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6/21/2011

Explanation of Insurance Rate Increase

Dear
We are in receipt of a directive from (name of company)

concerning the above captioned Regulation. This new

regulation went into effect on (date) and requires

that complications of pregnancy be covered in the same

manner as any other injury or disease.
"Complications" is defined as anything other than a

normal delivery. This is applicable to any employee,

dependent spouse or dependent child.
Due to the potential increase in claims, it has become

necessary to increase our quoted rates to comply with

this regulation. The new employee rate will be $

and the new spouse rates will be $ ; the new

spouse and children rate will be $ and the new

children only rate will be $
If you have any questions regarding these rate increases

due to the change in regulations, please feel free to call.

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