How Individual Choice Works

Individual Choice begins with a level of coverage necessary for the basic financial protection of each employee. This basic required coverage includes:

• medical coverage (unless you are covered under another medical plan);
• $20,000 of life insurance; and
• long-term disability coverage once you become eligible.

You have the option to build upon these core benefits. With the Individual Choice program, you choose from an array of selections to meet your needs.

Credits

Each benefit-eligible employee receives a predetermined number of benefit credits from the College. Depending on the options you choose, your total credits will cover all or part of your flexible benefits package.

Once you make your benefit selections, compare the total cost of those elections with the amount of your credits to determine any out-of-pocket expenses. For example:

• If you have left over benefit credits, you will not have any out-of-pocket expenses. If you have at least $25 in benefit credits left over, you must deposit them into a health care or dependent care flexible spending account if you are enrolled in the Open Access POS II medical plan. If you are enrolled in the High Deductible Health Plan, you must deposit them into a health savings account (HSA).
  
• If the total cost of your benefit elections is greater than the amount of benefit credits you are provided, the appropriate deductions will be made to your paycheck. You may pay the difference for certain coverages with before-tax dollars taken from your paycheck. This reduces your taxable income and, consequently, your taxes.
  
• Increased accident insurance, dependent life and employee life insurance in excess of $50,000, and long-term disability coverage may be purchased by having the cost deducted from your paycheck on an after-tax basis.

If you decline medical coverage under the Individual Choice program, you will receive fewer benefit credits, plus a separate number of cashable credits. You can have your separate cashable credits added to your taxable pay. Alternatively, you can use these credits to purchase other benefits or deposit them into a flexible spending account.