Healthcare Benefits

Overview

The health and well-being of employees and their families are important to Union Pacific. Benefit plans and programs are designed to keep employees and their families well, manage illness, injury and chronic disease when they occur, ensure access to quality care, and offer tools to help make good health care choices.

Medical and Pharmacy

Union Pacific offers medical coverage to all eligible nonagreement (non-union) employees for a nominal fee. Eligible employees may elect coverage under any medical option available in the employee’s area of residence for themselves and their eligible dependents on their first day of employment as a nonagreement employee. Premiums are based on plan design, level of coverage elected, and consist of varying deductible and coinsurance amounts. Employees who choose to waive medical coverage may receive a monthly waiver credit of $85.

Union Pacific offers a choice of two High Deductible Health Plans (HDHPs) that include medical and prescription coverage. The medical options are administered by either United Healthcare or BlueCross BlueShield, depending on the zip code of an employee’s residence. If enrolled in one of the UnitedHealthcare or BlueCross/Blue Shield medical plans, prescription coverage will be through OptumRx. In certain geographic regions a Health Maintenance Organization (HMO) administered by Kaiser Permanente (Kaiser) is also offered. If enrolled in an HMO, prescription coverage will be through Kaiser.

Union Pacific offers domestic partner medical coverage to eligible domestic partners of its nonagreement employees.

Health Savings Account Contribution Program

Union Pacific provides significant seed money for nonagreement (non-union) employees who are enrolled in an HDHP medical option and establish a Health Savings Account (HSA) with BenefitWallet™. These funds help offset employee deductible and coinsurance amounts. In addition, employees can make pre-tax contributions to their HSA.

Dental

Nonagreement (non-union) employees are eligible to participate in the Union Pacific Dental Care Program effective on their first day of employment. MetLife administers the dental program. Employees are eligible to elect dental care coverage for themselves and eligible dependents.

Generally, the dental program provides:

  • Diagnostic and Preventive Services – Paid at 100 percent, no deductible
  • Restorative Services and Oral Surgery – Paid at 80 percent, after $50 annual deductible per person
  • Prosthetic Devices – Paid at 50 percent, after $50 annual deductible per person
  • Maximum Benefit of $2,000 per year per person
  • Orthodontic Services – Paid at 50 percent, no deductible. Lifetime maximum $2,000 per dependent child under age 19

Union Pacific offers domestic partner dental coverage to eligible domestic partners of its nonagreement employees.

Vision

Nonagreement (non-union) employees are eligible to participate in the Union Pacific Vision Care benefits effective on their first day of employment as a nonagreement employee. EyeMed Vision Care administers the vision program and employees are eligible to elect vision coverage for themselves and eligible dependents.

Generally, the vision program provides:

  • Annual eye exam – $15 copay
  • Frames – One pair every 12 months, $0 copay, up to $125 allowance, plus 20 percent off balance over $125
  • Standard plastic lenses – Once every 12 months, $20 copay
  • Contact lenses – Once every 12 months in lieu of eyeglasses, $0 copay, up to $120 allowance, plus 15 percent off balance over $120

Dependent Care Flexible Spending Account (DCFSA)

Employees may elect to contribute to the Dependent Care Flexible Spending Account (DCFSA) on a before-tax basis.

The DCFSA provides before-tax reimbursement between $300 and $5,000 per year for most work-related dependent care expenses; i.e., fees for the care of your dependents so you (and your spouse) can work.

Notice for all nonagreement benefits:

While the company presently intends to continue its employee benefits programs indefinitely, it reserves the right to terminate or amend any plan for any reason. The company may also increase the required employee contributions, if any, at any time. Every effort will be made to provide plan participants with reasonable notice of any such changes.