Medical Benefits

Your AvalonBay medical benefits are administered by CareFirst Blue Cross/Blue Shield (BC/BS)—one of the largest health care organizations in the United States, serving more than four million people nationwide. Under this plan, you have the choice of participating in the Exclusive Provider Organization Option, the Preferred Provider Organization Option or Consumer Driven Plan Option.

Exclusive Provider Organization (EPO)

The EPO option is a health maintenance organization with a large provider network that provides managed medical care. Benefits are available only when you use a preferred provider. There are no out-of-network benefits except in plan-approved emergencies.

Features of this plan include:
• No requirement that you use a primary care physician to manage your health care
• No referral needed for care by a specialist
• After you meet the low annual deductibles—you pay only a modest copay for most care
• Hospitalization and surgery are covered at 100% after a per admission deductible
• No claim forms to complete

Preferred Provider Organization (PPO)

The PPO combines the economies of managed medical care with the freedom found in traditional medical plans. Benefits are available in- and out-of-network.

Features of this plan include:
• No requirement that you use a primary care physician to manage your health care
• No referral needed for care by a specialist
• Wide choice of in-network physicians and hospitals
• Coverage when you use an out-of-network provider
• Coverage when you are traveling and for dependents who live away from home

Consumer Directed Health Plan (CDHP)

The CDHP offers you the freedom to use providers both in-network and out-of-network and in-network preventive care is covered 100%. Additionally, you’ll have opportunities to offset your out-of-pocket expense with your Health Savings Account (HSA) using tax-free dollars.

Features of this plan include:
• In-network preventive care remains covered at 100%
• No requirement that you use a primary care physician to manage your health care
• No referral needed for care by a specialist
• Wide choice of in-network physicians and hospitals
• Coverage when you use an out-of-network provider
• Coverage when you are traveling and for dependents who live away from home

Prescription Drug Benefits for EPO & PPO

When you enroll in the EPO or PPO medical plan, you automatically receive your prescription drug benefits. Your prescription drug benefits are administered by Express Scripts.

Prescription Drug Benefits for CDHP

When you enroll in the CDHP medical plan, you automatically receive your prescription drug benefits. Your prescription drug benefits are administered by CVS Caremark for CareFirst.

Dental Preferred Provider Option (PPO)

Under this plan, you and your covered dependents can obtain your dental care from any dentist you choose.

Features of this plan include:
• No requirement to use a primary care dentist
• Coverage when you use out-of-network dentists
• Maximum annual benefit limit of $1,500 per person
• Life time Orthodinia maximum of $1,500 per person

Vision Benefits

You may choose to enroll in our Vision Service Plan (VSP). VSP is a nationwide network of optometrists and ophthalmologists. The plan works like a preferred provider organization and offers benefits whether you use doctors within the network or outside the network. The plan provides benefits for regular eye examinations, glasses or contact lenses and laser vision care.

Life and AD&D Benefits

We offer a variety of benefits designed to provide financial protection for you and your beneficiaries in the event you become disabled or die. These benefits, which include life and accidental death and dismemberment (AD&D) insurance and business travel accident insurance, are fully paid by the company. In addition, you may purchase voluntary supplemental life and AD&D insurance for yourself and your dependents.

Disability Benefits

We offer the additional financial security of disability insurance fully paid by the company. Your short-term and long-term disability plans replace a percentage of your regular pay if you are unable to work for an extended period of time because of illness or injury. Your disability benefits provide valuable income protection for you and your family.

Health Savings Account (HSA)

Available to participants in the Consumer Driven Plan option only.
A Health Savings Account (HSA) is a savings account that you use to pay for health care expenses when you are enrolled in a qualified high deductible health plan, such as our new CDHP Medical Plan Option. Your contributions are payroll deducted on a pre-tax basis and deposited into an interest bearing savings account. HSA contributions are portable and nonforfeitable. Unlike a flexible spending account (FSA), unused money in your HSA isn’t forfeited at the end of the year; it continues to grow tax-deferred.

Flexible Spending Accounts

We offer two flexible spending accounts. The health care spending account enables you to use pretax dollars to pay many of your out-of-pocket health care costs. The dependent care spending account allows you to use pretax dollars to pay day care costs for eligible dependents. Spending accounts are easy to use. Each pay period, the contribution you have specified is deducted from your paycheck and deposited to a special account. As you incur and pay eligible expenses, you file claims to be reimbursed from the account. The advantage is the tax savings you enjoy. Your contributions are not subject to Social Security, federal or most state income taxes.

1. Health Care Account

You can use the health care FSA to reimburse yourself for medical expenses incurred by you and your dependents (as defined under the Internal Revenue Code) that are not covered by your health insurance plans.

Eligible expenses include:
• Deductibles, copays, and coinsurance under your (and/or your spouse's) medical, dental and vision plans
• Costs in excess of health plan limits, such as those for orthodontia or eyeglasses or contact lenses
• Expenses that are not covered by your insurance, such as hearing aids

2. Dependent Care Account

You can use the dependent care account to reimburse eligible expenses for work-related day care for eligible dependents.

Eligible expenses include the costs of:
• Nursery schools, day camps and licensed day care centers
• Care provided in your home or someone else's—the caregiver can't be one of your dependents or a child age 18 or younger
• Housekeeping services that routinely include the care of an eligible dependent

For this account, your eligible dependents are your children age 12 or younger and members of your household, of any age, who are physically or mentally unable to care for themselves and dependent on you for at least half their support.

AvalonBay offers the opportunity to share directly in our corporate success through the Employee Stock Purchase Plan (ESPP). Under this plan, you can purchase stock in the company at a 15% discount off the market price.

How the Plan Works

• During the purchase period you can elect to purchase shares of common stock at the 15% discounted rate.
• Your contributions are made by regular after tax payroll deductions.
• At the end of the option period, the company uses your contributions to purchase the stock. Your purchase price is 85% of the lower of the closing market prices on the first and last days of the purchase period.

AvalonBay offers a benefits package that supports you with your needs today and in the future. Our 401(k) plan allows you to save a portion of your pay each pay period and invest your savings in your choice of the available investment funds. Best of all, when you save, AvalonBay saves with you! We match 50% of your contribution up to 6%. The money in your account accumulates on a tax-deferred basis so you pay no taxes on your contributions or investment earnings until you begin to withdraw the funds.

At AvalonBay, our associate benefits package includes paid leave for vacations, holidays, and time to take care of your personal business.

Vacation Leave

Each associate's leave is dependent upon position and years of service.

Holiday Leave

We observe 10 holidays each year.

Sick Leave

Associates accrue six days of leave per year beginning the first of the month following 60 days of employment.

Flex Leave

Up to four days per year for certain absences.

Bereavement Leave

Jury Duty

Career Development

Because we believe our corporate success is directly tied to your personal success, AvalonBay offers a variety of professional development opportunities through AvalonBay University and our Tuition Reimbusement benefit.

AvalonBay University

AvalonBay University offers a comprehensive curriculum in a wide variety of technical and managerial skills ranging from maintenance and safety to leadership training. AvalonBay University's program of classes, tools and resources is designed to help you acquire the knowledge and skills required by your current job and develop the competencies you'll need for future position.

After six months of employment, you can take advantage of the tuition reimbursement program.
When you take an approved course of study, the company will reimburse up to $2,000 a year in tuition and costs for undergraduate course work and up to $4,000 a year for tuition and costs for graduate study.

All regular, full time benefits eligible associates can request reimbursement up to $5,000 for “qualified adoption expenses” incurred after January 1, 2015. The AvalonBay Adoption Assistance Program provides financial support for expenses related to adoption such as: adoption fees, court costs, fees charged by licensed adoption agencies, attorney fees, traveling expenses, or other expenses directly related to the adoption.

To help you resolve personal problems or difficulties you or a member of your family may experience from time to time, we offer an Employee Assistance Plan or EAP.

The EAP provides totally confidential consultation, assessment, treatment coordination, and referral and follow-up services to help prevent your personal concerns from interfering with the quality of your life and work life. You can call the EAP's toll-free number at any time, 24 hours a day, 7 days a week.

AvalonBay has communities and offices across the country. We offer financial and temporary housing assistance to associates involved in a company-requested move.

One of our most unique benefits is our housing discount. We offer a generous discount on rent for those associates who live at an AvalonBay community. Plus, we offer the convenience of signing a month-to-month lease so you have complete flexibility with your living arrangement.

We strive to acknowledge and celebrate outstanding associate contributions through both formal and informal recognition, celebrating AvalonBay’s core values.