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<p class=MsoNormal><font size=3 face=Arial><span style='font-size:12.0pt;
font-family:Arial'>Dear Business Managers:<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=3 face=Arial><span style='font-size:12.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'>On September 24, 2010, OEBB filed
temporary rules to implement changes which expand coverage and eligibility for
dependents age 19 through 25. These changes may affect members who chose not to
add a dependent child who gained eligibility for OEBB plans effective October
1, 2010 due to the federal healthcare reform legislation.<o:p></o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'>At their core, the changes are:<o:p></o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in;mso-list:l0 level1 lfo1;
text-autospace:none'><![if !supportLists]><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'><span style='mso-list:Ignore'>1)<font
size=1 face="Times New Roman"><span style='font:7.0pt "Times New Roman"'>    
</span></font></span></span></font><![endif]><font face=Arial><span
style='font-family:Arial'>Dependents age 19 through 25 who were enrolled in
dental and/or vision coverage during the 2010 Open Enrollment period <b><u><span
style='font-weight:bold'>will not</span></u></b> be subject to the 12-month
waiting period, and<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:.25in;text-autospace:none'><font size=3
face=Arial><span style='font-size:12.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in;mso-list:l0 level1 lfo1;
text-autospace:none'><![if !supportLists]><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'><span style='mso-list:Ignore'>2)<font
size=1 face="Times New Roman"><span style='font:7.0pt "Times New Roman"'>    
</span></font></span></span></font><![endif]><font face=Arial><span
style='font-family:Arial'>Dependents age 19 through 25 who have access to other
health care coverage (through any source, including their own employment) <b><u><span
style='font-weight:bold'>are eligible</span></u></b> for OEBB coverage.<o:p></o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 color=red
face=Arial><span style='font-size:12.0pt;font-family:Arial;color:red'>As a
result of these changes, OEBB will allow members who chose not to cover a
dependent child <b><span style='font-weight:bold'>who became eligible due to
the federal provisions</span></b>, to add or enroll their dependent in medical,
dental, and/or vision coverage at this time.</span></font><font face=Arial><span
style='font-family:Arial'> The member must submit an “Overage Dependent<o:p></o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'>Child QSC Change Form” (which
will be available on the forms page of the OEBB website next week) to their
Educational Entity no later than October 29, 2010. Coverage must be
retroactively effective October 1, 2010.<o:p></o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'>Attached are two documents which
OEBB will mail directly to members along with their benefits statements on
October 8, 2010.  One explains the changes described above, and the other
explains the new restrictions on rescission of coverage (described in an email
sent out yesterday).<o:p></o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'>Thank you for your assistance in
communicating and implementing these changes for any affected OEBB members.<o:p></o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='text-autospace:none'><font size=3 face=Arial><span
style='font-size:12.0pt;font-family:Arial'>If you have any questions about
these changes, please call OEBB Member Services at (888) 469-6322, or email <a
href="mailto:oebb.benefits@state.or.us">oebb.benefits@state.or.us</a>.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoAutoSig><b><font size=3 color=navy face=Calibri><span
style='font-size:12.0pt;font-family:Calibri;color:navy;font-weight:bold'>Jackie
Cowsill<o:p></o:p></span></font></b></p>

<p class=MsoAutoSig><font size=3 color=navy face=Calibri><span
style='font-size:12.0pt;font-family:Calibri;color:navy'>Communications
Coordinator<o:p></o:p></span></font></p>

<p class=MsoAutoSig><st1:State w:st="on"><st1:place w:st="on"><font size=3
  color=navy face=Calibri><span style='font-size:12.0pt;font-family:Calibri;
  color:navy'>Oregon</span></font></st1:place></st1:State><font color=navy
face=Calibri><span style='font-family:Calibri;color:navy'> Educators Benefit
Board<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>

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