When COVID-19 escalated in the United States, Aetna, a CVS Health Company, was among the first in the industry to implement short-term crisis policy changes to support you and your workforce. As we shift to recovery planning, some of these policies will remain, while others will end.

The benefit liberalizations chart below applies to Aetna insured customers and summarizes our updated policy changes and effective dates. We are closely monitoring the progress of the pandemic, federal and state policies and the associated impact on our members, customers and providers. We’ll continue to adjust our policies, as appropriate, to ensure access to care.

In addition to supporting members’ access to needed care, we continue to focus on protecting patient access to medication and have extended the following actions:

• Waiving early refill limits on 30-day prescription maintenance medications for all members with pharmacy benefits administered through CVS Caremark.

• Continuing to encourage members to take advantage of plan benefits for 90-day maintenance medication prescriptions.

For additional COVID-19-related resources, please review our employer and producers resources page or member FAQs or contact your account representative.

Thank you for your continued support and partnership.

We are inviting you to join us for a webinar sponsored by ICMA-RC to learn about a new plan option within the Deferred Compensation 457 Plan, as well as other related topics. Pre-registration is required and you can do so by clinking on the link below.

ICMA-RC is hosting financial planning webinars that can help you prepare for retirement.

We will be offering these webinars in a virtual setting. To register for a webinar, please click on the link below and  you will receive an email with instructions on how to access the webinar.

Thanks and Stay Safe,

PLEASE CLICK HERE TO SCHEDULE A PHONE/VIRTUAL APPOINTMENT WITH ME

Natascha Barone

ICMA-RC Retirement Plans Specialist

Southern Florida

Phone/Cell: (866) 886-8025

Fax:     (866) 202-4166

Client services: (800) 669-7400

Email: nbarone@icmarc.org

Team Hallandale Beach,

The $2 trillion stimulus bill, known as the Coronavirus Aid, Relief, and Economic Security (CARES) Act, was signed into law on March 27, 2020, and addresses a range of economic and health-related issues resulting from the COVID-19 pandemic.

This email will summarize the CARES Act changes related to your ICMA-RC 457(b) and 401(a) accounts.

Based on the CARES Act, the 457(b) and the 401(a) plans will permit a qualified employee to withdraw up to $100,000 across both plans.

Employees have access to the following new provisions:

Coronavirus-Related Distribution

The bill creates a new in-service distribution type from a plan or IRA called a “coronavirus-related distribution” (CRD). The provisions are similar (but not identical) to relief provided in prior years for natural disasters. To be eligible for CRD treatment, the distribution must be made to an individual who is diagnosed with the disease, has a spouse or dependent who is diagnosed, or has experienced adverse financial consequences as a result of the disease. Employees may self-certify eligibility.

Delayed Federal Income Tax and Penalty Waiver. Unless the individual elects otherwise, a CRD is included in gross income in equal amounts over three years. In addition, if the individual would owe the 10% early withdrawal penalty, that penalty is waived for CRDs.

In-service Distribution.

Eligible Distributions. The distribution must be made on or after Jan. 1, 2020, and before Dec. 31, 2020. The maximum amount for an individual is $100,000 from all plans and IRAs.

Withholding. The mandatory 20% withholding, and requirement to provide a 402(f) notice, which normally apply to eligible rollover distributions, is waived for a CRD.

Repayment. To enable participants to restore their retirement savings, the law allows the distribution to be repaid during the three-year period beginning on the day after the date the distribution is made, back into a plan or IRA. In that case, the repayment is treated similar to a rollover.

Note: There are additional age requirements (70½) that must be met in order for an employee to qualify for in service CRD from their 401(a) Money Purchase Plan.

Loan Relief

Increase in Maximum Loan. The maximum loan amount is increased from $50,000 or 50% of the vested account balance up to $100,000 or 100% of the vested account balance. This applies to plan loans taken out during the 180-day period beginning March 27, 2020.

Eligibility. To be eligible for the loan relief described in this section, a participant must meet the same eligibility criteria noted above for CRDs.

Delay in Repayment. For any repayment on a loan due between March 27, 2020, and Dec. 31, 2020, the due date for such payment is delayed for one year.

Questions?

Employees may reach out to Natascha Barone, the City’s ICMA-RC representative with any questions. She can be reached by clicking this link -

NATASCHA BARONE ONLINE SCHEDULING

or via email – nbarone@icmarc.org

We will proactively provide updates and clarifications as quickly as they become available.

For those employees wanting to request a CRD from their ICMA account, please complete the attached withdrawal form and return to Human Resources. If you would like to request a loan from your ICMA plans, please contact Natascha Barone directly.