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A free monthly newsletter for plan sponsors and employee benefits 
professionals published by The Benefit Services Group, Inc.

Upcoming Seminar: Cost Drivers in Healthcare
This dynamic half-day seminar, sponsored by The Benefit Services Group, Inc., is geared toward CFOs, HR Managers and Benefits Administrators. Topics include the state of healthcare and what employers can do, pharmacy benefits overview and retiree health issues. Register by 8/5/03 for this August 12th seminar.
More Information.

Greater Milwaukee Annual Report on Health Care
Since its inception in 1997, The Greater Milwaukee Annual Report on Healthcare has strived to provide the most comprehensive and unbiased look at health care issues and emerging trends. The 2003 edition follows this tradition with up-to-date profiles of international, national and local health care profiles, and white papers covering hot topics in the health care and employee benefits industries. Read current and last year's articles, request copies and submit ideas for 2004 topics at www.hctrends.com, the companion site to the Annual Report on Health Care. (Free registration required.) 

As part of its mission to report on employee benefit plans, the Annual Report on Health Care is conducting an online survey. Designed to be straightforward and easy-to-complete, the survey promises to be the most comprehensive and accurate look at benefit plans in southeastern Wisconsin. If you have not already participated, please take a moment to complete the survey and view the results to date. www.hctrends.com/surveyintro.asp (Registration not required.) 

DOL Releases Proposed Regulations for COBRA Notices
On May 28, 2003 the Department of Labor published proposed COBRA regulations which contain a number of surprises for employers and plan administrators. The proposed COBRA regulations break new ground in several areas and, if implemented as currently written, will require plans, administrators, and service providers to comply with new notice requirements and to update existing COBRA forms and procedures. 

Under the new requirements, plans, administrators, and service providers must:
• Review existing COBRA election notices and/or forms for possible replacement with new model notices.
• Establish written “reasonable procedures” through which individuals can notify the plan that a qualifying event has taken place.
• Comply with a new notice requirement for notification of certain events from participants or beneficiaries who are not eligible for continuation coverage.
• Notify COBRA qualified beneficiaries of termination of COBRA coverage if such coverage is terminated before the end of its maximum duration.

In the preamble to the regulations, the DOL stated that it is no longer "good faith compliance" to use the current general notice as the initial notice of COBRA rights. Therefore, all groups should immediately begin using the new model notice featured at bsg.com.

For full details, see the U.S. Department of Labor proposed regulations text as published in the Federal Register.

For another overview of the proposed regulations, go to: http://www.cobracs.com/news/notice1.htm.

Recall of
Counterfeit Lipitor

The Food and Drug Administration (FDA) announced on May 23, 2003 that Albers Medical Distributors, Inc., voluntarily recalled three lots, approximately 100,000 90-count bottles, of the cholesterol-lowering drug Lipitor. On June 3, the recall was expanded to include two additional lots of the 10mg tablets and one lot of 20mg tablets. The FDA is warning healthcare providers and others that the counterfeit Lipitor represents “a potentially significant risk to consumers.” The product was repackaged by Med-Pro, Inc., of Lexington, Neb., and the labels say "Repackaged by: MED-PRO, Inc. Lexington, Neb." in the lower left-hand corner.

As part of the FDA’s ongoing efforts to investigate and address unscrupulous counterfeiting activities, FDA’s Office of Criminal Investigations is investigating the existence of counterfeit Lipitor. Lipitor is a member of a class of cholesterol-lowering drugs that are commonly referred to as "statins."

In carrying out its public health mission, FDA regularly conducts investigations and testing to identify and remove from market products that are counterfeit, have been tampered with, or are otherwise unsuitable.

Full article including lot numbers involved in the recall

By providing links to other sites, The Benefit Services Group, Inc. does not guarantee, approve or endorse the information or products available at these sites, nor does a link indicate any association with or endorsement by the linked site to The Benefit Services Group, Inc.

The preceding is not intended to be and is not offered as legal advice. We are prohibited from the practice of law. Compliance is the responsibility of the employer or Plan sponsor and affected employees, who should seek their own legal counsel regarding questions about information presented in this newsletter.

PlanAhead Direct is a monthly newsletter provided free of charge to select BSG® client representatives and associates. View and search back issues at www.bsg.com/news/index.htm. 

To comment on newsletter content, write to tessr@bsg.com. If you would like to change your subscription address, or request a plain text version, please e-mail your request to carolz@bsg.com.

Copyright 2003 The Benefit Services Group, Inc. BSG® is a registered trademark of The Benefit Services Group, Inc.

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