Health Plan Description
Introduction Plan
Administration Effective May 1, 2012, employer-provided health insurance definition has been expanded to include private insurance policies (refer to Other Benefit Plans). If the County Extension Council provides health premium coverage to its benefit eligible employee(s), the Extension Health Subsidy may be used toward reimbursing the employee for health/medical insurance premium expenditure. Plan Design For example, the health care provider may offer dental, vision and employee assistance plans in addition to the health plan. A County Extension Council may offer these additional plans to staff through funding provided by the County Extension Council, staff members or some combination thereof (each plan has specific funding guidelines). A County Extension Council might also want to offer coverages to part-time (less than ¾ time, or less than 30 hours per week) staff. MU Extension funds will not be available to fund these additional coverages. The health care provider will bill all plan costs to each Extension County Council on a monthly basis. The full premium of the employee's health plan and any additional coverages a County Extension Council has offered to its staff will be paid by the County Extension Council. County Extension Councils will receive an Extension subsidy to apply toward the medical plan on a quarterly basis. There is no required contribution from the County Extension Council to the cost of health insurance if the Extension subsidy covers the required employer portion of the employee only medical premium offered to secretaries or program office support staff working 3/4 time, or more (30 or more hours per week). (MCHCP requires entities to cover 50% of the employee only medical premium.) County Extension Councils are, however, agreeing by virtue of their employee's enrollment in an employer-provided health plan to ensure that appropriate deductions are made from their employee's paychecks to cover the employee's share of monthly premiums. MU Extension, state funded, support for health plan premiums will be provided for county office secretaries, or locally paid staff whose primary duties consist of program office support for Extension program staff. Individuals must be regularly working at least ¾ time (.75 FTE), or 30 hours per week. This support (subsidy) is intended to provide reasonably affordable health care coverage to the individuals employed by the council, within the constraints of available funds. Each County Extension Council is responsible for direct notification to the health provider and the MU Extension Plan Administrator of any changes in coverage, terminations, or new hires to assure that coverages and charges are correct. Extension
Subsidy Calendar Year 2013 flat subsidy rate is $300.00 with the following exceptions:
Calendar Year 2012 base allocation (subsidy rate) is $275 for employer-sponsored health insurance. If the employee only total health care premium is less than $275, the subsidy will be adjusted accordingly. For eligible county secretaries who choose to participate, the plan may require a monthly payroll deduction. Employee contributions may need to be withheld from paychecks in the month prior to coverage to provide for timely payment. Through the Cafeteria Plan, employee deductions may be made as pretax or after-tax contributions. It is the County Extension Council's responsibility to ensure that appropriate amounts are withheld from an employee's pay to cover the individual's share of health premiums. The health plan provider bills the County Extension Council who employs the individuals for health coverage, not the individuals themselves. Subsidies for .75 FTE Employees Consistent with University of Missouri policy, only employees who work three-quarter-time (.75 FTE) and above are eligible for subsidized medical benefits from MU Extension. For medical benefits, each county is a unit under a health care provider. As the employer, each county will make determinations concerning the health plan and any optional coverage plans offered. This will allow each County Extension Council the flexibility to add additional benefits and provide benefits for secretaries less than .75 FTE. Pre-Tax Deductions through 12/31/2007 Pre-tax deductions for health, dental or vision insurance premiums were not possible for this plan prior to January 1, 2008. 2008 Cafeteria Plan for Pre-Tax Deductions effective 01/01/2008 Legislation was passed that requires all entities that offer health insurance to offer a cafeteria plan to the employees. This legislation is effective January 1, 2008. The impact of this legislation to Extension is that a cafeteria plan must be made available to any Extension county council secretary participating in the medical insurance plan. County council secretaries will have the option to have their medical, dental or vision insurance premiums deducted pre-tax. For assistance in making changes to your medical, vision and/or dental payroll items in your accounting file, contact your regional QuickBooks trainer, or Mary Ann Horvath. For other questions about the 2008 Cafeteria Plan, contact the MU Extension County Secretary Benefits Plan Administrator. Retired Staff Staff members that retire after the start of the plan are able to qualify to continue coverage with the health care provider, as they would have an existing pension plan in effect. Retirees are required to pay 100 percent of premiums directly to the health care provider. County Extension Councils that have secretarial contracts with UM are grandfathered in and maintain existing health benefits. Present cases are subsidized for health costs. No new contracts between County Extension Councils and UM will be initiated for secretarial payroll. Effective May 1, 2012, the subsidy may be be used for any employer-provided or "private" health insurance premiums for a benefit eligible secretary. Private health insurance includes the Missouri State & Missouri Federal Health Insurance pool and Medicare Supplement (i.e., Medigap) premiums. The Extension subsidy may not be used for Medicare (exception for Medicare Supplement insurance) premiums, dental and/or vision insurance premiums , spouse and/or dependent portion of the medical premium, insurance obtained through spouse's employment, or Medical Discount Plans. Effective January 1, 2011, any employer-provided (County Extension Council paid) medical premium for a benefit eligible secretary will be eligible to receive an Extension subsidy. Individuals who are funded 50 percent by a County Extension Council and 50 percent by the University are provided benefits as a full-time secretary. The health care provider will bill each County Extension Council in accordance with their own plan payment schedule. For instance, MCHCP bills each County Extension Council prior to the beginning of the coverage month. Remittances indicate covered individuals and the types of coverage. Councils should verify the coverage is correct. County Extension Councils should pay the health care provider remittance upon receipt. Employee contributions may need to be withheld from paychecks in the month prior to coverage to provide funds timely. Employee deductions must be made in accordance with the County's Cafeteria plan (either pre-tax or from net income after taxes). If a County Extension Council wishes to pay the employee's share, it will not be considered a taxable benefit and thus will not be included in an employee's gross pay. Each County Extension Council is responsible for notifying the health plan provider and the MU Extension Plan Administrator, upon any change, termination or employment of new secretaries to stop or change coverage. All payments for invoices must be remitted to to the appropriate plan provider.
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Welcome Page
Courtesy Health
Plan Extension Health Subsidy NRS Retirement
Plan
Policy and Procedures
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Tamra Robbins,
robbinst@missouri.edu |
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