COBRA (Benefits Continuation)
When you or a covered dependent lose eligibility for or end your coverage in our benefits plans, the coverage will be terminated. However, under most circumstances, you may continue the medical/prescription, dental, vision and health care flexible spending account benefits coverage through COBRA. Under COBRA, you will pay the full group cost of the plan, plus a 2% administrative fee.
Electing to Continue Coverage
- Carnegie Mellon will notify Benefit Coordinators Corporation (BCC), Carnegie Mellon's COBRA administrator, within 30 days after a loss in coverage.
- You must notify Carnegie Mellon within 30 days if a dependent loses benefits eligibility due to a change in student status, etc., so that we may notify BCC.
- BCC will notify you within 14 days of receiving notification about your COBRA eligibility. You will receive a form to complete to continue your medical coverage through COBRA.
- Notify BCC within 60 days to continue coverage with COBRA. Coverage will be retroactive to the date you lost active coverage, if you elect to participate. You do not need to enroll in COBRA before your active coverage ends.
COBRA Eligibility
| Event under which COBRA is offered |
Who may be covered in our benefits plan through COBRA |
|
Employee is separated/terminated from the university (unless terminated for misconduct) |
employee, spouse or dependent child who was covered by our benefits plans at the time of separation |
|
Employee loses benefits eligibility (change in status, hours, etc.) |
employee, spouse or dependent child who was covered by our benefits plans at the time of loss of eligibility |
|
Dependent loses eligibility for coverage through Carnegie Mellon (due to age, student status, etc.) |
the spouse or dependent child who lost eligibility |
|
Early retirement from Carnegie Mellon (age 60 through 64) |
employee, spouse or dependent child who was covered by our benefits plans at the time of separation |
|
De-enrolling in a benefit upon a life/family change |
employee, spouse or dependent child who was dropped from coverage under one of our benefits plans |
|
End of long-term disability benefits (not returning to work at Carnegie Mellon) |
individual, spouse or dependent child who was covered by our benefits plans at the time of end of coverage |
|
Leave of absence that is not benefit-supported |
employee, spouse or dependent child who was covered by our benefits plans at the time the leave began |
- COBRA coverage is generally offered for up to 18 months, or longer depending on the circumstances.
- Individuals must enroll in the same plans that they had as a covered member, unless they were enrolled in a medical or dental HMO and are relocating to an area outside of Western Pennsylvania. You may change plans during the annual Open Enrollment period, or add/delete dependents upon a life status change. (Contact the Benefits Office if you experience a status change.)
Benefits Continuation When Coverage Ends
All university benefits terminate on the last paid date of employment, except those stated otherwise below. Benefits may not be continued or retained after your coverage ends, except as stated otherwise below.
|
Benefit Features |
When Coverage Ends |
Continuation |
|
Health, Prescription, Dental, and Vision insurance |
Last day of month in which employment ends |
You may choose to buy continued coverage under COBRA by paying the full cost of coverage plus a 2% administrative fee. You must enroll in the same plan you had, unless you are relocating out of the Pittsburgh area and are enrolled in a medical or dental HMO. You may change plans at Open Enrollment. Selecting a Plan if you Relocate Outside Western Pennsylvania [pdf] |
|
Life and AD&D Insurance |
Last paid date of employment |
You may convert coverage to an individual insurance policy. Contact Human Resources to start the process. |
|
University Retirement Contributions |
Last paid date of employment |
You may retain your account or roll over to another qualified plan if you were vested. Earnings will continue. |
|
Supplemental Retirement Accounts |
Last paid date of employment |
You may leave your account or rollover to another qualified plan. Earnings will continue. |
|
Spending Accounts |
Last day of month in which employment ends |
A Health Care Account may be continued (although the tax benefits of doing so are affected) in order to incur expenses to use contributed funds. Dependent Care Accounts may not be continued under COBRA. |