Please answer the following two questions: 1. Your Company has been facing financial difficulties and experiencing double digit increases in health care premiums each year. Thus far, the Company has contributed 80 percent of the premiums for employee health care coverage, but has decided that it will only pay 70 percent of premiums for individuals who are not taking care of themselves--those who continue to smoke, are significantly overweight, are not exercising on a regular basis, or are not complying with a disease-management program. You will gain information about employees from the health plan and health risk assessments that employees have completed. Briefly discuss this program and its implementation in light of ERISA and HIPAA provisions. I think that in this case the company should have spun it that they will only pay 70% of employee medical, however they would up that to 80% if employees take
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