Employee Benefits - Fringe Benefits
C.E.S.P. 8-18: Continuation of UA Health/Dental/Life Insurance
Summary: Establishes policies and procedures regarding continuation of health/dental/life insurance for classified and non-classified Extension employees at separation from employment.
Terminating UA employees who meet the Benefit Eligibility Requirements to continue health/dental/life insurance should provide Extension with a minimum of ninety (90) days advanced notice of your separation from employment date, and you are urged to cease employment on the last working day of the month. This processing time is necessary for the vendor to ensure that benefits may commence in a timely manner.
Benefit Eligibility Requirements:
To be eligible to continue UA insurance health, dental and life insurance benefits beyond your separation from employment, under the "10-70 rule" you must meet the following stipulations:
- You have been covered under the insurance plan for the past ten consecutive years;
- You have worked for the University of Arkansas for a minimum of ten consecutive years; and
- You have a combined age and continuous years of University of Arkansas service equal to 70 or more.
For example, if you are age 48 and have worked at Extension for 25 years and have been covered under the benefit plans for the last ten years prior to leaving, you would be eligible for continuation of your health/dental/life insurance.
In addition to the “10-70 rule” to be eligible to continue UA insurance health and dental benefits only; beyond separation from employment, eligible employees age 65 or older at the time of separation from employment must meet the following stipulations:
- For the last five consecutive years been in a benefits-eligible position; and
- For the last five consecutive years been a participant in the health and/or dental plan(s).
The “65-5 criterion” does not apply to continuation of basic retiree life insurance.
If you do not meet the “10-70 rule” or the new "65-5 criteria" when you are separating from employment, you will still be eligible to continue your medical, dental and vision coverage for up to 18 months under COBRA.
When Extension employment ceases, your benefits will terminate on your last day in pay status. If you are eligible to continue benefits under the “10-70 rule;” or the new "65-5 criteria" you will be required to submit all health, dental and/or life insurance elections within thirty (30) days of your official separation date.
Continuation of Health Insurance
Pre 65 Health Coverage
When employment ceases, if you are under age 65 and have met the “10-70 rule,” you may maintain your current coverage under the University of Arkansas health insurance plan administered by UMR. You will pay both the employee and employer shares of the monthly premium cost.
If you are under 65 and your spouse is Medicare-eligible (age 65 or older) and is covered through you, when you enroll and continue in your current UMR plan, your spouse may maintain coverage through the UA System’s UnitedHealthcare Group Medicare Advantage (PPO) Plan (called the “MAPD”). See guidelines and billing instructions under Post 65 Health Coverage (below).
If you choose not to continue your current UMR coverage or if you discontinue your participation at a future date, the eligibility for your spouse and/or dependents to remain with the current plan will also end.
If you choose to continue your UMR health insurance, instructions regarding premium payments will be provided to you directly from UMR. If you have questions, please contact the UMR Direct Billing Administration Team during regular business hours at 1-800-207-1824 or email at retireeAdministration@umr.com
Post 65 Health Coverage
If you are Medicare-eligible (age 65 or older) you may maintain coverage through the
UA System’s UnitedHealthcare Group Medicare Advantage (PPO) Plan (or “MAPD”). This
is an “open access” PPO plan, meaning you can see any doctor or provider that accepts
Medicare and the Plan, regardless if they are in or out of United’s network. The Plan
includes Medicare Part A, Part B and Part D prescription drug coverage plus other
benefits, such as SilverSneakers. Medicare Part B must be separately purchased through
the Social Security Administration at www.ssa.gov or by calling 1-800-772-1213.
Each member is individually enrolled. For example, you and your eligible spouse, age 65 or older, may both enroll, but each of you will be billed separately for the premium and each of you will receive your own member ID card. Each person will be required to complete an enrollment application, which is mailed directly to UnitedHealthcare (UHC), or you can enroll separately by calling UnitedHealthcare directly at 1-800-533-2743.
You are urged to make your election to continue coverage at least 90 days before your
official separation date to insure that an enrollment application can be mailed to
your home address from UHC to avoid a break in coverage. Premiums are billed by, and
made payable to, UnitedHealthcare. If you have billing questions, please contact the
UHC Customer Service at 1-800-457-8506.
If you are Medicare-eligible and your spouse and/or dependents are covered through you but are not yet Medicare-eligible, if you enroll and continue in the MAPD, your spouse may remain with the current Pre 65 UMR plan until reaching Medicare-eligibility, at which time your spouse will be offered the MAPD. If you enroll and continue in the MAPD, your dependents may remain with the current UMR plan until reaching age 26.
If you do not elect the MAPD or if you discontinue your participation at a future date, eligibility for your spouse and/or dependents to remain in the plan will end.
Continuation of Dental Insurance
You may maintain your current dental insurance coverage after seperation from employment. Your monthly premium will include both the employee and employer shares of the cost. Instructions regarding premium payments will be provided to you directly from UMR. If you have questions, please contact the UMR Direct Billing Administration Team during regular business hours at 1-800-207-1824 or email at retireeAdministration@umr.com.
Continuation of Life Insurance
You may maintain basic group life insurance in the amount of $10,000 in retirement. The current monthly premium is $8.33, or an annual premium of $99.96. Instructions regarding premium payments and the annual $30.00 administration fee will be provided to you directly from The Standard. If you have questions, please contact The Standard Direct Billing Administration Team during regular business hours at 1-855-839-9885, by email at firstname.lastname@example.org or by mail at 920 SW 6th Avenue, Portland, OR 97204.
The “65-5 criterion” does not quality the retiree to continue in basic retiree life insurance.
Cost to Continue Health, Dental, Life Insurance
Please be aware that these rates are subject to change. They may be different at the time when you cease employment and you are required to pay 100% of the total premium.
Timeline for Continuing Health/Dental/Life Insurance under the “10-70 Rule” or the
- Three months before you cease employment, contact HR at 501-671-2219 to determine your eligibility.
- If you are age 65 or older, call Medicare at 1-800-633-4227 to enroll in Part A and Part B.
- Complete the EPERS-104 form and submit it to your supervisor. NOTE: This is an irrevocable decision! It is highly recommended that the last working day of the month be elected as your separation from employment date to avoid any break in your benefits.
- Once HR receives notification from your supervisor of your pending separation from employment and if you meet the “10-70 rule” or the "65-5 criterion," an Extension benefits packet will be mailed to your home address restating your continuation of eligibility and the options available you.
- Complete all paperwork provided in the Extension benefits packet and return to HR within 15 business days of receipt.
- Once all paperwork has been received in HR, the appropriate medical, dental, and life insurance vendor(s) will be notified of your termination date. The vendor(s) will provide billing material to your home address to continue your elected options.
- If you are age 65 or older, a Medicare packet will also be mailed to your home address from UHC to continue your medical coverage. NOTE: You must be enrolled in Medicare Part B in order to continue medical coverage with UHC AND you must complete and submit the UHC enrollment packet directly to UHC.
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