Feb 28, 2024  
DMACC Policies and Procedures 
    
DMACC Policies and Procedures
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HR3600 - Group Insurance Program


Procedures

Section: HUMAN RESOURCES PROCEDURES

SubSection: BENEFITS

Master List Section: Human Resources

 

  1. Institutional Regulations
    1. The Des Moines Area Community College group insurance program shall cover only Regular employees that continue to meet eligibility requirements. Insurance carriers and premium rates shall be subject to approval by the Board of Directors.
    2. Benefit Eligibility Requirements & Membership in the active group of the insurance program
      1. Regular employees with an FTE of .5 or greater.
      2. Regular employees on paid administrative leave or waiting on confirmation of special fund availability.
      3. FMLA could affect membership in the active group. See Procedures HR3720  .
    3. The group insurance program shall include the following employer-paid insurance coverages:
      1. Single Medical Insurance
      2. Single Dental Insurance
      3. Basic Term Life Insurance
      4. Long Term Disability Insurance
    4. D. The group insurance program shall include the following optional insurance coverages paid in part by the employer and in part by the employee:
      1. Tiered Dependent Medical Insurance - For full-time Regular employees, the employer shall pay a percentage of the tiered dependent premium and the employee shall pay the remainder of the premium. For part-time Regular employees, the employer shall pay an amount equal to a single premium plus a prorated amount, based on their FTE, of the percentage of the difference between a single and a tiered dependent premium. The employee shall pay the remainder of the premium. Part-time Regular employee is defined in Procedure HR3110 - Regular Employment - Full-time and Part-time .
      2. Family Dental Insurance - For part-time and full-time Regular employees, the employer shall pay an amount equal to a single premium.
    5. The group insurance program shall include the following optional employee-paid insurance coverages:
      1. Employee and/or Spouse/Domestic Partner Life Insurance
      2. Dependent and/or Spouse/Domestic Partner Life Insurance
      3. Short Term Disability Insurance
      4. Long Term Care Insurance
      5. Optional supplemental coverages
        1. Vision/materials only
        2. Worksite benefits
    6. Domestic partners may be covered under the College’s group insurance plans on the same basis as spouses if they meet the criteria set forth in Procedure HR3602 - Domestic Partners  and an Affidavit of Domestic Partnership is on file in Human Resources.
  2. Procedure
    1. Enrollment Process
      1. Human Resources shall provide new employees with information on the group insurance program, as well as enrollment instructions, shortly after they begin employment with the College.
      2. Employees shall be required to select their insurance coverages and complete the enrollment process as soon as possible in order to secure timely coverage.
    2. Effective Date of Coverage
      1. Medical, dental, basic life, and if applicable, long term disability insurance shall be effective on the first day of the month following the month in which a new employee is hired (and is actively at work). If an employee is hired to start on the first day of a month, the insurance shall be effective the first day of the following month.
      2. Optional Insurance Coverage
        1. For new employees, unless evidence of insurability is required, optional insurance coverage shall be effective on the first day of the month following the month in which a new employee is hired (and is actively at work). If an employee is hired to start on the first day of a month, the insurance shall be effective the first day of the following month. For optional supplemental life insurance and optional supplemental dependent life insurance, the guaranteed amount of coverage shall be effective on the first day of the month following the month in which a new employee is hired (and is actively at work). Any amount of coverage requested above the guaranteed amount will begin the first day of the month after approval by the insurance carrier.
        2. Optional life, disability, and long term care insurance may also be applied for at any time during employment by submitting evidence of insurability. When evidence of insurability is required, the issuance of insurance shall be subject to the approval of the carrier. If approved, it shall be effective the first of the month following approval by the carrier.
    3. Insurance Coverages
      1. Medical and Dental Insurance
        1. An employee may not waive single medical and dental coverage with the College, even if they have coverage elsewhere.
        2. An employee may elect to purchase tiered dependent coverage at Board approved rates. The dependent insurance portion of the monthly premium paid by the employee shall be deducted from their paycheck.
      2. Basic Life Insurance
        1. The basic term life insurance coverage provided by the College shall be equal to twice an employee’s annual salary rounded to the nearest thousand dollars until an employee reaches their 70th birthday. When an employee reaches their 70th birthday, the amount of basic term life insurance coverage shall begin to be reduced in accordance with the terms and conditions of the College’s contract with the life insurance carrier.
        2. The coverage shall include an accidental death and dismemberment (AD&D) provision and an accelerated benefit provision.
      3. Long Term Disability Insurance - To be eligible for Long Term Disability insurance, an employee must work an average of 30 hours per week for a minimum of 9 months during the 12 months immediately preceding the date of disability or an average of 30 hours per week during the number of months worked, if less than 9 months, immediately preceding the date of disability.
      4. Optional Supplemental Employee and/or Spouse/Domestic Partner Life Insurance
        1. An employee may elect to purchase personal and/or spouse/domestic partner term life insurance coverage in addition to that provided by the College except under the following circumstances:
          1. If the spouse/domestic partner is also employed by the College, each employee may only be covered under one optional supplemental policy, either personally or as a spouse/domestic partner.
          2. If the spouse/domestic partner is an Early Retiree and has elected to continue term life insurance under the College’s group insurance plan, the spouse may only be covered under one optional supplemental policy, either personally or as a spouse/domestic partner.
        2. The coverage shall include an accidental death and dismemberment (AD&D) provision and an accelerated benefit provision.
        3. Evidence of insurability shall be required with the following exceptions: If purchased within 31 days of initial employment, employees are guaranteed additional personal term life insurance coverage beyond basic term life insurance up to $100,000 without evidence of insurability. Spouse/Domestic Partner term life insurance coverage up to $25,000 is guaranteed without evidence of insurability.
        4. When a covered employee reaches their 70th birthday, the amount of term life insurance coverage elected for the employee shall begin to be reduced in accordance with the terms and conditions of the College’s contract with the life insurance carrier. Per the Certificate of Coverage, when the employee attains age 70, the optional life insurance terminates for the spouse/domestic partner at the end of the month in which the employee attained age 70.
      5. Optional Supplemental Dependent and/or Spouse/Domestic Partner Life Insurance
        1. An employee may elect to purchase term life insurance for their eligible dependent children and/or spouse/domestic partner. If both the employee and the spouse/domestic partner are employed by the College, only one employee may elect to purchase this coverage.
        2. The insurance must be purchased in units, up to a maximum of three. Each unit shall provide $5,000 coverage for each dependent child and/or $10,000 coverage for the spouse/domestic partner.
          1. One, two, or three units may be purchased without proof of insurability if purchased within 31 calendar days of a new employee’s insurance effective date (see II-B).
          2. Purchase of units after expiration of the initial enrollment period shall require proof of insurability for the spouse/domestic partner.
        3. Per the Certificate of Coverage, when the employee attains age 70, the optional life insurance terminates for the spouse/domestic partner at the end of the month in which the employee attained age 70.
      6. Optional Short Term Disability Insurance
        1. Short term disability insurance shall not require proof of insurability if purchased within 31 calendar days of a new employee’s insurance effective date (see II-B).
        2. If purchased after expiration of the initial enrollment period, evidence of insurability is required to be eligible for this benefit. If approved, a 60 day elimination period shall be in effect if the benefit is used within the first year of coverage for illness. Accident benefits will still be paid from the first day.
      7. Optional Long Term Care Insurance
        1. Long term care insurance may be purchased by an employee for themselves, a spouse, and/or their parent(s).
        2. Cost of insurance will vary by age and level of coverage selected.
    4. Change of Insurance Coverage
      1. Employees may change from family, employee/spouse, or employee/dependents to single coverage at the end of any month if there is a supporting life event change and the employee provides proof of coverage for the family member(s) they are dropping.
      2. Employees shall have 31 calendar days from the date of a life event to change from single to tiered dependent coverage or from one tiered dependent coverage to another. Life events shall include, but shall not be limited to: marriage, death, divorce, birth, adoption, change in dependent status, or change of spouse’s coverage.
      3. Employees may change plans, absent a life event, only during an open enrollment period.
    5. Section 125/Flexible Spending Plans
      1. The Premium-only plan allows employees who carry eligible tiered dependent insurance coverages to have their contribution toward the monthly premium deducted from their salary before taxes.
      2. The Dependent Care Assistance Account and the Unreimbursed Medical and Medical Related Expenses Account allow employees to deduct eligible expenses for dependent care and/or unreimbursed health care expenses from their salary before taxes.
      3. IRS regulations shall govern the administration of all flexible spending plans.
    6. Termination of Employment
      1. Payroll deductions for insurance premiums may continue through a terminating employee’s last pay period.
      2. DMACC insurance coverage shall cease on the last day of the month in which the employee terminates employment.
      3. Continuation of Eligible Insurance Coverage
        1. Under COBRA:
          1. An employee, and/or their spouse, and/or their dependent children may continue group medical, dental, and/or vision hardware insurance, and/or medical expense reimbursement account coverage in certain situations where group coverage would otherwise end. These situations, or qualifying events, shall include but shall not be limited to: termination of employment for other than gross misconduct, death, divorce, legal separation, a child losing “dependent” status and reduction in the hours worked by the covered employee.
          2. An employee must follow the enrollmentn process and adhere to timelines as stated in the provided disclosure.
          3. Insurance may be continued for no less than 18 months and no more than 36 months depending on the qualifying event.
          4. The cost of this coverage to the employee or the qualified individual shall be the total of the monthly premium plus a 2% administrative fee.
        2. Under regular retirement:
          1. An employee may continue group medical coverage to age 65 if the employee applies for their IPERS or FutureTracc retirement benefit. The retiree may continue tiered dependent coverage equal to that carried at the time of their retirement provided that their spouse has not attained the age of 65.
          2. The cost of this coverage to the employee shall be the total monthly premium.
        3. Under DMACC Early Retirement:
          1. An employee may continue group medical coverage to age 65 if they elect to retire under DMACC’s early retirement program (see HR3810 ). The retiree may, at their own expense, continue tiered dependent coverage equal to that carried at the time of their retirement provided that their spouse has not attained the age of 65.
          2. The College shall provide single dental insurance for 36 months for retirees under DMACC’s early retirement program who elect to remain in the College’s group dental plan. The retiree may, at their own expense, continue family dental coverage.
        4. Domestic Partner:
          1. A domestic partner and/or their dependent children may continue group medical and/or dental insurance coverage in certain situations where group coverage would otherwise end. These situations, or qualifying events, shall include but shall not be limited to: termination of employment for other than gross misconduct, dissolution of the domestic partnership, death, or a child losing “dependent” status.
          2. Insurance may be continued for no less than 18 months and no more than 36 months depending on the qualifying event.
          3. The cost of this coverage to the qualified individual shall be the total of the monthly premium plus a 2% administrative fee.
      4. Continuation of Life Insurance Coverage
        1. An employee who terminates employment with the College, may convert their employer paid group term life insurance coverage to an individual permanent life policy at their expense at conversion rates set by the carrier.
        2. If an employee becomes totally disabled prior to age 60 and is approved for LTD, the employee may request a waiver of the group life insurance premium. The request must be made within the first year of the disability. If approved by the carrier, the term life insurance shall continue until the employee is no longer disabled or until the employee reaches the Social Security normal retirement age (SSNRA), whichever occurs first.
        3. Optional employee/spouse/domestic partner life insurance may be converted to an individual permanent life policy at the employee’s expense at conversion rates set by the carrier. Optional dependent life insurance may also be converted.


Cross Reference:
Policy HR420 - Employee Benefits  

Adopted: October 1, 2002
Reviewed: Annually

Revised:
December 1, 2003

January 1, 2005

November 1, 2006

November 1, 2007

September 1, 2008

November 1, 2008

February 1, 2009

July 13, 2009

November 1, 2009

January 11, 2010

November 1, 2010

February 1, 2011

November 1, 2011

October 1, 2014

February 1, 2016

February 21, 2017

March 20, 2018

March 11, 2019

September 1, 2020

January 9, 2023



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