RE: BENEFIT COSTS

As a result of a review of our Health and Welfare benefits, our carrier
is increasing some of the monthly rates for coverage effective
February 1, 1986.

BENEFIT CURRENT RATE NEW RATE
Single/Dependent Single/Dependent

Extended Medical $1.79 / $6.59 $2.18 / $8.04

Dental - Staff $16.20 / $47.70 no change
Faculty $14.25 / $42.15 no change
Excluded $16.20 / $47.18 no change

Life Insurance/ Accidental

Death/Dismemberment $0.21 per $1,000. no change

Long Term Disability $1.95 per $100. $2.25 per $100.

The increases in Extended Medical and Long Term Disability are as a
result of excessive claims experience.

As Extended Medical premiums are paid 100% by the employer, the cost of
the increase will be paid by the College. The Long Term Disability
increase will be paid by the employee,

Examples of increased cost to employees are as follows:

Current New Increase
For employees earning: $20,000 $19.50 $22.50 $3.00
30,000 29.25 S30 & 4.50
40,000 39.00 45.00 6.00
50,000 48.75 56.75 8.00

A reminder to Faculty and Excluded Personnel that supplemental life
insurance is available at the yroup rate (about one-third the cost of
private insurance) in blocks of $10,000 to a maximum of $100,000. This
is excellent mortyaye insurance, To qualify for this benefit, Douglas
College must have a minimuinn of 10 applicants. To date, we have not
reached this number. Applications and further information are available
in Personnel.

Please contact us if you have any questions on your benefit coveraye.

BARBARA SCHWITEK,
Personnel,