A. DISCOUNT PRESCRIPTION DRUG CARD PROGRAM (APPLICABLE TO INDEMNITY PLAN ENROLLEES ONLY)

1. Rx America Program-20 Percent Co-Payment.

Indemnity Plan prescription drug benefits are covered through RxAmerica’s prescription drug card program. Most of the major pharmaceutical chains and many independent pharmacies participate in this program. (Kaiser and PacifiCare participants obtain their drugs through their HMO.)

To use the program, you present your RxAmerica Identification Card to a pharmacist with your prescription. The pharmacist will process your prescription electronically through an on-line system. At the time your prescription is filled, the pharmacy will collect a 20% co-payment of a discounted prescription drug price from you.

The RxAmerica pharmacy program includes a closed drug formulary, which is a list of prescription medications that reflects the most current clinical judgment of health care providers for promoting high quality and affordable medical treatment. In most situations, drugs that are not included on RxAmerica's formulary may be obtained through the program at an additional cost.

ALERT: MEDICARE-ELIGIBLE RETIREES

Medicare-eligible Retirees are eligible for a new prescription drug program under Medicare Part D effective as of January 1, 2006. Your coverage in the current prescription drug plan provided through the Plan (whether you are in the Indemnity Plan or one of the two HMO plans) is not affected by the new Medicare prescription drug program. You continue to have coverage under the Plan’s drug program; therefore, it is not necessary for you to enroll in Medicare Part D offered outside of the Plan with a non-Plan provider. If you choose to enroll in a Medicare Part D program outside of the Plan, you will lose coverage under the Plan’s medical programs (e.g., Indemnity Plan, PacifiCare Secure Horizon or Kaiser Senior Advantage) but your dental and vision supplemental benefits coverage will not be affected. You will not be allowed to re-enroll in one of the Plan’s medical programs until the next open enrollment period.

The prescription drug benefit you currently receive under the Plan provides better coverage, at less cost to you, than the new drug program under Medicare Part D. As long as you are eligible to have prescription drug coverage through the Plan, you are considered to have creditable coverage; therefore, if at some later date you choose to enroll in Medicare Part D, you will not be charged a late penalty for delayed enrollment.

Please note that while the Plan advises you NOT to enroll in Medicare Part D at this stage, you must still enroll for both Medicare Part A and Part B to be eligible for full coverage in this Plan.

The 20% co-payment applies whether you purchase brand name or generic drugs; however, the lower the cost of the drug, the greater the savings to you and the Plan. As a general rule, a new drug is given both a brand and generic name. The brand name is what the manufacturer calls the product. The generic drug is the name of the drug’s chemical compound in most instances. Most generic drugs are less expensive than brand name products. When a company develops a new drug, it has a patent for a specified period, which permits the drug company to be the only manufacture of that drug. After the patent expires, other companies can manufacture and sell the drug under a different brand name or the generic name. The new product is often sold at a lower price than the original brand name product. You may want to ask your Physician if a comparable generic drug is available.

Most eligibility problems are resolved at the time your prescription is filled. If not, you may be required to pay full price. If you are subsequently credited for eligibility for a month in which you paid full price for a prescription, you will be reimbursed at 80% of the drug cost. Special forms are available in the Plan Office for this purpose.

3. Mail-Order Service - 90 Day Maximum.

Effective September 1, 2006, Mail-order service is provided through RxAmerica which has contracted with American Diversified Pharmacies (“ADP”) mail service facility to provide both a convenience and savings to you.

An order form and patient profile must accompany the first order. Allow 2-3 weeks from the date you mail your order form to delivery to your house. Ask your Physician for a 90-day supply of each medication, plus up to 3 additional refills. Thereafter, each prescription order you receive will include a Reorder form.

Co-payments for mail-order prescriptions are 20% for each generic drug prescription and brand named prescription.

For prescription refills, call RxAmerica's toll-free Customer Service Help Desk at 1-877-889-3402, which operates 24 hrs a day, 7 days a week. Have your identification and RxAmerica prescription numbers available when you call and identify yourself as a member of IBEW Local 6

Or, you can use any of these other ordering options listed below:

• Complete the order form, attach a new prescription, include payment information, and mail to:
  American Diversified Pharmacies (ADP)
  P.O. Box 340940
  Sacramento, CA 95834-0940
• Visit ADP on the Internet at: www.rxamerica.com
• Have your health care provider fax a new prescription to ADP at 1-877-889-3403 (toll-free), along with a cover page containing the following information: Member Identification Number, Patient Name, Patient Date of Birth, and Prescription Delivery Address.

A separate brochure describing the RxAmerica Identification Card and mail-order service programs and a condensed version of the RxAmerica formulary are available in the Plan Office. A complete listing of participating pharmacies is also available in the Plan Office. To locate the participating pharmacy nearest you, call the toll-free RxAmerica Customer Service Help Desk at 1-877-889-3402.

4. Covered Drugs.

Covered drugs include: Federal Legend Drugs (Drugs approved by the FDA requiring a written prescription), Azelex (through age 22), Bee Sting Kits, Depo Provera, Diabetic Test Strips, Lancets and Tablets, Diaphragms, Glucogan, Immunosuppressants, Insulin/Insulin syringes (written prescription), Immunization Drugs, Oral Contraceptives, Injectable drugs (self-administered only), Retin-A (through age 22), Viagra (limit 8 tablets/month), Vitamins (prescription only).

Refer to the exclusions and limitations in V.B.3 and V.B.16 for a description of the type of drugs that are not covered. The Indemnity Plan continues to cover blood and blood plasma, drugs administered at the Physician’s office, and injectables that are not self-administered.

Retail: 30 days maximum supply
Mail: 90 days maximum supply

5. Over-The-Counter Program Options for Proton Pump Inhibitors and Antihistamines -- Prilosec and Claritin.

Effective November 1, 2006, the Plan will cover the full cost of prescription strength Prilosec and Claritin over-the-counter (“OTC”) for no copayment, provided you have a prescription.  If you purchase these drugs OTC with no prescription the Plan will not cover the costs.  This is an optional benefit. For more information about this benefit, please call the toll-free RxAmerica Customer Service Help Desk at 1-877-889-3402.