc. group health insurance.  Depending on where you work your employer, if not Verizon Communications Inc., will typically share the cost of your premium with you.  If you work for Verizon Communications Inc. you could reach out by calling the Verizon Communications Inc. plan administrator at 908-559-3342

Advantages of an employer plan:

1. Your employer often splits the cost of premiums with you.

2. Your employer does all of the work choosing the plan options.

3. Premium contributions from your employer are not subject to federal taxes, and your contributions can be made pre-tax, which lowers your taxable income.   

Miscellaneous Employer and Verizon Communications Inc. Health Insurance Plan Types and Definitions

It has been reported that just over 200 million Americans have health insurance coverage from commercial or private market health insurance.  Over the past 30 years, the financial and legal structure of such insurance has varied. No one "model" has dictated the market, although there are strong trends -- from the original "indemnity" or fee-for-service approach of 25 years ago, to HMOs (Health Maintenance Organizations) in the 1990's, to "Preferred Provider Organizations" (PPOs) in the past ten years. 

The specific terms and structures can be confusing to employers, Verizon Communications Inc. enrollees, and even policymakers.  The summary definitions below were compiled and promulgated by the United States Department of Labor.  NCSL has added notations in selected cases, with source footnotes.

The Federal Health Reform Law:  The Affordable Care Act of 2010 (ACA) has numerous provisions that changed the structure and extent of health insurance coverage at VERIZON COMMUNICATIONS INC. and other employer sponsored plans 

According to the Act, the Secretary [of Health and Human Services] is responsible for defining the fundamental health benefits for a number of different health plans. The Act also directs the Secretary to guarantee that the range of benefits offered under the Act is equivalent to that of a standard employment plan. According to the Act, the Secretary of Labor must survey employers offering employer-sponsored insurance to ascertain the benefits that are normally provided by employers. The Secretary of Health and Human Services must be informed of the survey's findings. Contact the plan administrator at 908-559-3342 to learn more about how the Affordable Care Act impacts Verizon Communications Inc.

Basic Type of health Insurance at Verizon Communications Inc. and other employers

Various companies and different type of plans. To get the details contact your company and if you work for Verizon Communications Inc.,  read the Healthcare SPD call Verizon Communications Inc. at  908-559-3342

Lets discuss the basics

Indemnity plan - A type of medical plan that reimburses the patient and/or provider as expenses are incurred.

Conventional indemnity plan - An indemnity that allows the participant the choice of any provider without effect on reimbursement. These plans reimburse the patient and/or provider as expenses are incurred.

Preferred provider organization (PPO) plan - An indemnity plan in which members receive coverage via a network of pre-selected healthcare providers (doctor offices and hospitals, for example). Enrollees who choose to travel outside the network will pay more because they will have to pay higher deductibles, higher coinsurance rates, or non-discounted provider charges.

Exclusive provider organization (EPO) plan - A more stringent kind of preferred provider organization plan wherein employees can only obtain coverage from hospitals and physicians in the designated network; non-network providers are not covered unless an emergency arises.

Health maintenance organization (HMO) - a health care system that, typically in exchange for a set, prepaid charge, takes on the financial risks involved in offering HMO members comprehensive medical services (insurance and service risk) as well as the responsibility for health care delivery in a certain geographic area. The HMO's participating providers may share financial risk.

Group Model HMO - An HMO that arranges for care for its members to be provided by a single multispecialty medical group. The group practice has the option of working only with the HMO or offering its services to patients who are not members of the HMO. The medical group receives a negotiated per capita rate from the HMO, which it typically pays on a salaried basis to its doctors. There are three different types of HMOs: Individual Practice Association (IPA) HMO, Network Model HMO, and Staff Model HMO.

Point-of-service (POS) plan - An "HMO/PPO" hybrid, a POS plan is also known as a "open-ended" HMO when provided by an HMO. For in-network services, POS plans are comparable to HMOs. Reimbursement for services rendered outside of the network is typically handled similarly to traditional indemnity plans (i.e., reimbursement to providers according to a schedule of fees or normal, customary, and reasonable costs).

Physician-hospital organization (PHO) - Partnerships between hospitals and doctors to increase market share, strengthen their negotiating position, and save overhead. These companies offer their services directly to employers or to managed care groups.

Medigap Supplemental Plans - Roughly 10 million Medicare beneficiaries purchase Medigap policies from private insurance companies, at a cost that ranges from approximately $1,000 to $5,000 per year, depending on the options available in the plan and the state of purchase. Studies have shown that Medigap policy holders use more medical services than those enrolled in traditional Medicare alone, primarily because the most popular Medigap plans provide "first-dollar" coverage. This means that Medigap actually pays the Medicare deductibles, copayments, and other expenses that beneficiaries are typically required to pay as a means of spreading the cost burden and reining in unnecessary use of services. [Medigap from Health Affairs, 9/11]