Medical Plan Spousal Surcharge Sample Clauses
The Medical Plan Spousal Surcharge clause establishes an additional fee or premium that employees must pay if they choose to cover a spouse under the employer’s health insurance plan when that spouse has access to other group health coverage, such as through their own employer. Typically, this surcharge is applied monthly and is intended to encourage spouses to enroll in their own employer’s plan if available, rather than relying on the employee’s plan. The core function of this clause is to help control healthcare costs for the employer by discouraging unnecessary enrollment of spouses who have alternative coverage options.
Medical Plan Spousal Surcharge i. In situations where an employee elects to cover his/her spouse in the NECA Health Plan or any non-negotiated alternative medical plan offered by the Company AND the spouse is also eligible for medical coverage from his/her employer but does not enroll in such coverage, a $40 per month “spousal surcharge” will apply, except as otherwise provided in this Section.
(a) This spousal surcharge may be prorated and deducted from the employee’s bi-weekly paycheck.
ii. The spousal surcharge will not apply in either of the following independent circumstances:
(a) In a plan year in which the spouse’s gross base wage rate on an annualized basis as of the previous July 1 from his/her employer who provides such medical coverage is $25,000 or less; or,
(b) If the spouse’s annual individual premium contributions would be $900 or more under his/her employer’s plan.
iii. In situations where both the employee and the spouse are eligible for enrollment in a Frontier medical plan based upon their employment status:
(a) The spousal surcharge will not apply if both spouses are union- represented Frontier employees under the MIFA # 3 Collective Bargaining Agreement.
(b) The spousal surcharge will apply if one spouse is a union- represented Frontier employee and one spouse is eligible for Frontier management medical options and coverage under the union-represented employee medical option is elected for the spouse who is eligible for Frontier management medical options.
Medical Plan Spousal Surcharge. In situations where an employee elects to cover his/her spouse in the sponsored Group Medical Plan or any other non-negotiated alternative medical plan offered by the Company AND the spouse is also eligible for medical coverage from his/her employer but does not enroll in such coverage, a $40 per month “spousal surcharge” will apply.
28.1.5.1 This spousal surcharge may be prorated and deducted from the employee’s bi-weekly paycheck.
28.1.5.2 The spousal surcharge shall not apply:
a. In a plan year in which the spouse’s gross base wage rate on an annualized basis as of the previous July 1 from his/her employer who provides such medical coverage is $25,000 or less; or,
b. If the spouse’s annual individual premium contributions would be $900 or more under his/her employer’s plan.
28.1.5.3 In situations where both the employee and the spouse are eligible for enrollment in a Frontier medical plan based upon their employment status:
a. The spousal surcharge shall not apply if both spouses are union-represented Frontier employees.
b. The spousal surcharge shall apply if one spouse is a union-represented Frontier employee and one spouse is eligible for Frontier management medical options and coverage under the union- represented employee medical option is elected for the spouse who is eligible for Frontier management medical options.