Change in Cost. If the cost of a benefit package option under the Plan significantly increases during the plan year, Participants may (i) make a corresponding increase in their salary reduction amount,
Change in Cost. If the cost of a benefit package option under the Plan significantly increases during the plan year, Participants may (i) make a corresponding increase in their salary reduction amount, (ii) revoke their elections and make a prospective election under another benefit option offering similar coverage, or (iii) revoke election completely if no similar coverage is available, including in spouse or dependent’s plan. If the cost significantly decreases, employees may elect coverage even if they had not previously participated and may drop their previous election for a similar coverage option in order to elect the benefit package option that has decreased in cost during the year. If the increased or decreased cost of a benefit package option under the Plan is insignificant, the participant’s salary reduction amount shall be automatically adjusted.
Change in Cost. For purposes of this Section, “similar coverage” means coverage for the same category of benefits for the same individuals (e.g., family to family or single to single). For example, two plans that provide major medical coverage are considered similar coverage. For purposes of this definition, (1) a health FSA is not similar coverage with respect to an accident or health plan that is not a health FSA; (2) an HMO and a PPO are considered to be similar coverage; and (3) coverage by another employer, such as a Spouse’s or Dependent’s employer, may be treated as similar coverage if it otherwise meets the requirements of similar coverage.
Change in Cost. If the cost of a benefit package option under the Plan significantly increases during the plan year, Participants may either make a corresponding increase in their salary reduction amount, or instead, revoke their elections and make a prospective election under another benefit option offering similar coverage. The option to chose like coverage is for benefits under the Employer’s Plan or the Participant can choose like coverage under the plan of the spouse’s employer. If the increased cost of a benefit package option under the Plan is insignificant, the participant’s salary reduction amount shall be automatically adjusted.
