Union benefits: Retiring? Temporary COBRA coverage an option

If all goes as planned, today’s active UUP members will be tomorrow’s retiree members.

But planning for retirement isn’t always easy; there are any number of potential pitfalls that could affect the cost or amount of coverage. Often overlooked: COBRA benefits.

With COBRA (the Consolidation Omnibus Budget Reconciliation Act), eligible retirees can receive the same level of health, dental and vision benefits they had as an active member, for up to 18 months—as long as they act quickly. A member’s decision to take advantage of COBRA benefits must be made within 60 days of the date they receive their COBRA notices from the state Department of Civil Service for health benefits and from UUP for dental and vision benefits. Those notices are mailed out the last week of the month the retiree’s employment coverage ends.

“Many of our members don’t realize that COBRA coverage is available to them as retirees,” said Doreen Bango, UUP manager of Member Benefits and Services. “Many think the program is only for people who have no medical coverage after losing their job or some other qualifying event. Knowing what’s out there could end up saving them some money.”

Group health coverage for COBRA participants is usually more expensive than coverage for active employees, since the employer often pays a portion of the premium for active employees. COBRA participants generally pay the entire premium. However, COBRA coverage is ordinarily less expensive than individual health, dental and vision coverage.

Get more on COBRA at http://1.usa.gov/r0dk5b or by calling Civil Service at (800) 833-4344.

Recently retired members may want to use their COBRA notices as a signal for what to do regarding dental and vision coverage, Bango said. UUP sends out a summary of the available dental and vision plans, as well as enrollment deadlines and eligibility. For example, UUP dental and vision programs are only available to UUP members who sign up to continue their membership as a retiree. The $34 annual fee also entitles retirees to $1,000 of life insurance coverage, accidental death and dismemberment insurance of up to $1,500, discounted programs and services, and dozens of benefits programs offered by UUP’s affiliates, NYSUT and AFT.

Thanks to UUP, members not yet retired but looking for information are only a click away from helpful resources. Go to www.uupinfo.org, pull down the Benefits tab at the top of the home page, and scroll down to Retirement.

The site offers easy access to: a pre-retirement checklist; information on continuing health, dental and vision coverage in retirement; Medicare coverage; and tips on estimating the value of sick leave credit.

Also on the site are UUP retiree membership applications and retiree beneficiary cards.

In addition, the union’s statewide Committee on Active Retired Membership produced a booklet, “Organizing Your Vital Records” that is also available at www.uupinfo.org. Find it under Reports/Guides on the left hand side of the home page. The booklet includes health care proxy and living will forms, which may make it easier for family members to manage the difficult decisions about treatment options and other health care wishes.

Contact the UUP Benefit Trust Fund at (800) 887-3863 for more information.

— Karen L. Mattison

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