Separating Employees

If the employee has at least 80 hours of paid work in their final check, benefit premiums will be automatically taken, which will allow coverage through the end of the following month. If the employee has less than 80 hours of work in their final check, benefits will then terminate at the end of the month the employee resigned.  Some optional benefits are portable, meaning you can continue to pay for the benefit by working with the subscribing company. Detailed information can be found in the PEBB Plan Summary.

• Optional Life Insurance (including $10k guaranteed issue life insurance included in Core benefits): If your employment ends, you may be eligible to continue your Optional Life coverage. You must apply and pay premiums within 30 days after SOU group coverage ends or is reduced, by contacting The Standard, 1-800-842-1707, Policy number 606814-D  and the policyholder is ‘The State of Oregon by and through its Public Employee’s Benefit Board.
• Dependent Life Insurance: This insurance of $5,000 guarantee issue coverage to dependents is not portable or convertible and will terminate on the last day of coverage.
• Short and Long-Term Disability Insurance: Disability insurance is not portable or convertible and will terminate on the last day of coverage.
• Accidental Death & Dismemberment Insurance: AD&D insurance is not portable or convertible and will terminate on the last day of coverage.
• Health and Dependent Care Flexible Spending Accounts (FSA’s): FSA’s will stop at the end of the month in which you terminate employment. The money contributed will remain in the FSA account and can be used to cover qualified expenses, which must have been incurred while working in a qualified position. FSAs may be continued after separation through COBRA. The right to elect to continue FSA’s ends 90 days from the date coverage terminates. Continuation of coverage will not extend past the current plan year. If electing to continue with COBRA through the end of the calendar year, FSA will be then paid on a post-tax basis.
• Long-Term Care: If your group long-term care coverage ends, for reasons other than your choice to have premium payments stopped for your coverage, you may elect converted coverage. This means that the coverage you had under this plan can continue on a direct billed basis. An election for converted coverage must be made within 60 days of the date the group coverage would otherwise end. Any premium that applies must be paid directly to UNUM by you for any converted coverage to be continued. UNUM can be reached at 1-800-227-4165 or at the UNUM website, certificate number 025858 with Oregon Public Employee’s Benefit Board as the policyholder.

If separating due to retirement, employees may look to the following programs to continue health coverage, other programs may be available:

• COBRA (Consolidated Omnibus Budget Reconciliation Act), a federal law that allows the employee to pay out-of-pocket for the same PEBB medical, dental, and vision currently available at SOU. Optional benefits are not continued through COBRA, though some are portable, as described above. More information about COBRA can be found on HR’s COBRA webpage.
• The Health Exchange Insurance Marketplace is available to those who do not have employer-sponsored health insurance. The Health Exchange has plan options that you can choose from to meet your and your family’s needs. Depending on income, health insurance may be available at a reduced cost or even free. Oregon residents can look to the Oregon Health Exchange for details and non-Oregon residents can look to the federal governments Healthcare.Gov webpage for details.

If separation is due to retirement, employees will need to take action to continue health coverage or to enroll in new program(s). Below are helpful programs that may be available to you:

• PERS Health Insurance Program (PHIP) is available to eligible PERS retirees and their dependents. New PERS retirees and their eligible dependents must enroll with PHIP within 90 days of their PERS effective retirement date. PHIP offers plans that will bridge the gap to Medicare and plans that can act as supplement plans once enrolled in Medicare. For more details, review the PERSHealth.com website or contact PHIP directly.
• PEBB Retiree Health Insurance is available to PEBB members and their eligible dependents if the employee is retiring and under age 65 as this program is designed to bridge the gap to Medicare. The medical, dental, and vision plans available are the same as the active PEBB member plans. The PEsBB Retiree Health Insurance Fact Sheet is helpful in understanding the program and more detailed information can be found on the PEBB webpage Coverage for Non-Employee GroupsCoverage for Non-Employee Groups
• Medicare is intended to provide healthcare coverage for those who are age 65 or older. Oregonians who need assistance with Medicare enrollment can look to a program through the State of Oregon called SHIBA (Senior Health Insurance Benefits Assistance), a free service with experts who can educate and assist you with Medicare. More details can be found on the State of Oregon’s SHIBA website.

Benefit Contacts:

Nicole Blodget, Benefits Officer 541-552-8553

PEBB 503-373-1102

Medical, Dental, and Vision Contact List

The Standard 1-800-842-1707

UNUM 1-800-227-4165