20-P-009 Change in Insurance Coverage End Dates for Terminating Employees (August 26, 2019)
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Informational Circular No. |
20-P-009 |
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Effective Date: |
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Contact Name: |
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| Approval: | Nancy Ruoff (Original Signature on File) |
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Summary: |
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The Health Care Commission (HCC) has elected to change the coverage end date for terminating members from the last day of employment to the last day of the month in which the member terminates employment. This change in coverage end date will affect all State Employee Health Plan (SEHP) benefits in which a member is enrolled, including Health Savings Accounts and Flexible Spending Accounts.
Per SEHP, effective October 1, 2019, if a member terminates employment on the 1st of the month, benefits also terminate on the 1st of the month. The SEHP Membership Administration Portal (MAP) will calculate the appropriate premiums for that day of coverage. HSA & FSA contributions will be sent and should be taken on the first check of the month for a member terminating on the 1st of the month. If a member terminates on the 2nd of the month or later, benefits will terminate at the end of the month. The HCC’s expectation is that member deductions on the second check of a month will be processed as sent on the MAP benefit election return file (BERF).
As part of this change, SEHP will be changing the timing of vision, voluntary supplemental insurance, and Long-Term Care (LTC) payroll deductions from once a month to twice a month. Starting with the payroll period beginning September 8, 2019 and ending September 21, 2019, paid on October 4, 2019 the premiums for vision, voluntary supplemental insurance, and LTC will be deducted semi-monthly on the first two paychecks of the month.
The Office of the Chief Financial Officer, Payroll Systems Team is responsible for making the necessary updates to the SHARP payroll system. Regents’ institutions are responsible for ensuring that these changes are reflected in their individual systems by the payroll period noted above.
Questions regarding the system set-up/interfaces for these payroll deductions can be directed to Earl Brynds (Earl.Brynds@ks.gov or 785.296.5376).
Questions regarding the vision benefit should be directed to Pete Nagurny (pete.nagurny@ks.gov or 785.296.0185).
NTR:abe
Printable Version of 20-P-009
