Furlough Benefits
FURLOUGH BENEFITS
Q: How long does my insurance coverage last if I am furloughed?
A: Employee on the National Plan and eligible dependent coverage extends through the end of the fourth month following the month in which you last render compensated service. For example, an employee last rendering compensated service in January, who is then furloughed in February, will have coverage through the end of May.
- Employee on Iron Road Health Care (UPREHS) Health Insurance paid 3 months premium waiver. Then 12 months at $100 per month. 12 months at $714 per month.
Q: Will vacation pay extend coverage beyond four months?
A: With regard to furlough, no.
Q: Will I be able to continue coverage under COBRA when coverage for me and/or my dependents end?
A: The COBRA eligibility period (18 Months) is measured from the date of the qualifying event. For the health and welfare plans, the "qualifying event" is the date you last worked, NOT the date your coverage ends.
The COBRA eligibility period, therefore, runs concurrently with the extended coverage as stated above so that COBRA continuation is available for the remaining months, if any, after the extended coverage ends.
For example: An employee is furloughed in January and coverage extends through May, COBRA continuation is available beginning July 1 and thereafter for an additional 13 months. In these circumstances, no more than 18 months of COBRA is available, less the five months during which the employee remained covered by the Plan after the qualifying event in January.
Q: How will I be notified that COBRA is available to me and/or my dependents?
A: When the railroad reports an employee as not being eligible. for benefits, a COBRA notice is automatically sent to the employee's address of record. The form must be completed and returned to United Healthcare in a timely manner in order to establish COBRA coverage.
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COBRA COSTS
Iron Road Employee Health Insurance:
Qualifying Event: Furlough - 2 Choices
COBRA: After an initial three-month period paid for by your employer, the monthly premium is $714. Coverage is available for up to a total of 18 months.
Iron Road Health Continuation (IRHCC): Coverage is available for up to 24 months. After an initial three-month period paid for by your employer, your premium for months 1-12 is $100 per month. If you are eligible for and still on IRHCC after 12 months, your premium will increase to $714 per month for a final 12 month period.
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National Plan Employee Health Insurance
UHC, Blue Cross / Blue Shield or Aetna: After 4 months paid by Employer, Then COBRA for $917.16 per month.
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National Plan for Dependent Health Insurance:
First 4 months for free, then $917.16 per month for the spouse. all Children $ 745.09 per month.
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Dental:
First 4 months for free, then $27.37 for the Employee, $27.37 for the spouse. $46.30 for all children
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Vision: First 4 months for free, then $3.88 per month for Employee, $3.88 per month for the spouse. $3.58 per month for all children.
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When buying COBRA Insurance, you can pay only for the type you want. For example, you can decide to only pay for the employee Dental and all children's vision.
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Contact information to check how long your Insurance will be in effect
UHC Railroad enrollment services. 1-800-753-2692 for Dependent and Employees on the National Plan
Iron Road Health (UPREHS) Membership Services 1-800-547-0421 For Employees
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Protect your Insurances when you get called back to work.
When called back to service, your amount of Furloughed Insurance ends the month you come back to service. For instance, if you have been furloughed for 1 month and get recalled. Once you work, you are back to having to qualify for next month’s Insurance for you and your dependents. The 4 months of Insurance for a Furloughed employee ends upon performing service.
The rule is you must work 7 times on at least 7 different days to qualify for the next month’s Insurance or work every time that you have an opportunity to work in order to qualify for next month’s insurance. If you come back from furlough and then only work 5 days in a month, as long as you did not lay off, you qualify for the next month’s Insurance.
The key is to either work 7 times on 7 different days in a month, or do not lay off.
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Yes, it is possible to be furloughed for 3 months, be recalled to work, perform work on one day, then be re-furloughed and have another 4 months of Insurance for you and your family.
Fraternally,
Larry J. Romine
Reliable Retirement Solutions
541-910-4568
Updated 1-1-2023
