Full-time and many part-time faculty and staff in the endowed and contract college health plans will most likely be better off financially by remaining on their employer-provided health plan than by accessing health insurance through the Affordable Care Act (ACA), say Benefit Services staff members.

All faculty and staff eligible for Cornell’s health care program for endowed employees or for the New York State Health Insurance Program (NYSHIP) recently received a federally mandated letter through U.S. postal mail explaining how the provisions of the ACA federal health reform law can affect them. One of these provisions allows individuals to access health insurance through marketplaces, centralized online locations on which any individual can purchase insurance.

However, individuals covered by a health insurance plan in their workplace are almost always better off to remain on their employer health plan, says Donna Bugliari, associate director of health, education and voluntary benefits in Benefit Services. “Cornell heavily subsidizes the cost of health insurance for faculty, staff and their families,” she says. “Federal subsidies of health policies offered through the marketplace exchanges are matched to household income level, with the lowest household incomes moved into the expanded Medicaid program or one of the exchange options.”

Bugliari adds that Cornell’s health plans more than meet the minimum federal requirements for health plan coverage. “We don’t expect benefits-eligible employees will want to purchase a health plan through the marketplace,” she says.

Part-time Cornell employees who are not eligible for benefits will find the marketplace beneficial if they need health insurance, Bugliari says.

“Those without employer-based health insurance can purchase insurance on much more favorable terms than in the past,” she says.

If a benefits-eligible Cornell employee purchases an individual health plan on the marketplace, coverage under the Cornell endowed plans or NYSHIP must be terminated at the same time. Unless an individual or family has income in the federal poverty range outlined on the marketplace exchange sites, participants in marketplace policies cannot expect a government subsidy of the cost.

What you need to do:

• Make sure you and your family have health insurance.
• Endowed employees: Sign up for health insurance during open enrollment or explore your options with an insurance marketplace. You cannot sign up for health insurance outside of open enrollment unless you have a qualified event, such as marriage or divorce.
• Contract college employees: You can sign up for health insurance at any time, but you will be subject to a 10-week waiting period before coverage occurs. If you decide to purchase a health insurance plan through the new marketplace, you must complete a PS404 form to cancel your current coverage and provide proof of other coverage. If the PS404 form is received in Benefit Services within seven days of gaining marketplace insurance, coverage will end once the marketplace insurance coverage becomes effective. If the PS404 form is received in Benefit Services within 30 days, coverage ends the first day of the following biweekly pay period. If PS404 form is received outside of 30 days, you must wait to cancel coverage within the Option Transfer Period offered each fall.

If you have any questions about your health insurance coverage, call Benefit Services at 607-255-3936 or via email at benefits@cornell.edu.