“NEW AUDIT”
The spouse/disabled dependent audit is in addition to the regular annual dependent child audit conducted each fall regarding dependents age 18 through 25. It is anticipated that these new audits will be conducted on an annual basis going forward.

Why this audit?
GMCL want to ensure that dependents enrolled for health care coverage are eligible under the rules of the plan.

We have experienced incidence where at retirement or death, it is revealed that the employee/retiree are divorced from the person covered for health care as their spouse. Based on the plan definition of “spouse”, once divorced from the GMCL employee/retiree the former spouse is no longer eligible for coverage and the employee/retiree should have removed the person from coverage.

GMCL currently provides coverage for approximately 500 dependents identified as “totally and permanently disabled dependents”. This audit will require that employees/retirees, who have such disabled dependent covered for health care, provide documentation proving ongoing ‘dependency’ on the employee/retiree.

Covering ineligible dependents is insurance fraud. This audit will provide employees/retirees with the opportunity to voluntarily remove ineligible dependents from coverage.

Who is being audited?
The ‘spouse audit’ is a random audit and will be sent to approximately 8,000 – 10,000 employees/retirees. Not everyone with a spouse will be audited. All employees/retirees who are covering a ‘disabled dependent’ will be audited in this 2007 audit. It will be determined at a later date whether to continue the 100% audit for this group in the future or move to a random audit for the ‘disabled dependents’ as well.

Timing of Audit
Mailing date – July 16, 2007
Return due date – August 17, 2007
Coverage cancel date – September 1, 2007

Form return
The completed, signed form and required supporting documentation must be returned to the GM Canada Benefits Centre by the August 17, 2007 deadline, otherwise coverage for the dependent listed will be canceled effective September 1, 2007.