The University of Alabama, Division of Finance and Operations

Medical Coverage Options upon Termination from Employment Policy

Unit:  Human Resources
Contact: Susan Norton
Title:  Senior Associate Vice President for Human Resources and Chief Human Resources Officer
Effective Date: 5/1/2014
Revision Date: 11/12/2018


 
 

Purpose

The purpose of this policy is to outline the medical coverage options available to an employee and his/her eligible dependents upon the employee’s termination of employment from The University of Alabama.

Policy

Effective August 1, 2014, the following medical coverage options will be available to all employees who terminate employment from The University of Alabama due to:

  • Voluntary or involuntary termination:
    • Not Retirement Eligible - Employees who terminate employment and their eligible dependents can enroll in COBRA for up to 18 months. COBRA can be extended to 29 months in cases where the employee has been approved for LTD.
    • Retirement Eligible * - Employees who terminate employment and their eligible dependents can enroll in PEEHIP.
  • Approved long term disability (LTD) from UA’s Long Term Disability (LTD) carrier:
    • Not Retirement Eligible - Employees who terminate employment and their eligible dependents can enroll in COBRA for up to 18 months. COBRA can be extended to 29 months in cases where the employee has been approved for LTD.
    • Retirement Eligible * - Employees who terminate employment and their eligible dependents can enroll in PEEHIP.
  • On the Job Injury (OJI)
    • Not Retirement Eligible - All OJI related medical expenses will be covered as outlined in the University’s On the Job Injury and Illness Policy. For all non-OJI related medical services, employees who terminate employment and their eligible dependents can enroll in COBRA for up to 18 months. COBRA can be extended to 29 months in cases where the employee has been approved for LTD.
    • Retirement Eligible * - All OJI related medical expenses will be covered as outlined in the University’s On the Job Injury and Illness Policy. For all non-OJI related medical services, employees who terminate employment and their eligible dependents can enroll in PEEHIP.
    • Death of Employee – Covered dependents are eligible to enroll in COBRA for up to 36 months.

*Retirement Eligible – Refers to an employee who meets the Teachers’ Retirement System (TRS) eligibility requirements.

Scope

This policy applies to all faculty and staff.

 
 

Office of the Vice President of Finance and Operations

Approved by Cheryl Mowdy, Assistant Vice President for Finance and Operations, 11/12/2018