HR, Payroll and Benefits News

Income Continuation Insurance (ICI) Deferred Enrollment and Annual Update January 2015
January 26, 2015

The Income Continuation Insurance (ICI) program is an “income replacement” benefit plan that replaces up to 75% of your gross salary if you are unable to work due to a short or long-term disability.

Standard ICI pays 75% of your salary up to a maximum of $4,000/month (based on a maximum salary of up to $64,000 per year of 2014 WRS earnings).  Supplemental ICI pays 75% of your salary up to a maximum of $7,500/month (based on a maximum salary of up to $120,000 per year of 2014 WRS earnings).

Deferred Enrollment Period Through January 30, 2015

If you are not currently enrolled in ICI, you may be able to enroll during the ICI Deferred Enrollment Period through January 30, 2015. Eligible employees were sent an email from UWSystem HR on January 20.  Employees who receive a hard copy earnings statement will receive a letter the week of January 19 mailed to their home address.  If eligible, you must complete an Income Continuation Insurance Application (ET-2307) and return it to your department payroll and benefits coordinator to enroll during the deferred enrollment period.  Please note the application must be returned to your department and date stamped by January 30, 2015 or before.  If you have questions, please contact UW-Madison Benefits Services, benefits@ohr.wisc.edu.

ICI coverage elected through deferred enrollment will be effective April 1.

Deferred enrollment is offered in the following situations:

• You're a classified employee and your prior year-end sick leave balance exceeds 520 or 728 hours for the first time.
• You're a classified employee and accumulated at least 80 hours of sick leave (prorated for part-time employment) for the first time in the prior calendar year.
• Your prior year end sick leave balance exceeds 1040 hours.
• If enrolled in ICI and your 2014 WRS earnings were at least $64,000, you are eligible to enroll in Supplemental ICI coverage (if not already enrolled).

Annual Update

Each year there is review of all classified employees' earnings and leave usage to determine your Income Continuation Insurance (ICI) premium for the year.

For classified employees (paid bi-weekly), the ICI premium is based on your last year's earnings reported to the Wisconsin Retirement System (WRS) and sick leave balance/usage as of 12/27/2014. For unclassified employees (paid monthly), the ICI premium is based on last year's WRS-reported earnings and the selected elimination period.

For more information about the ICI program, see the ICI plan brochure. Please contact your benefits office with any questions.

Source: UW Service Center
Categories: Income Continuation Insurance (ICI)