Policy Manual sample

MDT Home Health Care Agency, Inc. COBRA BENEFIT CONTINUATION References: Consolidated Omnibus Budget Reconciliation Act of 1985 POLICY: The Federal Consolidated Omnibus Reconciliation Act (COBRA) of 1985 gives Employees and their qualified beneficiaries the opportunity to continue health insurance coverage through MDT Home Health Care Agency, Inc. (if the economic situation of the Agency permit to provide Health insurance coverage) PROCEDURE: A. Continued insurance coverage under the MDT Home Health Care Agency, Inc. health plan is available where a “qualifying event” would normally result in the loss of eligibility. B. Some common qualifying events are: Resignation Termination of employment Death of an Employee A reduction in an Employee’s hours An Employee’s divorce or legal separation A dependent child no longer meeting eligibility requirements C. Under COBRA, the Employee or beneficiary pays the full cost of coverage at MDT Home Health Care Agency, Inc. rates plus an administration fee. D. MDT Home Health Care Agency, Inc. provides each eligible Employee with a written notice describing rights granted under COBRA when the Employee becomes ineligible for coverage under MDT Home Health Care Agency, Inc.’s health insurance plan. E. The written notice contains important information about the Employee’s rights and obligations. Home Health Agency. - - Personnel/Operations Policies B-128