Benefit Coverage While on Leave of Absence
Paying Paycheck Premiums
Costco pays the full cost of your health care benefits during your leave for a period of 90 days. If your leave exceeds 90 days, you must begin your regular benefit-related paycheck deductions to continue your health care coverage which includes medical, dental, pharmacy, prescription drug, vision and behavioral health. You are responsible for paying your regular benefit-related paycheck deductions regardless of whether you are on a personal medical leave (including pregnancy) or worker’s compensation leave.
A notice and payment coupons will be mailed to your home after you have been on a Leave for 45 days. If you do not pay your premiums by the due date specified on the notice your coverage will terminate for non-payment and you may continue coverage under the provisions of COBRA. Click here to find out more about continuing coverage through COBRA.
Maximum Period Benefits Continue
If you were eligible at the beginning of your leave of absence (LOA) or became eligible during your LOA, your benefit coverage will remain in effect through the term of your approved LOA according to the following schedule and subject to premium payments mentioned above. The maximum period of time will be counted from the day your LOA begins.
|Length of Continuous Employment||Maximum Period Benefits Continue|
|Less than 90 days||30 days|
|Less than 12 months||90 days|
|12 months, but less than 5 years||180 days|
|5 years or more||180 days|
Continuing Coverage Through COBRA
If you are on an approved Costco Personal Medical Leave that extends beyond the maximum period of benefits listed above, and you elect to continue your COBRA health care coverage at your own expense, Costco will assist you with your monthly COBRA payments to continue your benefits according to the following schedule for a maximum of six months:
|Length of Continuous Employment||Company COBRA Premium Susidy|
|Less than 12 months||No premium subsidy|
|12 months, but less than 5 years||25% premium subsidy|
|5 years or more||50% premium subsidy|