Unpaid Full-Time Leaves of Absence Process When Employee Has ...

Unpaid Full-time Leaves of Absence* Process When
Employee has Benefits
STEP 1 (Leave of Absence (LOA) Approval)
A. Department
1. Employee submits request form to supervisor.
2. Once department becomes aware of employee going on full-time leave of
absence, follow the leave policy outlined for unclassified at
http://www.ohr.wisc.edu/polproced/uppp/1601.htm, or for classified at
http://www.ohr.wisc.edu/polproced/cppp/cppp_chapter16-01.pdf.
3. Complete the Request for Leave form referenced in the policy and submit it to
divisional office (unclassified of one year or less/classified of six months or less
requires divisional approval; central office approval if more than these lengths).
4. Discuss the different benefits options while on the leave without pay (see Step
2.A.1. or LOA chart A460.20140501).
B. Divisional Office
1. Reviews/Approves leave without pay; forwards to appropriate central HR office,
if required.
C. Central OHR Office
1. Consults with division office and/or approves LOA. Academic Personnel Office
(unclassified) reviews/approves, if more than one year; Classified Human
Resources (classified) reviews/approves, if more than six months.
2. Notifies divisional office of approval.
D. Divisional Office
1. Notifies department of approval.
2. Enters leave into HRS job data, including begin and expected return date or
actual return from LOA date.
*Includes a formal LOA where employee is off payroll for a full pay period or more.
(See Additional Information at end of this process.) A short work break (SWB), e.g., 9
month jobs with prepays for summer or seasonal jobs, do not require the approval
process described above.
In order to have active benefits, premiums must be paid while the employee is not on
payroll in all circumstances, either with prepays, personal check in advance, or by
the due date of a benefits bill.
Draft 05/02/2014

STEP 2 (Benefits – Prior to Start of LOA)
A. Department - Arrangements for premium payment must be made prior to the time
the leave of absence begins. (ETF Health Insurance Reference Guide).
1. Once leave is approved and prior to LOA begin date, ask employee which
benefits option they want to select, and inform them of the need for an
application for each benefit they wish to cancel or change, and the need to
cover the premiums before or during the LOA. The department needs to
receive and date application(s) and forward to Benefits Services, 21 North Park.
The cancellation or change is effective the first of the month following receipt of
the application.
a. Continue all insurances during the leave.
1. Same insurance plans and levels of coverage as prior to leave.
b. Continue all insurances, but change level of health coverage.
1. State Group Health - Change from family to single coverage
during the LOA if premiums are deducted post- tax or when
employee becomes responsible for the entire premium.
2. If the spouse or domestic partner is a UW or State employee, can
do a spouse to spouse transfer after 3 months of employer
contribution.
c. Cancel health insurance, but continue all other insurances.
1. Immediately, when leave begins if premiums are deducted posttax,
or if employee pays employee share by check.
2. Cancel health after 3 months, when full payment required.
d. Cancel all benefits.
1. Immediately, when leave begins or any time during the leave.
(Employee needs to submit a new application within 30 days of the end of the leave of
absence to reinstate coverage for 1. b., c., or d. above. Current policy: Coverage will be
effective the first day of the month following receipt of application; ETF considering
enforcement of policy: Coverage will be effective the first day of the month after
employee has returned to work for 30 days at 50% or more.**)
2. Prior to LOA, submit an Insurance Continuation or Cancellation Intention form
https://uwservice.wisc.edu/administration/insurance-continuation.php
and employee’s application(s) if either cancellation or change in coverage. Send
button will forward the request to Madison Benefits Services. Please print
confirmation and attach to check (see 3.b. below) or application (see Step 2.A.1. –
cancelling or changing coverage LOA chart A460.20140501).
3. Payment of premiums (identified on form; a. or b. below are preferred)
a. Prepay of premiums on payroll prior to leave—will be entered into HRS
centrally once form received.
b. Send a personal check to Benefits Services, 21 North Park, to cover all the
premiums during leave. (divisions/departments need to call or email
benefits@ohr.wisc.edu with the information so the amount can be
determined. Checks will be recorded either in Benefits Billing or Review
Paycheck as a check correction and then applied to cover insurance premiums).
c. Benefits Services will set up Benefits Billing during LOA, if neither of the
above two options are possible.
Draft 05/02/2014

STEP 2 cont. (Benefits – Prior to Start of LOA)
B. Madison Benefits Services
1. Receives Insurance Continuation or Cancellation Intention form.
a. Sends letter with LOA chart A460.20140501 to EE and CC the dept
b. Maintaining Insurance –receives personal check or enters prepays in
HRS. If it is too late for payroll prepays, individual will be set up for
Benefits Billing.
c. Cancellation - enters termination of benefits in HRS and ETF when
application received.
d. Change – enters change of benefits in HRS and ETF when application
received.
2. Runs LOA report to verify all leaves have been submitted on an Insurance form
and/or whether payments made if still active in HRS and ETF.
a. Sends letter with A460.20140501 Benefits while on an Unpaid Leave of
Absence to EE and CC the dept (if not already done in Step 2 B-1-a)
b. Submits WiscIT to Benefits Billing to start billing process.
c. Employee receives benefits bill, i.e., Insurance Payment Information form.
d. If employee does not pay the amount due (or does not set up a payment
plan) by the due date, a second notice will be sent. If no response by
the due date on the second notice, the insurance will be cancelled back
to the end of the month that was covered by the premiums previously
collected.
e. If upon receipt of the bill the employee decides to cancel, Benefits Billing
notifies Benefits Services. They will counsel employee that an application
must be submitted so the benefits record in HRS and ETF can be changed.
STEP 3 (Benefits – Return from LOA)
A. Department
1. Employee returns from LOA.
a. If the employee requested cancellation or change to single coverage,
remind employee s/he must re-enroll within 30 days of the end of the
leave of absence. Employee is limited to the same plans and levels of
coverage as at the start of the LOA. ETF considering enforcement of policy:
Coverage will be effective the first day of the month after employee has
returned to work for 30 days at 50% or more.** If the employee changed to
single, a change back to family is required with an application or
insurance will remain as single. If the LOA encompassed an entire It’s
Your Choice period, the employee can make changes within 30 days of the
end of the leave of absence.
b. The department needs to receive and date application then forward to
Benefits Services, 21 North Park. Coverage will be effective the first day
of the month following receipt of application.
2. Notify division that employee is/has returned to work.
3. If extension of LOA is needed, go back to Step 1.A.2.
Draft 05/02/2014

STEP 3 cont. (Benefits – Return from LOA)
B. Division
1. Enter return from leave into HRS.
2. Notify Benefits Services (benefits@ohr.wisc.edu ) that EE has returned and
request that benefits billing is inactivated so premiums start taking on payroll.
3. Review deductions - HRS Review Paycheck to make sure premiums have started
up again.
C. Benefits Services
1. After notification by the division, update WiscIt to inactivate benefits billing.
2. Prepare payroll summary if balance due.
3. Share the amount and payment plan with division.
4. Monitor paylines and retro
Additional Information
Employee Contribution for Insurance Premiums while on LOA
http://www.bussvc.wisc.edu/ecbs/lev-ins-employer-contribution-on-leave-uw1049.pdf
Worker’s Compensation: Employee eligible for employer share while receiving WC
temporary disability payments.
FMLA/LWOP: Employee may be eligible for more than three months of employer share if
the LOA crosses calendar year for classified/fiscal year for unclassified.
Military LWOP: Employee eligible for up to 36 months of LOA.
VA LWOP: Employee eligible for employer share when part time or on partial leave while
on rotation to the VA Hospital. (Medical School faculty only).
Benefit Options While on Unpaid Leave of Absence (LOA) chart A460.20140501
Leaves for one semester or one academic year.
Employee/Employer premiums:
http://uwservice.wisc.edu/docs/publications/benefits-health-rates-2013.pdf
LTEs not eligible for leaves of absence, but if on FMLA eligible for three months of
employer share.
Sick leave credits can only be used by individuals who are laid off.
**Still pending: Employee must re-enroll within 30 days of the end of the leave of absence.
Coverage will be effective the first day of the month following receipt of application. ETF
considering enforcement of policy: Coverage will be effective the first day of the month after
employee has returned to work for 30 days at 50% or more.
Draft 05/02/2014

Benefit Options While on Unpaid Leave of Absence (LOA)
The below information is intended as a guide for helping you make decisions about your benefits while on an unpaid Leave of
Absence (LOA). It is important you contact your department or UW-Madison Benefits Services (MBS) regarding any questions you
have on your benefits and payments of those benefits during your leave. Benefits lapse if premiums are not paid.
Applications are required for each benefit plan that you choose to change, cancel or re-enrollment (upon return) and will be
effective the first of the month following timely receipt. The application(s) should be submitted to your department. Please request
a copy of the application(s), for your records, once it has been signed in and date stamped by your department.
State Group Health
(SGH)
Income
Continuation
Insurance (ICI)
• EPIC Benefits +
• Dental Wisconsin
• VSP Vision
• UW Employees
Inc.
• State Group Life
(SGL)
• Individual &
Family Life (I&F)
Benefits While on LOA
Available Benefit Options (review your earning statements for your personal benefit elections)
Maintain Change/ Cancel Re-enrollment
1. Continue your
current plan and
level of coverage.
Coverage can be
continued up to
36 months,
provided
premiums are
paid.
1. Continue your
current plan and
level of coverage.
If you are not
receiving ICI
benefits, you may
continue
coverage for up to
36 months,
provided
premiums are
paid.
1. Continue your
current plan and
level of coverage.
Coverage can be
continued up to
36 months,
provided
premiums are
paid.
1. Continue your
current plan and
level of coverage.
Coverage can be
continued up to
36 months,
provided
premiums are
paid.
1. Continue insurance coverage but change level from
family to single at the start of the leave or when
you become responsible for the full cost of the
premium.
2. Maintain coverage for 3 months at employee rate
(excludes craft workers) and then cancel coverage
when you become responsible for the full cost (if
you do not cancel coverage you will pay the full
premium after the third month).
3. Cancel any time during leave, for the duration of
the leave.
1. Cancel coverage at beginning of the leave, for the
duration of the leave.
2. Maintain coverage for 3 months at employee rate
and then cancel coverage when you become
responsible for the full cost (if you do not cancel
coverage you will pay the full premium after the
third month).
3. Cancel at any time during leave.
*If you have an approved claim, a premium waiver
will be submitted on your behalf.
1. Cancel coverage at beginning of leave, for the
duration of the leave.
2. Cancel at any time during leave.
1. Cancel coverage at beginning of leave, for the
duration of the leave.
2. Cancel at any time during the leave.
*If coverage is maintained, UW Madison Benefits
Services may request a premium waiver if eligibility
requirements are met.
1. You may re-enroll
in the insurance
carried prior to
leave when
returning to work.
Deadline to reenroll
is 30 days
from the date
your LOA ends.
1. You may re-enroll
in the insurance
carried prior to
leave when
returning to work.
Deadline to reenroll
is 30 days
from the date
your LOA ends.
1. You may re-enroll
in the insurance
carried prior to
leave when
returning to work.
Deadline to reenroll
is 30 days
from the date
your LOA ends.
1. You may re-enroll
in the insurance
carried prior to
leave when
returning to work.
Deadline to reenroll
is 30 days
from the date
your LOA ends.
A460.20140501

Employee
Reimbursement
Account (ERA)
Tax Sheltered
Annuity (TSA) &
Wisconsin Deferred
Compensation (WDC)
University Insurance
Association (UIA)
Accidental Death &
Dismemberment
(AD&D)
1. Continue coverage by
contributing the
remainder of your
annual election by
making one or more taxfree
contributions from
your paycheck or let
contributions end when
you go on LOA.
1. If no arrangements are made, ERA
deductions will cease and no
reimbursement will be available for
dates within the leave. Deductions will
resume once returned from LOA.
1. You may resume or
change your
election amount due
to a qualifying life
event within 30 days
of the event.
• If you contribute your full annual election, you may be reimbursed for expenses incurred during the
entire plan year. If you do not contribute your entire annual election or file a Change in Status
Form, directly to WageWorks, coverage will expire at the end of the month in which your last ERA
payroll deduction was taken. Expenses for services provided to you after this date are not
reimbursable and any remaining funds will be forfeited.
• Complete a Change in Status Form directly to WageWorks to start/change your election account.
Contributions end on your last paycheck and resume when you return to work.
This is a mandatory plan for unclassified employees that meet eligibility requirements. Annual premium
of $24.00 is deducted from employee’s October earnings. If on LOA, a bill will be sent and premium will
be due no later than December 1 st of that year.
You may cancel or re-enroll at any time. The election or cancellation will be effective the first of the
month following receipt of the application.