Statement Of Purpose

Dear Retiree and Family:

The Carpenters Health and Security Plan of Western Washington – For Retired Carpenters became effective January 1, 1960. The plan was designed to assist retirees, spouses and dependent children with medically necessary expenses incurred as a result of an illness or injury anywhere in the world. It was also designed to assist individuals with many other health care needs they may face, with special emphasis on the large and often unforeseen expenses associated with a prolonged illness or serious accident.

This plan is funded, in part, by monthly contributions from retirees and their dependents. This plan is also subsidized by contributions paid on behalf of employed participants under collective bargaining agreements. The money contributed is deposited into a tax exempt, nonprofit trust which is administered by the Board of Trustees. The benefits provided by the plan are self-insured, except for life insurance benefits which are insured with an insurance company authorized to do business in the State of Washington. The risk of a large and unforeseen expense is shared among all plan participants. Since contributions and investment earnings are the only source of funds for plan benefits, the cost of this coverage now and in the future is directly related to the overall cost of health care, the overall cost of this plan, as well as each individual’s eligibility for Medicare Part A and Part B. It is important, therefore, that everyone is a prudent user of health care services and that everyone avoid unnecessary services, when possible, to help reduce the overall costs of the plan.

The Employee Retirement Income Security Act of 1974 (ERISA) requires the plan to provide retirees and their dependents with this summary plan description for the purposes of ERISA. The plan’s rules on eligibility, benefits and the circumstances that may result in disqualification, ineligibility, denial, loss, forfeiture, or suspension of any plan benefits are described in the sections of this plan booklet. In all circumstances, the terms of this plan booklet govern. This restated plan booklet, which is effective July 1, 2000 (unless otherwise stated), incorporates new and revised federal laws including the Women’s Health and Cancer Rights Act of 1998, the Newborns’ and Mothers’ Health Protection Act of 1996, the Mental Health Parity Act of 1996, and the Health Insurance Portability and Accountability Act of 1996 (HIPAA), as well as improved benefits adopted by the Board of Trustees. Retirees and dependents are encouraged to read this booklet carefully. Please contact the Trust Office if there are questions or concerns about the information read.

Board of Trustees
Carpenters Health and Security Trust
of Western Washington