556 Insurance Conversion Privileges

P-556.0

According to the federal Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985, in the event of termination of employment or loss of eligibility to remain covered under group insurance programs, employees and eligible dependents may have the right to continued coverage, at their own expense for a limited period of time.

Pr-556.0.1 If enrolled in the College’s medical and/or dental insurance, each qualified recipient has the right to continue medical and/or dental coverage for up to 18 months, or in certain circumstances, up to 29 months or 36 months. The employee/eligible dependent will pay the full premium and may be charged any applicable administration fee as allowed by law.
Pr-556.0.2 If participating in a dependent care flexible spending account, the employee may continue to request reimbursement for qualifying dependent care expenses for the remainder of the plan year to be drawn from the balance remaining in the dependent care account at the time of termination. No further contributions may be made. All claims must be submitted within 90 days of the end of the plan year.
Pr-556.0.3 If participating in a medical flexible spending account at the time of termination, the employee may continue individual contributions and claims to the medical flexible spending account through COBRA provisions until the end of the plan year, if there is a positive balance in the account at the time of termination. The employee may be charged any applicable administration fee as allowed by law.
Pr-556.0.4 Upon termination or upon notification of a qualifying event, information regarding continuation of coverage is sent or delivered to qualified beneficiaries.
P-556.1 Conversion of Basic Life, Voluntary Supplemental Life Insurance, and Long Term Disability Insurance will be permissible as allowed by the provisions of each plan.
P-556.2 In accordance with Missouri statutes, the employee, if participating in the Public Education Employees Retirement System (PEERS) or Public School Retirement System (PSRS), may elect upon retirement continued coverage in the College’s group medical insurance plan.
Pr-556.2.1 The retiree must elect coverage within one year from date last employed by the College or a Missouri school district in order to qualify for retiree insurance coverage. Retiree’s dependents may also be enrolled according to the terms of the plan pertaining to eligible dependents. The retiree will pay the full amount of the premium for the retiree and any covered dependents. No administration fee is charged.
Policy Code Key
P Policy PR Procedure D Definition S Supplement

Content Owner: Donna Davis—ddavis@stchas.edu
Page Updated by: Jessica James
Date Issued:01/24/06
Date Revised: