Loss of Coverage (COBRA)

 

After employment with the University ends or loss of eligibility of benefits occurs, you have several options to consider.  

If you wish to continue your medical, dental, vision, and healthcare flexible spending account coverage, you may do so through the Consolidated Omnibus Budget Reconciliation Act (COBRA) for 18 months with the exception of the Healthcare Flexible Spending Account, which can be continued through the end of the current calendar year. There is no tax benefit to continuing participation in the Healthcare Flexible Spending Account. 

You also have the ability to review options that may be available to you under the Affordable Care Act at www.healthcare.gov. 

You will be responsible for paying your portion of any coverage, the employer portion, and a 2% administrative fee to Health Equity to have coverage under COBRA. 

The information provided in this section will assist you in understanding how your Tulane benefits will change for you post-employment or after loss of eligibility.

When Benefits Coverage Ends

Your benefit coverage will end at midnight on the last day of the month in which:

  • Your regular work schedule is reduced to less than 50% of full-time benefits eligibility
  • Your assignment is reduced to less than 7 months
  • Your employment with the University ends due to resignation, termination, or death
  • You stop paying your share of coverage during an unpaid leave of absence

Dependent coverage will end: 

  • When your coverage ends
  • The end of the month in which the dependent turns 26

What to expect when you separate or lose eligibility?

  • Once your department processes your termination/eligibility change in the system, or the end of the month in which your dependent turns 26 is reached, Tulane University has 30 days by federal law to notify WageWorks of your departure/change/dependent's age out status. This usually happens within 15 days of your change.
  • WageWorks then has 14 days from receiving that notification to send you a package outlining what is available to you and the cost. 
  • You and your dependent(s) then have 60 days to accept coverage or lose all rights to benefits continuation.
  • Following your notifying WageWorks within 60 days of your intent to participate under COBRA, you then have 45 days to pay WageWorks for coverage. 
  • Once they receive that payment, they will backdate your coverage to the day after your coverage ended as a Tulane employee.
  • Once COBRA coverage is chosen, you are required to pay for 102 percent of the cost of coverage which includes a 2% administrative fee to the vendor.
  • Once you are covered, you can submit any bills that you may have paid out-of-pocket in the interim to the insurance companies for consideration.

If required, a certificate of group health coverage can be provided at your request following your departure, if you were enrolled in one of the University's medical plans. Your new group or individual plan may request it to provide evidence of your prior coverage, although proof of prior coverage is no longer required based on the Affordable Care Act (ACA). 

Resources

Vendor Information

Have questions about your plan?

Call the Benefits Team

Phone:

504-865-HR4U(4748)

Email:

TUBenefits@tulane.edu

Monday-Friday

8:30am - 5:00pm CST