ESOP Basics
What does ESOP stand for?
Employee Stock Ownership Plan
Minimum age to join?
21 years old
Vesting rate after 2 years?
20%
Who determines share value?
Independent valuation company
One way to show ownership?
Take initiative / Show up engaged / Protect what matters to HCI
Who pays for the shares in our ESOP?
The company (HCI)
How long must you work full-time to enroll?
1 year of full-time employment
Vesting rate after 3 years?
40%
How often is share value calculated?
Annually
What should you protect at HCI?
Our mission, values, and culture
What kind of retirement plan is an ESOP?
A qualified retirement plan
What are the two enrollment dates?
January 1 or July 1
Vesting rate after 5 years?
80%
What factors affect share value?
Company performance and projections
How does ESOP improve job satisfaction?
Employees feel invested and motivated as Employee Owners
What is the main benefit of an ESOP?
Ownership stake and retirement savings
If hired on March 10, when do you enroll?
July 1 of the following year (next closest date after hire)
What is graded vesting?
The percentage of share value you own based on years of service
When do you receive your shareholder statement?
Once a year
What’s one HCI core value?
Highest Quality
Continuous Improvement
Impeccable Customer Service
What does it mean to be 100% ESOP-owned?
All shares are owned by employees
Can part-time employees join the ESOP?
No, only full-time employees
How many years for full vesting?
6 years
Why might share value increase over time?
Company success increases share value
How can you contribute to continuous improvement?
Suggest improvements and act on them