Overview of Benefits

The University’s benefit program features three types of benefits: flexible, core, and voluntary. This section provides a brief summary of the benefits available to employees in benefit-eligible positions. More detail is provided in the Benefit Reference Guide booklet available from Staff Benefits, Human Resource Services at the West Lafayette campus or the human resources offices at the Calumet, Fort Wayne, and North Central campuses. This information can also be found at www.purdue.edu/benefits.

Same-sex domestic partners will be deemed “spouses” for purposes of Purdue spousal benefits, pursuant to the Board of Trustees’ September 2002 resolution, which granted benefits to same-sex domestic partners.

Eligibility

Faculty and staff members who meet the following definition are eligible for participation in the benefit programs:

(a) A faculty member who is tenured, tenure track, or clinical/professional employed half-time or more on a continuing basis for more than one year; or
(b) A visiting faculty member employed full time for a semester or longer; or
(c) A continuing lecturer employed half-time or more on a continuing basis for more than one year; or
(d) A postdoctoral research associate or assistant, veterinary intern, or veterinary post-doctoral residents employed full time for a semester or longer; or
(e) An administrative or professional staff member employed half-time or more on a continuing basis for more than one year; or
(f) A clerical or service staff member employed half-time or more on a continuing basis for more than one year.

The following individuals are not included: students; graduate student and graduate administrative and professional staff; graduate and undergraduate student residence hall counselors and staff residents; fellowship appointees; limited term lecturers; military assistant instructors; visiting scholars; adjunct staff; associate staff; or affiliate staff.

Flexible Benefit Coverages

Flexible benefits allow employees to select programs that fit their specific needs during the annual benefit open enrollment period. Selections that are made become effective January 1 of the following year and cannot be changed during that calendar year unless a qualifying "change in family status" event occurs (see Change in Family Status section). Available flexible benefits include medical/vision coverage, personal accident insurance, short-term disability, flexible spending accounts, and voluntary benefits, including dental, auto/home, and prepaid legal services. Premiums charged for these programs are deducted from pay on a pre-tax basis.

Benefit Open Enrollment

Every employee eligible for benefits is provided with a personalized enrollment kit during the fall annual enrollment period in early November which includes a recap of current flexible benefit coverages and a list of programs available with associated premium costs for the upcoming year. Staff Benefits must receive coverage selections and enrollment materials by the designated date for coverage to be effective for January of the new year.

Change in Family Status

Once an employee selects his or her flexible benefit programs for the year, the selections remain in effect for the entire calendar year unless the employee experiences a "change in family status."

"Change in family status" is the term used in Internal Revenue Service rules to allow some benefit adjustments due to circumstances occurring before the next open enrollment period. If a qualifying event occurs, an employee must report it within 31 days or the change cannot be made until the next open enrollment period. More information regarding eligible change in family status events is available from Staff Benefits on the West Lafayette campus or the regional campus human resources offices.

Health Plans/Vision Coverage

Medical insurance coverage is available for all staff employed in benefit-eligible positions and for their eligible dependents. All health plans offered provide coverage for hospitalization, outpatient care, prescription drugs, and durable medical equipment. Purdue pays the majority of the cost, and the coverage becomes effective upon hire, or upon first enrolling in the plan. Plans vary by the amount of premium charged and the out-of-pocket costs paid throughout the year.

New employees and their dependents are subject to a $5,000 pre-existing condition limitation cap during the first year of the staff member's employment unless the individual(s) can show proof of coverage for all or part of the prior 12 months.

Employees who have medical coverage outside the University may elect not to participate in Purdue's health plans. In this case, a medical credit will be provided as part of the normal pay.

Staff members who retire as "official University retirees" are eligible to continue insurance coverage; however, the retiree pays the full cost of the coverage.

Vision — All employees hired into benefit-eligible positions have basic vision coverage, regardless of whether or not enrolled in a Purdue health plan. Dependents who are enrolled in a health plan are also covered by the vision plan.

Extending Health Plan Coverage — Under certain circumstances, individuals who are no longer normally eligible for medical plan coverage can qualify for continuing coverage as defined by the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA). Staff Benefits can provide more information about this continuing coverage.

Federal Health Benefits — Special health plan coverage is available to employees who have civil service appointments. Federal plan administrators have more specific information on this coverage.

Personal Accident Insurance

Personal Accident Insurance (PAI) is a flexible benefit that pays a benefit in the case of accidental death or dismemberment. The plan covers accidents on a 24-hour basis. In the event of an accident that causes loss of life, sight, or limb, the proceeds of PAI are paid in addition to the proceeds payable from term life and accidental death and dismemberment (AD&D) insurance (see Core Benefits section for description of term life and AD&D).

Coverage is available for employees, spouses, and dependent children. Special rules apply to how much coverage can be elected. Staff Benefits can provide specific information. The employee pays the full cost of this coverage on a pre-tax basis.

Short-Term Disability

Short-term disability (STD) coverage is a flexible benefit available to clerical and service staff members to match the sick leave program provided for these positions.

Upon completing one year of employment at Purdue, clerical and service staff members become eligible to participate in this coverage. The STD benefit is equal to 65 percent of an employee's pay and covers times when an employee is unable to work due to illness or injury, as certified by a physician.

STD benefits help bridge the gap between the end of paid sick leave and the beginning of long-term disability benefits (see Core Benefits section for information on long-term disability). Employees pay the full cost of this coverage on a pre-tax basis.

STD coverage is coordinated with worker's compensation, where applicable. Employees supplement their STD earnings with sick leave and may also supplement with vacation pay in order to maintain up to 100 percent of pay.

Flexible Spending Accounts

Flexible spending accounts (FSA) are available for two types of expenses — health care and dependent day care. Separate elections are required.

This optional program allows employees to save money by having contributions to one or both of the accounts taken on a pre-tax basis. This untaxed money is then available to reimburse the individual for certain health care and/or dependent day care services provided during the calendar year. Staff Benefits has more specific information on the use of this program.