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© 2019 Hitesman & Wold, P.A. MEDSURETY, LLC Cafeteria Plan 1-888-816-4234, www.medsurety.com Basic Plan Document 13 (2) Significant Cost Increases. If the Plan Administrator determines that the cost of an Optional Benefit (other than the Health Flexible Spending Account or Limited Scope Health Flexible Spending Account) significantly increases during a Plan Year, the Participant may, on a prospective basis, either (a) make a corresponding increase in his or her Election, (b) enroll in another benefit package option providing similar coverage and make a correspond ing Election change, or (c) revoke his or her Election if no other benefit package option providing similar coverage is available. The Plan Administrator (in its sole discretion) will decide, in accordance with prevailing IRS guidance, whether a cost increase is significant and what constitutes “similar coverage” based upon all the surrounding facts and circumstances. (3) Significant Cost Decrease. If the Plan Administrator determines that the cost of an Optional Benefit (other than the Health Flexible Spending Account or Limited Scope Health Flexible Spending Account) significantly decreases during a Plan Year: (i) an Eligible Employee or Participant may commence participation in such Optional Benefit; and (ii) the Plan Administrator shall automatically effectuate a prospective decrease in a Participant’s Election with respect to such Optional Benefit in accordance with the cost decrease. (f) Change in Coverage. (1) Significant Curtailment. If the Plan Administrator determines that coverage under an Optional Benefit (other than the Health Flexible Spending Account or the Limited Scope Medical Reimbursement Plan) is significantly curtailed during a Plan Year, the Participant may prospectively enroll in another benefit package option providing similar coverage and make a corresponding Election change. Coverage under an accident or health plan is deemed “significantly curtailed” only if there is an overall reduction in coverage provided to Participants u so as to constitute reduced coverage to Participants in general. The Plan Administrator (in its sole discretion) will decide, in accordance with prevailing IRS guidance, whether a curtailment is “significant”, and whether a substitute Optional Benefit constitutes “similar coverage” based upon all the surrounding facts and circumstances. (2) Loss of Coverage. If the Plan Administrator determines that coverage under an Optional Benefit (other than Health Flexible Spending Account or the Limited Scope Medical Reimbursement Plan) is lost during a Plan Year, the Participant may, on a prospective basis: (i) enroll in another benefit package option providing similar coverage and make a corresponding Election change; or (ii) revoke his or her Election if no other benefit package option providing similar coverage is available. Coverage under an accident or health plan is deemed “lost” only if there is a complete loss of coverage under the benefit package option (e.g., due to elimination of the benefit package option or application of an annual or lifetime maximum) or other fundamental loss of coverage. The Plan Administrator (in its sole discretion) will decide, in accordance with prevailing IRS guidance, whether a “loss” has occurred, and whether a benefit package option constitutes “similar coverage” based upon all the surrounding facts and circumstances. (3) Addition or Improvement of an Optional Benefit. If during a Plan Year, the Plan adds a new Optional Benefit or a new benefit package option under the Optional Benefit (other than the Health Flexible Spending Account or Limited Scope Health Flexible Spending Account), or if coverage under an existing Optional Benefit is significantly improved: (i) an affected Participant may