Auto Insurance Information

Q: Who is covered under an auto policy?

A:  Your policy covers you, your spouse, other relatives who live in your household and others who have permission to drive one of your covered vehicles. In a No-fault insurance state, your own policy would provide coverage for bodily injury and/or property damage without regard to fault. Some policies have Named Operator provisions which requires that all drivers must be listed on the policy to be covered.

Q: Are there other, optional coverages available?

A:  Once you've met the minimum legal liability requirements, you should select other types and amounts of coverage to tailor your policy to your own needs. In addition to Liability coverage to protect you when you do damage to others, here's what an auto policy may cover:

• Damage to your car.
  Your car may be covered against collisions it may have with any other object, if you select collision coverage. Your car may also be covered against damage caused by other events such as vandalism, theft, broken glass, storms and falling objects, if you select "other than collision" coverage.
• You and your passengers against uninsured or underinsured motorists.
  If you're hit by someone who either doesn't have insurance or doesn't have enough insurance to cover the accident, uninsured motorist coverage and underinsured motorist coverage may provide additional protection. (In some states this coverage is mandatory.)
• You and your passengers for medical costs.
  Your policy may provide coverage for reasonable and necessary medical and/or funeral expenses incurred as a result of injuries sustained in an accident, if you select medical payments coverage and/or, if available in your state, personal injury protection coverage.

Q: What is Uninsured Motorists Car Damage coverage?

A:  Uninsured Motorists Car Damage coverage pays for damage to your automobile, that you are legally entitled to recover from an uninsured motorist, when caused by an accident where there is physical contact with the uninsured motorist's vehicle. Coverage provisions include a requirement that either the uninsured motorist be identified, or that the uninsured vehicle be identified by its license number. In addition, the accident report must be made available to us within 10 business days following the loss.

The coverage is limited to the lesser of: (1) the amount necessary to repair your car, (2) the actual cash value of your car, minus the value of the salvage, or (3) $3,500.

Q: Do I need to notify the insurance agency if my teenager is now driving the vehicle?

A: Yes. Once your teenage driver receives their driver's license, they must be listed as an operator on your automobile insurance policy, if they do not have an insurance policy of their own. In addition, they would be a listed operator on the policy regardless of the amount of time they spend driving a vehicle.

Q: What are some practical things I can do to lower my automobile insurance rates?

A:  There are a number of things you can do to lower the cost of your automobile insurance. The easiest thing to do is ask us to get quotes from several companies for you.

It is not uncommon to find quotes on automobile insurance that can vary by hundreds of dollars for the same coverage on the same care. When you shop, be careful to make sure each insurer of offering the same coverage.

Another way to lower the cost of your automobile insurance is to look for any discounts for which you may qualify. For example, many insurers will offer you a discount if you insure multiple cars under the same policy or if you have had a driver education class in the last five years. Be sure to ask us about their discount plans.

Another easy way to lower the cost of your automobile insurance is to increase the deductible. Simply raising your deductible from $250 to $500 can lower your premium sometimes by as much as five or ten percent.

Q. What is actual cash value (ACV) vs. replacement cost coverage?

A:  All auto policies are written for ACV. Because of the generally large availability of used vehicles, auto settlement values are determined by similar vehicles available in the market. Homeowners can endorse their policy to change their ACV to replacement cost coverage. ACV is based on the cost to replace with a new comparable item, less depreciation based on the age of the lost or damaged item. Replacement cost equals a new item's cost without depreciation.

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Business Insurance

Q: I'm just getting my business started. Do I need insurance immediately?

A:  Yes. Your chance of suffering a loss begins with the first day of business. If you suffer a loss and have no insurance or have improper or insufficient coverage, your insurance agent can do little, if anything, to help you.

Also, many states and local jurisdictions require businesses to have insurance to begin operating. And if you rent space for your business, your landlord probably requires you to obtain adequate insurance.

Q: Does insurance coverage vary for different businesses?

A:  It can. Many small businesses opt for package policies that cover the major Property and Liability exposures as well as for a loss of income. A common package policy used by many small businesses is called the Business Owners Policy (BOP).

Generally, BOPs provide more complete coverage at a lower price than separate policies for each type of insurance needed. We can help you decide which policy or policies are right for your business. You can also purchase additional coverage for perils or conditions otherwise excluded (e.g., flood protection) as endorsements to a standard policy or as a separate, second policy called a Difference in Conditions (DIC) policy.

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CIGNA HMO

Q: How does this plan work?

A: Because this is an HMO plan, members must us a participating provider. Instead of a deductible, the insured has co-payments for each procedure.

Q: How much are the co-payments?

A: The co-payments vary depending on the service. The enrollment package includes a brochure with a partial listing of procedures and co-payments.

Q: Can I cover my family with this plan?

A: Yes, however coverage is only available for dependents to age 19. Disabled dependents do qualify for coverage regardless of their age.

Q: How do I find a participating provider?

A: Cigna has both a website, www.cigna.com, and a toll free number 1-800-367-1037 where provider listings may be obtained.

Q: Can I change my provider at any time?

A: Yes, initially each member is assigned to a provider (of their choice) whom they must see for dental procedures. At any time the member may change the provider by contacting Cigna directly.

Q: Can I cancel this coverage at any time?

A: Yes. Coverage can be cancelled at any time and refunds will be issued for unused premium. A written letter of cancellation is required to cancel all policies. Once members have cancelled this coverage, they will not be eligible for re-enrollment in this plan.

Q: Do I have to become a member of RPEA to join this plan?

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ECPA

Q: What does ECPA stand for?

A: Eye Care Plan of America

Q: What coverage does this plan provide?

A: The ECPA Access plan is a discount plan which provides coverage for the whole household. The average discount is 37% and applies only to frames, lenses and contacts. The discount does not apply to the exam. A participating provider must be used to get the discount.

Q: How can I find out if there is a provider in my area?

A: ECPA has a website, www.ecpa.com, and a toll free number, 1-800-221-3272, where provider listings may be obtained.

Q: How much is this coverage?

A: The annual premium for the ECPA Access discount plan is $21.85 for the whole household, however this coverage come free with the PEF or RPEA sponsored GHI Preferred dental plans.

Q: Does this coverage have an annual benefit maximum?

A: No, there is no limit on selection or amount of use for this plan. Members may use the discount as often as they like and there is no limited selection to choose from. Members will receive the discount on any frames or lenses selected as long as they are using a participating provider.

Q: When will my coverage become effective?

A: Enrollment periods for this coverage are the same as the dental plans. Applications received before the 15 th of each month will be effective on the 1 st of the following month; (app's rec'd by 7/15/04 will be effective 8/1/04 - all apps rec'd between 7/15/04 and 8/15/04 will be effective 9/1/04...)

Q: Can I cancel my coverage at any time?

A: Yes, however no refund is issued for termination of this coverage because there is no way to track the use of this benefit.

Q: Do I have to become a member of RPEA or PEF to join the dental plan?

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General Insurance

Q: What are the advantages to using an agent to purchase insurance?

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GHI Dental

Q: What is the annual maximum that GHI will pay?

A: GHI will pay a maximum of $1200 per person per calendar year in benefits. Once this limit is met the insured is responsible for 100% of the charges accumulated for the rest of the calendar year. The annual maximum is always based on a calendar year, regardless of when the insured started the coverage. For example, if the insured's policy began on 10/1/2004, they will have $1200 coverage for 10/1/2004 - 1/1/2005.

Q: What is the deductible on my GHI dental plan?

A: There is a $25 per person per calendar year deductible. This deductible does not apply to preventative or diagnostic services.

Q: Does this GHI plan have open enrollment?

A: Yes. This means that you may apply for coverage at any time. All applications received prior to the 15 th of each month will be effective on the 1 st of the following month. For example, an application received on August 14 th will become effective on September 1 st, an application received on August 16 th will become effective on October 1 st.

Q: What are prosthetics?

A: Prosthetics are dental appliances such as dentures, bridges or crowns. Implants are NOT covered by the GHI Preferred dental plan.

Q: Is there any waiting period for Prosthetic coverage upon enrollment?

A: Yes. Only members who have either retired within the last 90 days (and had coverage while working), or members who have had Cobra coverage expiring within the last 60 days may apply for the 50% or 80% Prosthetic levels of coverage without a waiting period. All members not meeting these requirements must enroll in the basic level of coverage.

Q: When will the prosthetic coverage be available to me?

A: Members enrolled in the Basic level of coverage may choose to upgrade their policies to include the 50% Prosthetic rider on their one year anniversary in the plan. If the upgrade is not taken at this time, prosthetic coverage is no longer available, it is a one-time offer. If the upgrade to 50% is taken after one year, the 80% prosthetic rider will become available on the second anniversary with the plan.

Q: Until what age will this GHI plan cover dependent children?

A: The GHI Preferred dental plan will cover dependent children only until age 19, regardless of student status. Disabled dependents will be covered indefinitely however completed certification paperwork will be required.

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Hospital Indemnity

Q: What is Hospital Indemnity Insurance?

Q: Is this coverage available to retirees?

A: No, coverage is only available to actively working PEF members.

Q: If I should change jobs and am no longer a PEF member can I keep the coverage?

A: Yes, if you are no longer a PEF member you may convert your coverage to an individual policy.

Q: Will the daily benefit chosen reduce with age?

Q: Is coverage available for my family?

Q: Are there any exclusions to this policy?

A: Yes, this program does not cover hospital stays resulting from: pregnancy, childbirth, miscarriage, abortion (complications of pregnancy are covered), war, any act of war or military service, intentionally self-inflicted injuries, alcoholism or drug addiction, cosmetic surgery, treatment or services rendered in a government facility where there is no obligation to pay, taking part in the commission or attempted commission of a felony, check ups or pre-existing condition.

Q: What is a pre-existing condition?

A: Pre-existing condition means a condition for which medical treatment was rendered or recommended by a Physician within 12 months prior to the effective date of insurance as to be insured. A condition shall no longer be considered a pre-existing condition after the insurance has been in force as to the insured person for 12 consecutive months.

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Life Insurance

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Renters Insurance

Q: I'll soon be renting my own apartment. Is there insurance for that?

A: Yes. Renters insurance is a policy to protect your property and to protect you against liability. For example, if someone slips and falls in your apartment, you may be held liable if there is an injury. Renters insurance would cover that accident. All your possessions up to the monetary limits listed in your policy also would be covered for specified damages (both at home and when you travel).

If somebody sues for damages caused by you or your possessions (other than a vehicle covered by your auto insurance policy), your renters insurance policy would cover the cost of the lawsuit -- both defending it and settling it, if necessary -- up to the limit of coverage chosen.

Q: Does my landlord's insurance protect me?

A:  Generally, no. The property owner's insurance covers the building itself and seldom a tenant's possessions or liability. Clarify this with your landlord before signing a lease.

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