COBRA

HSA Bank COBRA Services - COBRA Administrator
Continuation of Group Health Benefits

Notice of Right to Elect Continuation of Seattle Pacific University Health Plan Coverage

Qualifying Event - Termination of Employment
In this information, "you" and "your" refer to the covered employee
If you are married, please have your spouse read this letter

You and any family members that have been enrolled on our health plans will be given the opportunity to continue coverage under those plans. This coverage is called “continuation” or “COBRA” coverage. To select COBRA, you will need to pay the entire cost, plus a 2% administration fee.

It is also important to understand that your health plan coverage will be terminated until you elect COBRA and pay your initial premium. In the interim, you may need to pay for any services provided and file a claim once your coverage has been reinstated.

Your COBRA packet

We have retained HSA Bank- COBRA Services to issue our COBRA notices and provide other administrative support, however, they are not an insurance company. You will be receiving a COBRA election packet directly from them. It will contain a detailed explanation of your rights and obligations under COBRA. It will also list the family members and plans available for continuation, as well as the monthly rates (included below for your planning purposes). Each family member has a separate right to enroll in COBRA coverage.

How to enroll in COBRA

If you are interested in continuing your health coverage, sign and return the Election Form within the response deadline stated on it. You can pay your initial premium and return it with the election form or pay it within its 45 day payment deadline. Once you elect COBRA coverage on the Election Form and pay your initial premium within the specified time frames, your coverage will be reinstated retroactively to the first day after your loss of active benefits.

If you do not receive your election packet within two weeks from your last date of active coverage or if you have any questions about your rights and obligations under COBRA, please call or email HSA Bank COBRA Services http://www.hsabank.com

  HSA Bank
 (833) 509-1542  

The costs are effective January 1, 2023 - December 31, 2023
How much does COBRA Cost?

Consider other individual coverage.  There are other options available to you and your dependents in addition to SPU’s COBRA continuation coverage. These could be through the Health Insurance Marketplace, Medicaid, or other group health plan coverage options (such as a spouse’s plan) by taking advantage of what is called a “special enrollment period.” Some of these options may cost less than COBRA continuation coverage. You can learn more about many of these options at www.healthcare.gov.

Health Savings Account

If you have been enrolled in the HDHP/HSA (high deductible health plan/health savings account), your departure from SPU, there will be several changes to your HSA account.

• First – The bank will set up a new account for you, transfer your HSA balances into this new account, and issue you a new debit card. This new debit card (and information included with it) will provide you with a new toll-free customer support number.
• Second – You should not make additional contributions to your HSA until you establish coverage under a new HSA-qualified medical plan (or continue coverage with your former employer's HSA-qualified medical plan under COBRA, if applicable).
• Third – Any account fees that had previously been paid by SPU will become your responsibility, and you will be responsible for a monthly fee, as well as a debit card issuance fee, as disclosed in your HSA bank enrollment package. These fees will be deducted from your HSA balance as incurred.

You will continue to have access to your HSA balance, and can continue to maintain your HSA under your new account. If you establish coverage under a different employer plan that also features an HSA, you can request that your HSA balances be rolled over into the newly-established HSA. Request the form by calling Customer Support at the number on the back of your debit card.

Health Reimbursement Account

If you were enrolled in the HDHP/HRA, your HRA funds will be forfeited back to SPU at the end of the month in which you separate from service with SPU.