MORGAN STATE UNIVERSITY
OFFICE OF HUMAN RESOURCES (OHR)

Regular Employee Benefits

Benefits and Personnel Services provide consultation and information to academic, executive, professional/administrative staff and classified staff employees regarding the following: retirement benefits and savings programs, health benefits programs, savings bonds, credit union membership, tuition reimbursement programs, unemployment insurance and worker’s compensation.

Basic Benefit Package and Supplemental Health Plans

The Basic Fringe Benefit Package encompasses the following:

• Group Medical and Health Plans, Dental, Prescription and Vision Care
• Term Life and Personal Accident and Dismemberment Insurance
• Health Care and Dependent Care Flexible Spending Accounts
• Optional Retirement Plans
• Maryland State Retirement and Pension Plans
• Retirement Savings and Investment Programs
• Deferred Compensation Programs
• State Employees Credit Union Membership
• Tuition Reimbursement Program
• U.S. Savings Bonds
• United Buying Service
• Unemployment Insurance
• Worker's Compensation

HEALTH BENEFITS:

Group Medical Plans, Dental, Prescription and Vision Care Plans

Morgan State University, through the State of Maryland’s Department of Budget and Management (DBM), offers a flexible cafeteria benefits menu which allows employees to choose from a number of options including medical (medical plans with a vision component), dental, prescription drug, group term life, personal accidental death and dismemberment, and long term care insurance plans. Except for certain coverage levels of group term life insurance, these plans are offered on a pre-tax basis, which means deductions are taken before the Federal, State and Social Security taxes have been applied, which translates that these taxes are not owed on the amount you contribute for your benefits.

• Each employee has the option of enrolling in any of the health plan options within sixty (60) days of his/her employment date. Otherwise, the employee will have an opportunity to join during the annual Open Enrollment Period, with benefits commencing in July of that year.
• Employees enrolling dependents under health care options must provide verification of eligibility, (i.e., a birth certificate copy for dependent children, affidavits of tax status of dependent children, an official copy of the marriage license).
• Three types of medical plans are available: Preferred Provider Organization (PPO) plans, Point-of-Service (POS) plans and Health Maintenance Organization (HMO) plans.
• Each medical plan (PPO, POS or HMO) offers a standard set of benefits, including mental health/ substance abuse benefits and vision care services.
• Two dental plans are available: Dental Benefit Providers (HMO) and United Concordia HMO and PPO plans.
• Dependents of eligible State employees who are enrolled in a health plan are entitled to receive benefits until the end of the calendar year in which they turn age 19, age 23, if full-time students. Effective July 1, 2008, a new dependent child age expansion to 25 years of age will be implemented. (See the State of Maryland’s web site for addition information at www.dbm.maryland.gov.) There is no age limit for the eligibility of a disabled dependent child as long as the disability began prior to the 19th birthday and medical certification determines incapacity is permanent. This certification is required every two years.
• Contractual employees may enroll in any of the medical and health benefit plans within sixty (60) days of their initial contract with the University. Otherwise, the employee will have an opportunity to enroll during Open Enrollment. Contractual employees are responsible for the employee portion and state portion once enrolled in health benefits.

United Concordia Dental Plan

• Provides an expanded provider listing of dentists nationwide to manage care and render dental services.
• This plan covers preventive dentistry, prosthetic dentistry, and orthodontics.
• Two options are offered: DHMO(Dental Health Maintenance Organization) or the PPO(Preferred Provider Organization) plan, which allows for dental services out-of-network.

Dental Benefits Providers Dental Plan (HMO)

• Provides a contracted panel of dentists nationwide to manage care and render dental services
• This plan covers preventive dentistry, prosthetic dentistry, and orthodontics.

CatalystRx Prescription Drug Plan

• Maximum benefits are received when you use a network pharmacy for the State of Maryland.
• Both generic and name brand drugs are covered under the plan, however, the employee must meet a co-payment, $5.00, $15.00 or $25.00, respectively per 45 day supply of the prescription drug. A mail order prescription service is available.

Vision Care Plan

• Employees do not pay a bi-weekly premium for participation in the partial reimbursement vision care plan where such services as an eye exam, lenses, frames are available once a year. Vision cares services are a component of the medical plan.
• The employee must secure claim forms through the medical plan and may either file a claim for partial reimbursement, or, if, the provider agrees, to assign his/her benefits to the provider.

Term Life and Personal Accident and Dismemberment Insurance

The METLIFE Term Life Insurance Plan

• Term life insurance is purchased with pre-tax premium dollars up to $50,000 in coverage.
• Employee coverage levels over $50,000, up to a maximum of $300,000, can be purchased with post-tax premium dollars. The approval of a completed medical review application is required for coverage levels beyond $50,000.
• Dependent coverage (spouse and/or children) is available up to 50% of the employee’s coverage level

The METLIFE Personal Accident and Dismemberment Plan

• The plan provides benefits in a certain percentage of the principal benefit amount in a lump sum payment to employees who experience paralysis and/or dismemberment (loss of sight, hearing or limbs). The beneficiary will receive the full benefit in the event of the employee’s death as a result of an accident.
• Three benefit levels are available: $100,000, up to a maximum of $300,000.

SHPS Health Care and Dependent Care Flexible Spending Accounts

• Employees contribute pre-tax money to either the health care or dependent care flexible spending accounts for twenty-four (24) pay periods,nineteen (19) pay periods for 21 pay faculty.
• Medical and dental or dependent care expenses are reimbursable.
• Flexible spending accounts will lower your taxable income.

Retirement Benefit Plans:

State law mandates that new employees become a member of one of the pension plans available either through membership with the Maryland State Teacher’s/ Employee’s Pension Plan or one of the two (2) optional retirement plans: FIDELITY INVESTMENTS and TIAA/CREF. Currently, employees selecting the Maryland State Teacher’s/ Employee’s Alternate Pension Plans are required to make a 4% mandatory contribution on a bi-weekly basis. Effective July 1, 2008, a 5% mandatory contribution will be required. Classified employees become members of the Maryland State Employees Alternate Pension.

Optional Retirement Plans

• Academic, executive and professional administrative staff employees may select one of the optional retirement benefit plans available: FIDELITY INVESTMENTS or TIAA/CREF. Both are defined contribution plans.
• All optional retirement plans are non-contributory. The University contributes 7.25% to the employees' pension account on a twenty (20) pay schedule basis. Employees are immediately vested and are not allowed to make individual contributions to these accounts.

The Maryland State Retirement and Pension Plans

• Is a defined benefit contribution plan that provides employees with retirement, survivor benefits, and in some instances, health benefits, as well as, lump-sum death benefit payments.
• Employees become vested (eligible for contributions) after five years of employment and are required to make a 4% mandatory contribution (based on salary) to their pension account each pay period. Effective July 1, 2008, a 5% mandatory contribution will be required.
• Academic, executive and professional/ administrative staff employees may enroll in either the defined benefit contribution plan or one of the optional defined contribution retirement plans available.
• The teachers and employees pension plans are contributory up to the Social Security wage base. After the SSWB, an additional contribution is mandatory.

Retirement Savings Programs (Supplemental Retirement Annuities)

• All State employees, including contractual employees, are eligible to contribute to either one of these supplemental retirement plans. A maximum deferral amount is determined each calendar year.
• Contributions are made on pre-tax dollars deducted from the employee's salary.
• No taxes are paid on the contributions or earnings until the funds are withdrawn.
• Supplemental retirement annuities are available with: NATIONWIDE RETIREMENT SOLUTIONS (formerly PEBSCO), and TIAA/CREF. These plans allow employees to contribute and defer taxes until the money is withdrawn.

Deferred Compensation

• All State employees, including contractual employees, are eligible to participate in the deferred compensation plan, Nationwide Retirement Solutions (formerly PEBSCO).
• This plan allows you to defer both a portion of your income and the payment of taxes you would normally pay on that income until a later date.
• Types of investments generally include: mutual funds, common stock mutual funds, fixed annuities and growth stock funds.
• There is a minimal deferral amount of $10.00 per month. You may defer up to 25% of your annual gross pay.

OTHER EMPLOYEE BENEFITS

The State Employees Credit Union

• All State employees, including contractual employees, are eligible to join the State Employees Credit Union. It offers a variety of banking services including establishing savings and checking accounts.
• Automatic direct deposits of your paycheck can be made to your account.
• The University houses an on-campus SECU ATM machine in the McKeldin Student Union Center.

Tuition Reimbursement Program

• Is available to permanent full-time and part-time employees, retirees, military personnel, and senior citizens.
• Full-time employees may take up to eight (8) credits per semester, free of tuition charges for both undergraduate and graduate studies. The employee must be employed for two (2) consecutive years with the University, in order for dependents to become eligible for tuition waiver benefits.
• The spouse and dependent children are allowed to take an unrestricted load of undergraduate and graduate courses free of charge. The cost of the graduate courses may be considered taxable earned income for the employee whose dependents participate in a graduate program.
• All University fees, undergraduate or graduate, are the responsibility of the student.
• Part-time employees and their spouses and dependent children may qualify for the tuition waiver program on a pro-rata basis.
• Tuition benefits have been expanded to include reciprocity with the University System of Maryland institutions. Contact the Office of Human Resources for further information.

U.S. Savings Bonds

• There are Series EE and Series I Bond accounts available for both the permanent and contractual employee.
• Each account can be set up individually with any owner, co-owner, beneficiary, bond denomination and payroll deduction amount the employee desires.
• Bond denominations available are $100.00, $200.00, $500.00 and $1000.00.
• The permanent employee can designate a deduction of $10.00 or more, for each Bond Account. For contractual employees, the deduction amount must be for the full purchase price of the Bond that is half of the face value of the bond.

Unemployment Insurance

• Every State employee, is automatically covered from the first day of employment under Article 95A of the Maryland State Code, Unemployment Insurance Law of Maryland, for unemployment insurance.
• Unemployment insurance provides you with a cash benefit if you become unemployed through no fault of your own.
• The State, as your employer, pays all contributions for unemployment insurance

Worker's Compensation

• If you are injured or disabled while on the job you are covered under Worker's Compensation. Compensability is determined by the Injured Worker’s Insurance Fund.
• Your benefits include: accident leave benefits, 2/3rds of your annual salary; payment for medical, surgical, and hospital expenses arising from an injury or disability; temporary total disability benefits; permanent disability benefits; vocational rehabilitation; and death benefits.
• You are automatically covered under the Worker's Compensation Program from the first day of employment.
• The State, as your employer, pays all contributions for Worker's Compensation.

Revised 3/08