DATE: Nov. 16, 2018
TO: Full-time Employees and Administrators, Part-time PSRP Employees
FROM: Mark Thomas,
Vice President of Administrative Services/Chief Financial Officer
SUBJECT: Change to When Insurance Premiums are Collected
No Insurance Premium Deductions in December
Madison College is changing how it bills for most insurance plans. Currently you pay for coverage one month in advance. For example, in April you paid the premium for May coverage. Effective on Jan. 1, 2019, Madison College will instead collect premium in the month of coverage for health, dental, vision and life insurance. For example, in April 2019 employees will pay the premium due for April coverage.
What Does This Mean to You?
To bring premium collections in line with the new billing process, most employees will not have the employee premium shares deducted in December for January coverage. (There may be premium deductions in December if adjustments are needed for prior pay periods.) Consider it a one-month premium holiday!
Employee premium share deductions will resume in January 2019 for January coverage.
Those who enrolled for 2019 Madison College health insurance will see the new monthly employee premium share of $34.20 ($17.10 per payslip) for single coverage and $96.49 ($48.25 per payslip) for family coverage.
This change does not affect your contributions, if any, to the Flexible Spending Accounts (FSA) or deferrals to your Tax-Sheltered Annuities 403(b) and 457 plans.
If your employment ends with Madison College, your benefit(s) will end at the end of the month in which employment ends instead of providing one additional month of coverage.
Please contact HR Benefits at email@example.com with questions.
Thank you, and have a great weekend and Thanksgiving break!
Published November 19, 2018.