HR Benefit Life Rate Tables Add-On

Overview

Fiddletree’s Benefits Enhancement extends standard Viewpoint HR Management to support:

• Age-based benefit rates
• Employee and dependent (spouse) age calculations
• Automated rate updates
• Life insurance limits and caps
• Bulk rate imports using IM Import

This allows organizations to manage complex insurance plans—such as age-banded life, STD, and LTD—without manual calculations.

How It Works (High-Level)

1. Rates are imported using a Fiddletree-provided template
2. Rates are stored by:
   • Benefit
   • Age range
   • Benefit option (coverage level)
3. When a benefit is selected or updated:
   • The system automatically calculates the correct rate
   • Applies age rules
   • Enforces plan limits

All calculations happen behind the scenes—users only interact with standard benefit screens.

Step 1: Importing Benefit Rates

Fiddletree provides a custom IM Import template for loading rates.

What you import:

Each row represents a rate for a specific combination of:

• Benefit Code (e.g., Life, STD, LTD)
• Age Band (e.g., 30–34)
• Benefit Option (coverage level)
• Rate Amount
• Effective Date

These records are stored in a custom table created for age-based rates .

Key Notes:

• You can import new rates at any time
• Future-dated rates are supported
• Historical rates can be retained (using effective dates)

Step 2: Age-Based Rate Selection

When a benefit is calculated:

For Employees:

• The system determines the employee’s current age
• Finds the matching age band
• Applies the correct rate for the selected benefit option

For Dependents (Spouse):

• If configured, the system uses the spouse’s age instead of the employee’s
• This allows true dependent-based pricing models

? Example:

• Employee age: 42 → uses 40–44 rate band
• Spouse age: 38 → uses 35–39 rate band

Step 3: Automatic Rate Calculation

Rates are automatically calculated when:

• A benefit is selected
• A benefit is updated
• Data is imported or changed

This happens via automated processing tied to benefit activity .

What gets calculated:

• The correct rate amount
• Adjustments based on:
  • Pay frequency (weekly, monthly, etc.)
  • Benefit type (Life, STD, LTD)
  • Earnings-based formulas (for certain benefits)

Step 4: Life Insurance Rules & Limits

Employee Life Insurance

Employee life elections are automatically limited based on:

• Maximum multiple of earnings
• Increment steps (e.g., $25,000 per option)
• Plan maximum caps

? Example:

• Employee earns $60,000
• Max allowed = 5× salary = $300,000
• If increments are $25,000 → max option = 12

If a user selects above the allowed amount, the system automatically adjusts it down.

Spouse Life Insurance

Spouse life is limited relative to the employee’s election:

• Typically capped at a percentage of employee coverage (e.g., 50%)
• Uses its own increment steps (e.g., $5,000)

? Example:

• Employee selects $200,000
• Spouse max = 50% → $100,000
• System automatically enforces this limit

First-Time vs Ongoing Elections

The system supports different behaviors depending on the scenario:

First-Time Enrollment

• Users can elect coverage up to plan maximums
• Subject to earnings and plan rules

Existing Elections (Changes)

• Increases can be:
  • Limited to increment steps
  • Restricted by plan rules
  • Automatically capped if exceeded

This ensures compliance with insurance carrier rules.

Step 5: Benefit Options & Coverage Levels

Benefit options represent coverage tiers (e.g., $25k, $50k, $75k).

These are:

• Pre-configured in the system
• Automatically aligned with imported rate tables
• Used to:
  • Determine coverage amount
  • Match correct rate

Step 6: Real-Time Updates

Whenever a benefit is added or updated:

• The system recalculates:
  • Coverage limits
  • Rates
• No manual recalculation is required

This is triggered automatically when benefit records change.

Supported Benefit Types

This customization supports:

• Life Insurance (Employee & Spouse)
• Short-Term Disability (STD)
• Long-Term Disability (LTD)
• Any benefit using:
  • Age-based rates
  • Earnings-based formulas