406 | Insurance

406.01 Disability Insurance

Mid Michigan College shall provide, in accordance with the current insurer's policy and without cost to the administrator, a plan of salary continuation in the event of sickness or accident for each full-time administrator.


406.02 Health Insurance

The College shall make available group health insurance for each full-time administrator and eligible dependents. The College’s share of the premiums shall conform to Michigan Public Act 152 for Defined Benefits. Employee contribution requirements are defined each year during the benefits open enrollment period for the upcoming benefit year.

The College shall make available a group dental insurance program for each full-time administrator and eligible dependents.

The College shall make available vision insurance for each full-time administrator.

Coverages as identified above (health, dental, and/or vision) may be provided to part-time administrators (1560 hours or more during a fiscal year) on a prorated basis. Eligible part-time administrators must enroll for the specific benefit coverages desired through the Human Resource Department at the time they are hired.

The employee’s share of the premium is based on hours worked. In the event an employee’s status changes, warranting a change in the premium percent, the change shall become effective the following month.

In instances where the College employs both a husband and wife, the College will provide only one of these employees with a health benefit package, (the other will be considered a dependent on the insured’s policies) unless it is in the best interest of the college to provide them each with single employee coverage.

It is the responsibility of each employee to inform the Human Resource Department in a timely manner of changes/terminations that result in a dependent’s (i.e.: spouse, child, etc.) eligibility for benefit coverage.

The College will pay the administrator an annual “opt out” payment if the administrator declines health insurance coverage during the benefit open enrollment period for the upcoming benefit year. The opt-out payment is only provided when the administrator, and, if applicable, spouse or dependent(s), decline health insurance coverage provided by the college. The opt-out can be paid as a payroll stipend or in the form of payment to a qualified tax-deferred annuity. The administrator must demonstrate basic medical coverage from another source and must notify the College of any lapse in coverage from the other source and re-enroll at the next available date permitted by plan terms. Benefit payments must comply with the rules of Internal Revenue Code Section 125 and the terms of the Plan document. The above payments are a taxable benefit, but will not be considered as part of an employee’s salary for any purpose. Accordingly, and without limiting the foregoing, all such payments made to employees who waive medical coverage will be excluded from the determination of eligible compensation for retirement plan purposes.


406.03 Life Insurance

The College shall provide, without cost to the administrator, $50,000 or the administrator’s annual salary. Dependent child and spouse life insurance buy-up is also made available.