How and when may I add a new employee to our municipality's health coverage? How and when may I delete an employee from our municipality's health coverage?
To add a new employee, the employee must complete a CIGNA Enrollment/Change Form. Coverage will begin the first day of the month after the employer's probationary period ends. If the employer has no probationary period, coverage begins the first of the month after the date of hire. Any probationary period is set by the employer; some have none, others may have as long as six months.
To delete an employee, please complete a CIGNA Enrollment/Change Form. Coverage will end as of the last day of the month an employee works. For example, if an employee terminates as of May 15th, coverage will end on May 31st.
Is our municipality allowed to offer more than one health plan?
Yes. Municipalities are allowed to offer more than one health plan. However, if a municipality wishes to offer more than two plans, it must obtain approval from the VLCT Health Trust Board of Directors.
How and when may an employee change health insurance plans?
Employees may change plans during the annual open enrollment period, mid-November to mid-December. The effective date will be January 1.
When can an employee enroll or add dependents?
Enrolled employees can add existing dependents during the open enrollment period, which is mid-November through mid-December, with a January 1 effective date. Employees can add new dependents within 30 days of a qualifying event (marriage, birth, adoption, or loss of coverage by another source of health insurance) with the effective date being the first day of the month after the employee submits the enrollment/change form.
Who qualifies for Consolidated Omnibus Budget Reconciliation Act (COBRA) and how long does the coverage last?
The following individuals may qualify for COBRA:
* An employee (for example, an employee who reduced working hours and lost coverage)
* A former employee
* A retired employee
* The spouse of any of the above
* The dependent children of any of the above
* Children born to, adopted by or placed for adoption during the period of COBRA coverage with a qualified beneficiary who was once the covered employee
* Other individuals such as self-employed individuals, agents and independent contractors and their employees who are on your plan
Coverage under COBRA has the following duration:
| Qualifying Event | Individuals Affected | Coverage Duration |
|---|
| Termination of employment | Employees and beneficiaries without disability | 18 months |
| Reduction in hours of employment | Employees and beneficiaries without disability | 18 months |
| Termination of employment | Disabled employees and their dependent qualified beneficiaries | 29 months |
| Reduction in hours | Disabled employees | 29 months |
| Bankruptcy | Active employees | 18 months |
| Bankruptcy | Retirees | Life |
| Bankruptcy | Dependents of retirees | 36 months after retiree dies |
| All other events | Usually dependents | 36 months |
