Dear UFCW Local 455 Kroger Members,
We have the power to bargain and change things for the better and demand proper oversight of our healthcare. As a result of your Union bargaining for you, your medical, prescription, dental, vision, weekly disability, and life/AD&D benefits are provided through the United Food & Commercial Workers Union & Employers Health & Welfare Fund – Atlanta. While there are many changes and reforms your Union would like to see, the following information is meant to help you understand and navigate the basics of your current health benefits.
Who is Eligible and How Enrollment Works:
Every worker can be covered once they have worked the Kroger and Fund-required hours and an initial enrollment notice has been mailed out to their home residence and then again at the scheduled yearly enrollment date.
Eligibility is currently determined after a 12-month measuring period and an average of 27 hours worked per week to determine if new hires are to be considered eligible for the Health & Welfare Fund. The 27 hours eligibility requirement is Kroger’s idea & bargaining objective, however, one of your Union’s goals is to lower these eligibility hours so that more of your co-workers can be eligible for the same great benefits.
What are 10% Guardrails and Why are They Needed?
Each year the Atlanta Fund Consultant calculates the average claim cost per employee per month (PEPM) based on the established benchmark periods. These costs include net medical claims, HMO premiums, prescription drug claims, dental premiums, vision premiums, life/AD&D insurance premiums and accident and sickness paid claims.
If the cost were to exceed 10% from the first benchmark (August 1, 2024, through July 31, 2025) to the second benchmark (August 1, 2025, through July 31, 2026), the bargaining parties are required to make plan design changes to take effect on the first day of the 2027 calendar year that equal the amount that exceeded the 10% ceiling. Simply put, if the cost exceeds the guardrails you take benefit cuts. Having a mechanism in place to potentially force benefit cuts on you was and is Kroger’s idea and bargaining objective, however, your Union would like to see these guardrail percentages increased to avoid any future potential benefit cuts.
Employee Contributions To Fund Benefits
Employees are required to make weekly premium contributions for coverage under Plan One & Plan Two based on who you enlisted on your healthcare plan.
Other Out-of-pocket Costs
Deductibles
An amount of money that the insured person (you) must pay before the fund will pay a claim.
MAX out-of-pocket costs
Costs that individuals must pay themselves for medical services. These expenses are not covered by the plan until you meet the required maximum amount.
