[MyOEBB] Clarification on double-coverage under SB1067

[MyOEBB system updates]

Dear Business Managers, Superintendents & Benefits Administrators:

We've received some requests for clarification regarding double-coverage under SB1067. The core concept is ... the new law will eliminate double-coverage (including opt-out funds in lieu of coverage) for spouses/partners who are both eligible for a PEBB or OEBB plan. If the spouse/partner's benefits are through another employer (not PEBB or OEBB), nothing changes.

To illustrate, let's look at some scenarios using a hypothetical family of two adults, Mary and John, and their child, Billy.


  1.  If Mary is eligible for OEBB benefits, and John works for some other employer that offers other benefits (not OEBB or PEBB) ... nothing changes for them. All three of them can be double-covered if they want. They could enroll in one plan and opt-out of the other if they wanted to, and receive a cash incentive for doing so. Life goes on as usual.


  1.  If Mary is eligible for OEBB benefits, and John is ALSO eligible for either OEBB or PEBB benefits, that's where the restrictions come in. Each family member can only be covered once, and no opt-out incentives would be allowed.

Option 1: All three enroll under Mary's plan and John waives coverage (no financial incentive).

Option 2: All three enroll under John's plan and Mary waives coverage (no financial incentive).

Option 3: Mary enrolls under her plan, John enrolls under his plan, and only one of them covers Billy. Billy cannot be enrolled in both.

The key to the language we published yesterday was the word "enrolled". Upon first reading, many people didn't lock into the idea that "enrolled" means actually taking the coverage ... it was commonly misinterpreted as being "eligible" for coverage regardless of whether the person actually took the coverage or not.


  *   Members enrolled in OEBB as a subscriber (the benefits-eligible individual whether an active employee, early retiree or COBRA participant), may not enroll as a dependent under another OEBB or Public Employees' Benefit Board (PEBB) plan. OEBB subscribers may enroll as a dependent in another employer plan that is not OEBB or PEBB.
I hope this helps clarify the impact on OEBB members who have a spouse/partner also eligible for OEBB or PEBB benefits.
If you have additional questions, please contact OEBB Member Services at 888-469-6322 or send an email to: oebb.benefits at state.or.us<mailto:oebb.benefits at state.or.us>.
Thank you,
[LindaSignature]
Linda Freeze
OEBB Benefits Manager

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