Important Reminders
The University of Alabama strives to create a nationally competitive, customizable benefits package to attract and support our employees as the state’s flagship research institution, while ensuring that decisions align with overall financial capacity and comply with federal regulations. As a result, benefit premium and plan design changes are expected for next year (Jan. 1 – Dec. 31, 2027).
What is Benefits Open Enrollment?
An annual opportunity for eligible employees to enroll in or make changes to benefits for the upcoming year. Because UA’s benefits are offered through a Section 125 Cafeteria Plan, most premiums are paid pre-tax. To protect this tax-advantaged status, IRS regulations require elections to be made during Open Enrollment, with changes taking effect prospectively and generally remaining irrevocable for the next year.
Why is Open Enrollment important?
This is the only time you are eligible to make benefit changes unless you experience a qualifying life event (QLE), such as a family or employment change. Some benefits, like Flexible Spending Accounts (FSA), require re-enrollment if you wish to continue them in 2027. Enrollment exceptions cannot be granted outside these IRS-approved events, as doing so could jeopardize the tax-favored status of UA’s benefits program.
Employees will continue to experience a simplified annual enrollment process this year. Here are three key points to keep in mind as you prepare to make decisions:
ACTION REQUIRED
NO ACTION REQUIRED
REVIEW BENEFICIARIES
1. ACTION IS REQUIRED if you want to participate in the following tax-favored accounts.
exclamationTax-Favored Accounts Will Not Rollover
Your current HCFSA, DCFSA or HSA election is associated with the 2026 tax year and will not roll over, so you must elect a NEW annual contribution amount to continue payroll deductions as of Jan. 1, 2027. If you fail to elect a new contribution for your HCFSA or DCFSA, then your current account with Inspira Financial will close on Dec. 31, 2026 and you must wait until the next open enrollment period to participate unless you experience a qualifying life event.
Health Savings Accounts (HSA) have new contribution limits for the upcoming year as outlined below. The IRS announced has not yet announced new limits for Flexible Spending Accounts (FSA) in 2027. If an announcement is made before the end of October, updates will be shared here.
HCFSA
Healthcare Flexible Spending$3,400 per employee, regardless of tax filing status. Dually-employed spouses may each contribute $3,400 for a combined $6,800 per household.
DCFSA*
Dependent Care Flexible Spending$7,500 for a single individual and married filing jointly; or $3,750 each if married filing separately. 2026 saw the first permanent limit increase since 1986; see disclaimer.
HSA
Health Savings Account$4,500 for an employee with single HDHP coverage; or $9,000 for family HDHP coverage. UA’s employer seed money will be included in this annual limit.
*Disclaimer for Dependent Care Flexible Spending Accounts:
Regulations require that DCFSAs not discriminate in favor of certain employees who are considered “highly compensated” by the IRS, defined as employees with compensation in excess of $160,000 for the 2026 tax year. Because of these IRS regulations, the DCFSA election you make during open enrollment may be subject to reduction pending the results of mandatory non-discrimination testing performed by a third-party vendor. If, after this testing is completed, it is determined that you are highly compensated, and your DCFSA contribution must be reduced, then you will be notified of such reduction. In addition, any reimbursements that exceed the adjusted maximum DCFSA contribution will be reported as taxable income to you on your IRS Form W-2 for the 2027 tax year.
2. NO ACTION IS REQUIRED to continue your coverage in the following plans:
- Medical, dental, vision, life, disability, and/or identity protection coverage(s) will continue.
- If you are currently enrolled in these benefits and do not plan to make any changes, then you do not have to take action in Benefitfocus. You will keep your current benefits and these coverage(s) will roll over as-is beginning Jan. 1, 2027.
3. REVIEW YOUR BENEFICIARIES for life, disability and retirement:
Beneficiary information is required in Benefitfocus for your life and AD&D plans and it’s recommended to review this information annually. You can follow the steps to enroll below to login to Benefitfocus, then click the ‘Manage Your Beneficiaries‘ button on your Benefitplace dashboard.
You should also annually review beneficiary information for your retirement plans, and you can manage this with each specific carrier – Teachers’ Retirement System (TRS) for the mandatory 401(a), and/or TIAA for optional 403(b) and/or 457(b) plans.
Update Your Beneficiary with TRS
Notarized Form Is RequiredComplete the Designation of Beneficiary Form – Prior to Retirement, notarize and return form directly to TRS at PO Box 302150, Montgomery, Alabama 36130-2150.
Update Your Beneficiary with TIAA
Access Your Online DashboardLogin to your TIAA dashboard from the Employee page in myBama, then select ‘Profile’ and ‘Manage Beneficiaries‘ to review and update.
Campus-Wide Information Sessions
| Date | Time | Location |
|---|---|---|
| Sept. 22, 2026 | 1:30 – 2:30 pm | In-Person* or Virtual |
| Sept. 30, 2026 | 11:00 am – 12:00 pm | In-Person* or Virtual |
| Oct. 9, 2026 | 12:00 – 1:00 pm | In-Person* or Virtual |
| Oct. 19, 2026 | 3:00 – 4:00 pm | In-Person* or Virtual |
Communications
Need extra help? Benefits Office staff will be available on-site at two WellBAMA events in October to assist employees who need help enrolling in Benefitfocus. iPads will be available. Come see us for one-on-one guidance!
How to Enroll in Benefitfocus
Benefitfocus is available via single sign-on from the Employee page in myBama. Follow the step-by-step instructions below to enroll online.
Your Benefitfocus online dashboard is available 24/7/365. Any changes made to benefits during Open Enrollment will be effective Jan. 1, 2027.
Login to myBama
Navigate to your Employee page
Click Benefitfocus logo for single sign-on
Click Get Started link to review plan options
Complete and save your benefits enrollment!
Upload documentation to verify new dependents, if any.
check markBenefitplace Mobile App
Simplify your benefits enrollment with mobile access! Employees can use single sign-on with the Benefitplace mobile app. Download the app, enter Company ID: UA-Benefitfocus, and login with your myBama username and password plus required Duo two-factor authentication.
View the mobile app guide for step-by-step instructions to get started.
Pop-Up Enrollment Events
Staff from the Benefits Office will be available on-site at two wellness events during Open Enrollment (Oct. 15 – Oct. 31) to assist employees who need help enrolling in Benefitfocus. iPads will be available. Come see us at the following events for one-on-one guidance!
WellBAMA Health Screening
7:00 am – 1:00 pmTues., Oct. 20, 2026
Child Development and Research Center
Health Plan Changes
UA employees will continue to have a choice in medical plans between the Preferred Provider Organization (PPO) plan or the High Deductible Health Plan (HDHP) option!
While the PPO plan continues to have the largest member headcount, the HDHP continues to be an increasingly popular choice – over 28% of eligible employees who enrolled in medical insurance this year selected the HDHP. Covered services, provider network, and pharmacy formulary are the same between the two plans, so it’s important to carefully weigh the cost trade-offs to determine which plan is best for you and your family. Key plan differences include:
| HDHP with HSA | PPO | |
|---|---|---|
| Premium: | Lower per paycheck | Higher per paycheck |
| First-Dollar Deductible: | Higher per year | Lower per year |
| Member Cost Share: | Coinsurance (20%) | Fixed, flat-dollar copayments |
| Out-of-Pocket Maximum: | Lower per year | Higher per year |
| Tax-Favored Account: | Health Savings Account | Healthcare FSA |
Q1. What is my member cost share?
A. Your member cost share equals the share of total costs covered by insurance that you pay out of your own pocket. This is separate from your premium, and includes: 1) your first-dollar deductible, where you pay 100% of the cost up to a certain amount before UA's plan starts covering costs; 2) your copayments, a fixed flat-dollar fee you pay per service; and/or coinsurance, a set percentage of the cost you're responsible for paying out-of-pocket. Copayments and coinsurance only apply after your first-dollar deductible is met. Your cost share has an annual out-of-pocket limit.
Q2. What is my out-of-pocket maximum?
A. Your out-of-pocket maximum is a cap, or limit, on the total amount of money you have to pay out-of-pocket for covered health care services in a calendar year. If you meet that limit, UA will pay 100% of your covered health care costs for the remainder of the year. Your out-of-pocket maximum includes your deductible, plus any copayments or coinsurance you paid; premium deductions on your paycheck are not included in this total.
The following plan design changes will be effective Jan. 1, 2027:
PPO Member Cost Share
First-Dollar Deductible and Out-of-Pocket MaximumThe first-dollar deductible will increase from $600 to $650 per person per year. You are responsible for paying 100% of the cost per service until you meet this deductible each year, then UA’s plan will kick in. The annual out-of-pocket maximum for in-network services will increase from $6,000 to $7,000 for employee only, and from $17,160 to $18,000 for family plans.
Don’t forget your first-dollar deductible resets each January! You may experience higher upfront costs for a doctor’s office visit or a prescription refill initially until you meet your first-dollar deductible.
Most preventative care, like well checks and screenings for certain diseases, are free and fully covered regardless of deductible. View a comprehensive list of preventive services.
HDHP Member Cost Share
First-Dollar Deductible and Out-of-Pocket MaximumThe first-dollar deductible will increase from $1,700 to $1,800 for employee only, and from $3,400 to $3,600 per family plan. These limits are slightly above the minimum deductible required by IRS regulations to qualify as a high-deductible health plan.
The annual out-of-pocket maximum for in-network services will increase from $4,500 to $5,000 for employee only coverage, and from $9,500 to $10,000 for family plans.
To help you manage a higher deductible, the once-per-year employer contribution (seed money) will increase to $600 for employee only and $1,200 for family plans. This employer seed money is factored into the overall HSA contribution limits set by the IRS each year.
InfoNew Member ID Cards
Due to updates to member cost-sharing and the pharmacy transition to Judi Rx, all employees enrolled in a UA medical plan will receive a new co-branded ID card from Blue Cross and Blue Shield of Alabama that includes both medical and pharmacy benefit information. This single, combined ID card will provide convenient access to all covered medical and prescription drug services.
New! Pharmacy Benefit Manager
Effective Jan. 1, 2027, Judi Rx will become UA’s new pharmacy benefit manager (PBM), replacing Prime Therapeutics. Judi Rx is a health technology company named after “adjudication,” the process of reviewing and processing insurance claims. Judi Rx’s transparent, full-service PBM will oversee the prescription benefits included in your medical plan, working directly with pharmacy providers and drug companies to ensure you have the right balance of drug access and cost savings. Prescription benefits are automatically included as part of your medical plan, so no separate enrollment or payment is required. Judi Rx enhancements include access to an online member portal, mobile app, and customer service call center available 24 hours a day, 7 days a week with US-based agents.
Please watch your mail for details about your new pharmacy benefits and any actions you may need to take.
New Member Resources
Get the most from your pharmacy benefits with key resources designed to help you and your family prepare for this upcoming change to Judi Rx.- Judi Rx, part of Judi Health
- Coming soon! Welcome Packet
- Coming soon! Member Microsite
- Coming soon! New ID Cards
- Coming soon! Customer Service #
Getting to Know Your PBM
Register to learn more about this transition. System-wide webinars will be hosted by Judi Rx, limited to 500 attendees per session. Recordings will be shared.- Oct. 23, 2026 from 1:00 – 2:00 pm
- Oct. 27, 2026 from 12:00 – 1:00 pm
Employee Premiums
In addition to medical plan cost-share changes and the pharmacy transition, there will be an increase to employee and employer premiums for both medical plans as well as the dental plan. Detailed rate comparison charts are included in expandable menus below.
Medical & Dental Rates for Non-Exempt Staff
The following rates are for non-exempt, bi-weekly paid staff employees. The premiums are collected over 24 paychecks per year, the 1st and 2nd bi-weekly pay period each month.
| PPO Medical Plan Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $66.50 | $69.50 |
| Family without Spouse | $232.00 | $243.00 |
| Family with Spouse | $273.50 | $286.50 |
| HDHP Medical Plan Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $37.00 | $39.00 |
| Family without Spouse | $128.00 | $131.00 |
| Family with Spouse | $151.50 | $155.00 |
| Dental Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $14.90 | $15.41 |
| Employee + One | $29.19 | $30.18 |
| Full Family | $42.30 | $43.74 |
Medical & Dental Rates for Exempt Staff, 9-over-12 Faculty and 12-month Faculty
The following rates are for professional exempt staff, 9-over-12 faculty with salary deferral, and 12-month administrative faculty. The premiums are collected over 12 paychecks per year.
| PPO Medical Plan Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $133 | $139 |
| Family without Spouse | $464 | $486 |
| Family with Spouse | $547 | $573 |
| HDHP Medical Plan Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $74 | $78 |
| Family without Spouse | $256 | $262 |
| Family with Spouse | $303 | $310 |
| Dental Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $29.80 | $30.82 |
| Employee + One | $58.38 | $60.36 |
| Full Family | $84.60 | $87.84 |
Medical & Dental Rates for 9-over-9 Faculty (based on Pay Distribution Cycle election)
The following rates only apply to faculty who chose the non-deferred pay distribution cycle. These rates are accelerated in comparison to the 12-month premiums for exempt staff and other faculty, and only collected on 9 monthly paychecks – September thru May each year.
| PPO Medical Plan Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $177.33 | $185.33 |
| Family without Spouse | $618.67 | $648.00 |
| Family with Spouse | $729.33 | $764.00 |
| HDHP Medical Plan Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $98.67 | $104.00 |
| Family without Spouse | $341.33 | $349.33 |
| Family with Spouse | $404.00 | $413.33 |
| Dental Tier | 2026 Rate | 2027 Rate |
|---|---|---|
| Employee Only | $39.73 | $41.09 |
| Employee + One | $77.84 | $80.48 |
| Full Family | $112.80 | $116.64 |
Vision Benefits
All employees enrolled in UA's vision insurance transitioned to Vision Service Plan (VSP) in 2025. Your plan now features lower premiums with a 4-year rate guarantee, a higher $180 allowance for frames or contacts, new services including KidsCare and expanded maternity benefits, as well as exclusive member extras!
No physical ID card is necessary to use your vision plan, and you can browse the VSP provider network to make an appointment. VSP enables a ‘connected claims’ feature to better assist you with substantiation of qualified FSA expenses.
Doctor on Demand
Doctor On Demand by Included Health is an independent company that provides a telehealth mobile app and health services on behalf of Blue Cross and Blue Shield of Alabama. Doctor On Demand replaced Teladoc services in 2025, and will continue to serve as the dedicated telemedicine company for UA employees in 2027.
In addition to general medicine/urgent care services like those offered by Teladoc, Doctor on Demand will also provide behavioral health and dermatology services. All employees and covered dependent(s) enrolled in UA’s PPO or HDHP medical insurance plan will have access to Doctor on Demand. Fees vary based on visit.
EAP
ComPsych GuidanceResources is your complimentary Employee Assistance Program (EAP). Connect to live services for behavioral care, including phone calls, videos, and digital self-care tools. You and your family can receive up to five (5) free counseling sessions per issue per year! Call 1-888-283-3515 to get started.
The GuidanceResources online dashboard and GuidanceNow mobile app also provide comprehensive resources for your emotional, work-life, legal, financial, physical health and more! You can even assess your well-being to receive personalized plans based on your unique profile and needs.