Deals and People March 16, 2006

Principal Taps New TPA Business Head

March 16, 2006 (PLANSPONSOR.com) - In a move to increase the focus on its services linking third party administrators (TPAs) with clients, The Principal Financial Group has announced the appointment of Jeff Schreiber as vice president of business development-TPA.
Reported by

In his new role at The Principal, Schreiber will direct The Principal TPA distribution network, including developing and implementing products and services within the TPA channel and growing existing and new relationships with TPAs at the local level.

Get more!  Sign up for PLANSPONSOR newsletters.

He was most recently with Fidelity Investments Life Insurance where he expanded distribution partners and directed overall marketing efforts.

More information on Principal Professional Link can be found at www.principal.com . The Principal launched Principal Professional Link in 2001. According to the announcement, the program positions TPA alliances with clients as the plan design and compliance experts.

Through the service, The Principal supports TPAs providing recordkeeping, investments, enrollment services and participant solutions, the Principal said.

Benefits March 15, 2006

Ford to Charge for Spousal Health Coverage

March 15, 2006 (PLANSPONSOR.com) - In its continued effort to reduce health care costs, Ford Motor Company has announced it will charge for health insurance and dental coverage for worker's spouses or same-sex domestic partners that are eligible for non-Ford health insurance.
Reported by

On June 1, workers will begin paying $110 a month for health insurance and $11 a month for dental benefits for their spouses or same-sex domestic partners who have access to other coverage, the Detroit News reports.

Get more!  Sign up for PLANSPONSOR newsletters.

According to the Detroit News, additional changes that will be implemented as of June 1 include:

  • Active salaried workers who opt for the Ford Medical Plan will continue to avoid monthly premiums, but their annual deductibles will increase by nearly 17%.
  • Workers who select an alternative health plan will see their monthly premiums go up 30 percent on average, while their annual deductibles will rise 33%.
  • Ford will cap health care spending for retirees and their surviving spouses at the average 2006 level. After that, any increases in insurance premiums will have to be paid entirely by the retirees or their survivors.

Ford spent $3.5 billion on health care expenses in 2005, compared with $3.1 billion the previous year, according to the Associated Press. The automaker has not projected how much it expects to spend on health care this year.

Recently a federal judge gave tentative approval to Ford’s retiree health-care concessions deal with the United Auto Workers (See Judge Approves Ford Retiree Health Pact ).

«