SECTION 21  INSURANCE

A. The Company shall continue the level of benefits and coverage as outlined in the Flight Attendant Medical Plan, which was agreed to.

B. The Company will continue to offer, so long as the IRS allows, Flexible Spending Accounts, including pre-tax premiums, medical reimbursement, and dependent care expenses. In addition, the Company will continue its vacation buy/sell program.

C. Flight Attendants will receive no less favorable medical and dental coverage including employee contributions, deductibles, out-of-pocket expenses, and flexible spending accounts.

D. The Company will pay 75% of the premium (Indemnity Plan, PPO, EPO, HMO and dental) costs and the employee will be responsible for paying 25% of the premium for their health/dental coverage in each Plan Year.

E. During the term of the Agreement, the Company will not reduce the Flight Attendant life insurance, dental benefits or short term disability ($175.00 per week).

F. Company provided life insurance for Flight Attendants shall be $50,000. Flight Attendants will be allowed to purchase additional supplemental life insurance to a maximum of $50,000 in increments of $25,000 at the Company’s group rate.

G. Indemnity Plan

The Company will make available the following medical and dental plans. Indemnity plan for Flight Attendants as outlined in the Summary Plan Description for Medical/Dental Benefits. Benefits will be no less favorable to Flight Attendants than any other employee group on the property. Coverage offered will be a coinsurance which is an 80/20 split after the deductible is met.

H. HMO PLAN

1. The Company will offer, when it can and in each of its domiciles, a health plan in the form of a Health Maintenance Organization (HMO). It will offer flight attendants the choice of coverage for Employee, Employee + 1, or family.


I. PPO PLAN

1. The Company will make available a Preferred Provider Organization (PPO) plan at domiciles and at other locations where such coverage is available.

2. The cost of such a plan to employees will be lower than that offered to employees under the Indemnity Plan specified in paragraph A. above. Deductible and out-of-pocket maximums also will be lower than that offered to employees under the Indemnity Plan specified in paragraph A. above. Coinsurance will be an 80/20 split.

J. DENTAL PLAN

The Company will provide dental coverage to Flight Attendants. It will offer flight attendants the choice of coverage for Employee, Employee + 1, or family.

K. GENERAL

1. At locations where HMO or PPO coverage is not available, the Company will make the health insurance coverage described in paragraph A. available to Flight Attendants at a monthly premium no greater than employee premium costs for an HMO or a PPO at the nearest station to that particular domicile where such HMO or PPO coverage is available.

2. If a Flight Attendant resides at an Air Wisconsin station other than his or her assigned domicile, and HMO or PPO coverage is available at such station, the Flight Attendant may participate in these alternative plans as long as Air Wisconsin continues to provide service to such station with Air Wisconsin employees, and provided that HMO or PPO coverage remains in effect at such station.

3. In the event that the health or dental insurance benefits offered to other employee groups at the Company are improved, the Flight Attendants covered by this Agreement shall be entitled to such benefits as well.