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Employment Status Change

Upon separation from IU or transfer to an ineligible employment class or position, employees are no longer eligible to actively participate in the benefit plans listed below. To take advantage of any residual value the benefit plans may provide, be sure to read the Benefits After Separation booklet and follow up on any required actions described in the booklet sections titled “Participant Responsibilities.”

Note: If you are retiring from IU employment with Retiree Status, visit the Retiree section of this site.

Healthcare Plans

Medical Plan: Employees and covered dependents may temporarily extend their coverage at group rates (COBRA).

Life & Disability Plans

Basic Life Insurance: Coverage may be converted to an individual policy by employee or dependent

Long-term Disability: Employee may purchase insurance under a conversion policy

Personal Accident Insurance: Insurance may be converted to an individual policy by employee, and in some cases a dependent

Supplemental Life Insurance: Coverage may be converted to an individual policy by employee or dependent

Retirement Plans

IU Retirement Plan (all levels): IU contributions cease; full accumulated value is retained; cash-out or transfer is permitted but not required

IUSERP: IU contributions will cease.  If vested, participant must take a complete distribution or roll over account from plan.  If not vested, plan account will be forfeited.

IU Tax Deferred Account (TDA): Ability to contribute ceases; full accumulated value is retained; cash-out or transfer is permitted but not required

IU 457(b): Ability to contribute ceases; full accumulated value is retained; cash-out or transfer is permitted but not required

PERF: IU contributions cease; participation continues if Annuity Savings Account balance remains invested

Time Off

There are specific policies regarding time off accruals when an employee transfers to an ineligible position or separates from employment with IU. Review the time off policies or the Benefits after Separation booklet for your employee group for more information.

Resources

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