Termination

Termination Benefit Choices & Considerations for Your Recent Life Event if You’re an nCFlex participant: Life Events YOuR sTaTe BeneFiT deCisiOns FOR: sTaTe heaLTh pLan If you do not receive information on continuing your benefit plans in a timely manner, notify your Health Benefits Representative (HBR) or benefits department immediately. • Plans offering conversion or portability of coverage require you to elect and pay for continuation within 31 days of your termination date. You will not automatically receive enrollment forms from the vendors, so you’ll need to print the forms from www.ncflex.org or contact each vendor. – Under the portability/continuation feature, you may continue your AD&D or term life insurance coverage under the NCFlex Group Insurance policy if you terminate employment before age 70. You pay the full cost of continued coverage plus a small billing fee. Premium rates for portable term life insurance are generally less expensive than conversion rates. continued inside As your employment ends, you may need to make multiple changes to your benefits. The following chart lists considerations by benefit and action steps you should take. COnsideR These OpTiOns: • Elect continuation of health care coverage for yourself and your eligible dependents through COBRA. • Bypass COBRA and convert directly to another plan. Take These aCTiOns: Your HBR will complete and submit a Change Form on behalf of you and your dependents. important notes: Continuation of Coverage: • Coverage for you and your dependents ends the last day of the month for which premiums are paid. • You and your dependents may be eligible for continuation of coverage under COBRA or to convert to a non-employer sponsored plan the first day of the month following the ineligibility event. • COBRA allows a temporary extension of coverage under your health benefit plan to you and your dependents who are covered under your health benefit plan and who would otherwise lose their health coverage due to an ineligibility event. You and your eligible dependents continue to have the same health coverage as before the ineligibility event; however, you must pay the entire cost of coverage. • COBRA election forms will be mailed to you. Complete the COBRA election forms and return them within 60 days of the ineligibility event. nCFLex denTaL • Coverage will terminate automatically as of the last day of the month in which you are payroll deducted. • COBRA continuation coverage is available. Your HBR is responsible for notifying the appropriate vendors by completing the Family/Employment Status Change Form or making this change online. Your signature is not required. important note: Continuation of Coverage: The ending date may occur earlier if your payroll deductions cannot cover your NCFlex benefit costs. • COBRA enrollment materials will be sent to your last known address. The cost is 102% of the monthly premium. Instructions on where to send payments will be included in the COBRA materials. Your HBR is responsible for notifying the appropriate vendors by completing the Family/Employment Status Change Form or making this change online. Your signature is not required. nCFLex VisiOn CaRe • Coverage will terminate automatically as of the last day of the month in which you are payroll deducted. • COBRA continuation coverage is available. www.ncflex.org important note: Continuation of Coverage: • The ending date may occur earlier if your payroll deductions cannot cover your NCFlex benefit costs. • COBRA enrollment materials will be sent to your last known address. The cost is 102% of the monthly premium. Instructions on where to send payments will be included in the COBRA materials. Termination Benefit Choices & Considerations for Your Recent Life Event – Under the conversion feature, you may convert your cancer, term life insurance, and supplemental medical (only after COBRA is exhausted) coverages to individual policies. Term life insurance is converted to a whole life policy, which has cash value, and premiums do not change as you get older. You pay the full cost of individual policy coverage. Premium rates for life insurance conversion are generally more expensive than portable life insurance rates. • If you and/or your family members were participating in the NCFlex dental, vision care, cancer, supplemental medical and health care flexible spending account on the date of your termination with the State, you will receive COBRA continuation enrollment materials from each vendor. The materials will explain your options, enrollment deadlines and premium costs. • When canceling benefits, coverage continues through the end of the month, provided there are adequate payroll deductions to cover the premium costs. Flexible spending accounts end on the earlier of the termination/loss of coverage date, or the last month a contribution was payroll deducted. Life Events FOR: COnsideR These OpTiOns: Take These aCTiOns: Your HBR is responsible for notifying the appropriate vendors by completing the Family/Employment Status Change Form or making this change online. Your signature is not required. • Coverage will terminate automatically as of the last day of the nCFLex month in which you are payroll deducted. suppLeMenTaL MediCaL • COBRA continuation and conversion coverages are available. important note: Continuation of Coverage: • The ending date may occur earlier if your payroll deductions cannot cover your NCFlex benefit costs. • COBRA enrollment materials will be sent to your last known address. The cost is 102% of the monthly premium. Instructions on where to send payments will be included in the COBRA materials. • You may also convert the policy to an individual plan within 60 days after COBRA coverage has been exhausted. Your HBR is responsible for notifying the appropriate vendors by completing the Family/Employment Status Change Form or making this change online. Your signature is not required. nCFLex CanCeR • Coverage will terminate automatically as of the last day of the month in which you are payroll deducted. • COBRA continuation or conversion coverage is available. important note: Continuation of Coverage: • The ending date may occur earlier if your payroll deductions cannot cover your NCFlex benefit costs. • COBRA enrollment materials will be sent to your last known address. The cost is 100% of the monthly premium. Instructions on where to send payments will be included in the COBRA materials. • You may also convert the benefit to an individual policy provided your application and premium are received within 31 days of your termination date. Your HBR is responsible for notifying the appropriate vendors by completing the Family/Employment Status Change Form or making this change online. Your signature is not required. nCFLex aCCidenTaL deaThand disMeMBeRMenT (ad&d) • Coverage will terminate automatically as of the last day of the month in which you are payroll deducted. • You may continue the coverage through the portability option. important note: Continuation of Coverage: • The ending date may occur earlier if your payroll deductions cannot cover your NCFlex benefit costs. • You can contact the AD&D vendor for an application (or to ask questions) or print the AD&D portability enrollment form from www.ncflex.org under Resources, Forms. • If you are under 70, you may elect to continue all or any part of your dependent’s AD&D benefit. • The vendor must receive your portability application and premium within 31 days after your insurance terminates. 2 a Few ThinGs TO COnsideR: • • FOR: nCFLex GROup TeRM LiFe COnsideR These OpTiOns: • Coverage will terminate automatically as of the last day of the month in which you are payroll deducted. • You may continue or convert the coverage. Take These aCTiOns: Your HBR is responsible for notifying the appropriate vendors by completing the Family/Employment Status Change Form or making this change online. Your signature is not required. • • • • • • Do you need to turn in any employerowned property? Contact your HBR and/or supervisor for instructions. Do you want to change your mailing address? Contact your HBR and/or payroll office. Remember to notify your local post office about your new address. Do you want to know the status of unused vacation and/or sick time? Contact your HBR and/or payroll office. Do you have questions about your last paycheck? Contact your HBR and/ or payroll office. Does your spouse have benefits coverage through his/her employer? You may want to compare your spouse’s plans to your COBRA-eligible plans to decide which coverage is best for your family. Do you want to know the options available for your State retirement benefits, or the pros and cons of taking your money out versus leaving it in the plan until retirement age? Contact your HBR for more information. If you participate in any other plans sponsored by your employer (such as dental, life or cancer), check with the plan administrator to see what your options are and what steps you need to take. Please check if your agency, university or community college sponsors any additional benefit plans that may be impacted by your recent life event. important note: Continuation of Coverage: • The ending date may occur earlier if your payroll deductions cannot cover your NCFlex benefit costs. • Continuation: – If you are under 70, you may elect to continue any or all of your group term life benefit. – You can contact the group term life vendor for an application (or to ask questions) or print the continuation form from www.ncflex.org under Resources, Forms. – Your HBR should complete the employer portion of the continuation form. • Conversion: – If you are age 70 or above, you can convert the benefit to a more expensive individual policy. • You can contact the group term life vendor for an application or to ask questions. • The vendor must receive your continuation or conversion application and premium within 31 days after your insurance terminates. Your HBR is responsible for notifying the appropriate vendors by completing the Family/Employment Status Change Form. You are not required to sign or date this form. nCFLex heaLTh CaRe FLexiBLe spendinG aCCOunT (hCFsa) • Contributions will stop automatically as of your termination date. • COBRA continuation coverage is available. important note: Continuation of Coverage: • If you stop contributing to your HCFSA, you may use the balance remaining in your account to reimburse claims incurred before your termination date or your last payroll deduction, whichever is earlier. • Contributions will stop automatically as of your termination date. • COBRA enrollment materials will be sent to your last known address. The cost is 102% of your monthly premium. You make payments by sending an after-tax check to Aon Consulting by the first day of each month. Instructions on where to send payments will be included in the COBRA materials. Your HBR is responsible for notifying the appropriate vendors by completing the Family/Employment Status Change Form or making this change online. Your signature is not required. nCFLex dependenT daY CaRe FLexiBLe spendinG aCCOunT (ddCFsa) sTaTe ReTiReMenT important note: • You may use any balance remaining in your DDCFSA to reimburse claims incurred before your termination date or your last payroll deduction, whichever is earlier. • Review beneficiaries. • Review your retirement benefits. • Review your retirement service credit. If you have five years of membership service, you will be eligible at a later date to apply for monthly retirement benefits and retiree health coverage. Continuation of Coverage: • This coverage cannot be continued. 1. Contact the Retirement System to review your beneficiaries. 2. If you wish to change your beneficiary(ies), complete Change of Beneficiary Form 2C found on www.myncretirement.com or obtain by calling 1-877-627-3287 (toll free) or 1-919-807-3050 in Raleigh. 3. Download your retirement benefits handbook located at www.myncretirement.com to find out what benefits are available to you. 4. Contact the Retirement System to review your service credit by calling 1-877-672-3287 (toll free) or in Raleigh at 1-919-807-3050. www.ncflex.org 3 Termination Benefit Choices & Considerations for Your Recent Life Event Life Events State Health Plan North Carolina Teachers’ and State Employees’ Comprehensive Major Medical Plan www.ncflex.org 30 4