Human Resources & Workforce Diversity
Child Loses Dependent Status
When your child marries, becomes independent, or reaches adulthood, your insurances will no longer cover him or her. To maintain coverage, you or your child must take action.
Upon termination of employment, death of the employee, loss of dependent eligibility due to divorce or a child reaching limiting age, you and your dependents may have the opportunity to continue many of your current benefit plans. Detailed information is available as power point presentation.
Health insurance coverage for your dependent children ends on the earliest of the following dates:
- The end of the month in which the child marries.
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The end of the calendar year in which the child:
- Turns 19 while not a full-time student.
- Ceases to be a full-time student and is age 19 or older.
- Turns 25 while still a full-time student.
- Ceases to be dependent for support and maintenance.
- The date eligibility for coverage ends either for the dependent or the subscriber.
Coverage for a grandchild ends at the end of the month in which your child (parent of grandchild) ceases to be an eligible dependent or becomes age 18, whichever occurs first. The grandchild is then eligible for continuation coverage.
If you divorce, coverage for your spouse and stepchildren under your plan terminates at the end of the month in which the divorce was entered.
If your child is disabled when coverage would otherwise end, you may be able to keep him or her insured under your plan. Consult your staff benefits office.
Dependent children who lose eligibility under your insurance can continue in the group plan as single subscribers for up to 36 months by paying the full premium. They can change providers during the Dual Choice period or if they move out of the service area. At the end of the continuation period, they are eligible to convert coverage to individual policies. Evidence of insurability is not required to continue or convert coverage, so long as timely applications are submitted.
What to do. . .
Plan providers annually monitor the student status of children over age 19. If you receive an inquiry about your child's student status, be sure to respond promptly in order to avoid delays in payment of claims.
Loss of dependent status can occur for many different reasons, and your employer may not know when this happens. Therefore, you are required to notify your staff benefits office within 60 days of the event or the loss of coverage, whichever is later. If you fail to do so, your child may lose eligibility for continuation coverage and you could be responsible for reimbursing the University or the provider for premiums or claims paid in error.
Once you inform your employer of the loss of dependent status, your employer is required to provide your child with a notice of his or her eligibility to continue coverage. Your child can obtain the coverage by filing an application with the Department of Employee Trust Funds within 60 days of receipt of that notice.
If, at the end of 36 months, your child wishes to convert the coverage to an individual policy, he or she should contact the plan provider.
Dental Insurance
Epic Excess Major Medical and Dental Insurance
You should know. . .
Coverage for your dependent children ends at the end of the year in which they turn age 19 (age 25 for a full-time student) or on the date they marry or cease to be dependent, whichever is earliest. Your child may continue group coverage for 36 months by applying for a conversion policy and paying premiums.
What to do. . .
Notify your staff benefits office when your child's dependent status ends. Your staff benefits office can provide an application for continuation coverage. If you have no other family member to insure, submit an application to switch to individual coverage.
Your dependent child's group coverage ends when your coverage ends, upon your death, or at the end of the month in which he or she marries, or at the end of the calendar year in which he or she attains age 19, unless he or she is totally and permanently disabled before that age. If your dependent child is a full-time student, coverage ends at the end of the month in which student status ends or at the end of the year he or she turns age 25, whichever comes first.
Other Dental Insurance. Many employee's who are represented by a Union have access to dental insurance through their Union. Contact you Union for more information.
Employee Reimbursement Account (ERA)
You should know . . .
- You may contribute to the ERA Program to help cover medical and/or dependent care expenses for your child or for certain other individuals. Relatives or other persons may be considered your dependents for one or both purposes if they live in your household and are dependent on you for over half of their support. When the individual loses dependent status, you may be eligible to decrease your ERA contributions.
- Your child loses dependent status for purposes of medical expense reimbursements when he or she loses dependent status under your health insurance (see above). Dependent care expenses generally cease when the child turns age 13 or when your spouse or another relative is provides the care.
What to do. . .
- If you want to change your contribution elections under the ERA program, contact Fringe Benefits Management (FBMC) at 608-829-0435 to see whether the loss of dependent status qualifies as a status change. If it does, you must file a Change of Status form with FBMC within 30 days after the event.
Individual and Family Life Insurance
You should know. . .
Life insurance on your child through the Individual and Family Life Insurance plan terminates at the end of the month in which the child loses eligibility due to financial independence, but no later than the end of the month in which the child turns age 25 (or when your own coverage terminates, if earlier). The child can convert coverage to an individual policy with the insurance company by filing a timely application and paying premiums. Evidence of insurability is not required.
What to do. . .
Conversion policies are usually more expensive than group life insurance plans or term life insurance that is available on the open market. If the child will need insurance coverage when the Individual and Family Life Insurance coverage ends, take time to investigate other insurance alternatives.
However, if your child is not insurable, conversion to an individual policy may be a good option. An application must be filed with the insurance company within 31 days after the end of regular coverage.
You should know. . .
Your child's insurance through the State Group Life Insurance plan terminates at the end of the month in which he or she marries, the end of the calendar year in which the child ceases to be dependent on you for at least 50% of support, or turns age 19 (age 25 if a full-time student), or when your coverage terminates, whichever is earliest.
The child can convert coverage to an individual policy with Minnesota Life by filing a timely application and paying premiums. Evidence of insurability is not required.
What to do. . .
Conversion policies are usually more expensive than group life insurance plans or term life insurance that is available on the open market. If the child will need insurance coverage when the State Group Life Insurance coverage ends, take time to investigate other insurance alternatives.
However, if your child is not insurable, conversion to an individual policy may be a good option. A conversion application, ET-2306, is available from your staff benefits office. It must be filed with Minnesota Life within 31days after the end of regular coverage.
If you have no other child and no spouse to insure, cancel your Spouse and Dependent coverage by filing a cancellation form with your staff benefits office.
Accidental Death and Dismemberment Insurance
You should know. . .
Accidental Death and Dismemberment coverage for your dependent child ends at age 20 (age 25 if a full-time student) or when your coverage ends, if sooner. Conversion to an individual policy is not available to the child. A family conversion policy is available to you when your coverage ends.
You should know. . .
When your family changes, you should review your beneficiary designations to be sure that they are still appropriate.
Saving for College
You should know. . .
It's never too early to put aside some savings for your child's education. Tax-favored savings plans ("529" plans) are available from EdVest and other states' providers.
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This document was last revised on June 12, 2007
