Group Long-Term Care Insurance for Individual Purchase
Full Time for Active Employees, Family Members, Retirees

The Fund Plan Summary

With Group Long-term Care from CNA, you choose the plan that you feel meets your needs. All participants have the flexibility to select from several plan options.

The following chart illustrates the major features of the plan. It is intended to provide a general overview of the plan described. Please obtain an enrollment brochure (call 1-877-777-9072) for actual terms, qualification for benefits requirements, coverage levels and exclusions.

The following apply to each option

• A Flexibility Model
  Once you qualify for benefits, CNA will pay to you the amount that you selected for each day that you receive qualified services - regardless of the actual charge. Example: You select the $150 per day benefit and qualified services equal $120. CNA will pay you $150.
• The Disability Model
  In long-term care, there are two models from which to choose: Reimbursement and Disability. Most plans today are Reimbursements programs. These plans reimburse for formal care and many do not include informal home care. A special program was designed for the Fund that covers both formal and informal care. We have chosen the Disability Model (sometimes called the Indemnity Model). If your physician certifies a disability, such as the loss of two ADL's, the full home care is paid without requiring constant submission of claims. Expenses are not itemized and benefit that was chosen is paid. This means that the benefits are paid even if the caregiver is a family member, friend or volunteer.
• Waiting Period
  For any combination of nursing home and community-based care: 90 calendar days.
• Waiver of Premium
  After your 90 calendar day waiting period is satisfied, you will not have to pay premiums in order to keep your coverage. Your premiums will be waived while you are receiving benefits. This means you will never have to repay those premiums.
• Caregiver Training Benefit
  CNA will pay up to 3 times the community based care benefit that you select for the training of an informal caregiver in your home.
• Enhanced Informal Care Benefit
  CNA will pay up to 40% of the nursing home daily maximum benefit for services provided by a trained informal caregiver. Benefits are paid in conjunction with other benefits - such as a community based care. This means that if the claimant receives informal care and community based care services on the same day, total benefits will not exceed the daily maximum for the community based care benefit.
• Hospice Benefit
  CNA will pay benefits for terminally ill claimants. The payment will equal either the nursing home benefit or the community based care benefit you select depending on where the care is received.
• Temporary Bed Holding Benefit
  Your plan will pay 100% of the eligible expense not to exceed the maximum daily benefit for nursing home care, up to 21 days per calendar year, to hold your bed in a nursing home during your absence.
• Care Management
  CNA's care management program is a voluntary program designed to evaluate and meet the individual needs of long-term care claimants and expand their care options. As a result, claimants can often remain in a home setting, improving their quality of life and preserving benefit dollars.
• Premiums Do Not Increase Because You Age
  Your rates do not increase just because you grow older. Therefore, the younger you are when your coverage begins, the lower your premiums will be for the duration of your participation in the plan. Additionally, you can never be singled out for a rate increase because you get older, become ill or because of the claims you may file.
• Guaranteed Renewable
  The group's claims experience is pooled. Therefore, your coverage can never be cancelled while you are employed or retired as long as you continue to pay your premiums and you haven't received benefits up to your lifetime maximum benefit.
• Portable Coverage
  Should you retire or terminate employment for any reason, you can continue your coverage at the same premiums. CNA will continue to bill you at home for the exact same coverage.
• Inflation Protection Option
  You have two ways to protect your benefits from the effects of inflation over time.
• Guaranteed Benefit Increase Option
  So that your plan coverage can keep up with inflation, you will periodically be given opportunities (via a letter to your home) to increase your daily benefit amount.
• Lifetime Automatic Benefit Increase
• By selecting this optional feature, each year on your policy anniversary date your benefit levels automatically increase 5% of the prior years amount for life.

To enroll, or for more information on premiums, limitations, and exclusions, request an enrollment kit from CNA at: 1-877-777-9072, Monday - Friday, 8:00 a.m. - 6:00 p.m. (Eastern)

Sample Fund Plan Monthly Premiums

The chart below summarizes the monthly premiums for a $100 per day benefit, with the standard inflation protection feature, for each of the three lifetime maximum options. All premiums will be paid directly to CNA. Your first invoice will be for a quarterly payment.

Who Is Eligible For Coverage?

• You, as an actively at work **"full-time" employee who is a union member represented by Philadelphia Federation of Teachers Health & Welfare Fund,
• Your spouse,
• A retiree represented by Philadelphia Federation of Teachers Health & Welfare Fund
• Your parents and parents-in-law,
• Your grandparents and grandparents-in-law

Enrollment

• Eligible Employees
  
  All full time eligible employees that enroll from November 1, 2001 - February 1, 2002 are guaranteed acceptance into the new plan - as long as he/she is actively at work on his/her coverage effective date. There are no medical questions during this enrollment period for eligible employees. Coverage effective dates will be set based on the date CNA receives and processes your application. The earliest effective date will be December 1, 2001. All eligible employee coverage will be billed directly to the home.
  
  If an eligible employee applies anytime after February 1, 2002, he/she will be required to submit evidence of good health before being accepted into the plan. Coverage will not be guaranteed at that time.
   
• Spouses
  
  An eligible employee's spouse may also apply for coverage. Spouse coverage is not guaranteed. Spouse coverage is subject to CNA underwriting approval. All approved spouse coverage will be billed directly to the home. A spouse may apply even if the eligible employee chooses not to participate.
  
  Spouses of current active employees that have purchased a Standard or Preferred Long-Term Care policy in the two year period proceeding their new enrollment date need only complete the same form as the active employee.
   
• Retiree, their spouses, all parents, parents-in-law, grandparents and in-laws.
  
   All can apply for coverage at any time. They have no enrollment window. All coverage is subject to CNA underwriting approval. All approved coverage will be billed directly to their homes.

How Can You Get More Information?

• Request An Enrollment Kit From CNA
  
  CNA has prepared enrollment kits that detail the need for long-term care, explain the features of our plan design, include the premiums, application and exclusions. To request an enrollment kit for you, you spouse, or an extended family member simply call a CNA long-term care counselor at:
  
  1-877-777-9072
  8:00 a.m. to 6:00 p.m. (Eastern)
  
  To ask for a presentation at your school or work location call 610-971-2869. Identify your call by saying you need information concerning the PFT Fund's Long-Term Care Policy. Set up the date, time and place.
   
• Visit The Web Site
  
  CNA has also created an interactive web site specifically for our group. The site will be available beginning October 15th. The site will contain our plan design, rates, exclusions, and enrollment criteria - similar to the enrollment kit. Additionally, the site will allow you to model various plan options to determine what plan best fits your budget.
  
  The web address on October 15th is: www.itcbenefits.com
  
  The password is: PFTHWFLTC
  
  After reviewing the site, please feel free to:
  1. Download application from the site. Complete and mail directly to CNA.
  2. Ask a question via the web. Their customer service center will respond.
  3. Request an enrollment kit via their site.
  4. Call 1-877-777-9072 for specific questions (8 a.m. to 6 p.m. Eastern Time).
  5. Building Reps call 610-971-2869 to ask for a presentation.