NUMBER: HR 1.60
SECTION: Human Resources
SUBJECT: Benefits, Privileges and Services
DATE: November 15, 1989 (Rev.)
REVISED: July 1, 1995
Policy for: All Campuses
Procedure for: All Campuses
Authorized by: Jane M. Jameson
Issued by: Division of Human Resources
________________________________________________________________
I. Policy
A. This policy identifies the benefits program available
to qualifying permanent employees of the University of South
Carolina and their eligible dependents. Coverage levels, rates
and other contractual provisions are subject to periodic changes;
therefore, the information contained in this policy provides a
brief overview of each program.
B. The benefits, privileges and services described in this
policy are not restricted on the basis of race, sex, age, color,
religion, national origin, disability or veteran status.
C. Detailed information will be provided to all new
permanent employees and updated information will be provided to
all permanent employees by the appropriate department as changes
occur. Employees who wish to visit the Division of Human
Resources or campus Human Resources office for assistance with
their benefits will be given reasonable time away from the job
for such purposes.
II. Procedures
A. State Insurance Plans -- The University of South
Carolina participates fully in all insurance programs made
available through the State of South Carolina for State
employees. Insurance carriers which administer these plans are
subject to change based on negotiated contractual agreements.
Permanent employees who are scheduled to work at least 30 hours
per week for at least six months in a fiscal year are eligible to
enroll in any or all of these plans.
1. Health Insurance
Employees have a choice of two levels of coverage
under the State comprehensive plan or, depending on where they
live or work, a choice of one of four Health Maintenance
Organization (HMO) plans. Eligible dependents may also be
enrolled.
2. Dental Insurance
Employees and their eligible dependents may
enroll. Coverage ranges from 50% to 100% of allowable charges,
depending on the category of the dental service provided. The
dental plan has a two year contract period. Coverage additions
or deletions may only be made during the biannual enrollment
period or within 31 days of a qualified change in family status.
3. Life Insurance
The following plans are available to eligible
employees:
a. State Group Life Plan -- Employees who enroll
in either of the State or HMO health plans are automatically
enrolled for $3,000 of life insurance and accidental death and
dismemberment. Eligible dependents may also be enrolled.
b. State Optional Life Plan -- Eligible
employees may enroll. The amount of life insurance and
accidental death and dismemberment is based on the employee's
base salary.
c. Post Retirement Life Plan -- Eligible
employees may purchase up to $50,000 of life insurance which
becomes a paid-up policy on the date they set when they enroll in
the plan. Premiums are paid on a pre-tax basis through the
MoneyPlus program.
4. State Flexible Benefits Plan (MoneyPlus)
This plan, which is administered under the
authority of Section 125 of the Internal Revenue Code, allows
participating employees to pay costs for certain employee
benefits with before-tax-dollars. Eligible enrolled employees
may include any or all of the following features in the plan:
a. State Health, HMO, Dental, and Long Term Care
Premiums.
b. Dependent Care -- Eligible day-care costs for
eligible dependents.
c. Out-of-pocket medical expenses.
5. Long-Term Disability Plan
Employees who enroll in either of the State health
plans or HMO plans are automatically covered for long-term
disability insurance. After a 90-day waiting period, the plan
provides a monthly benefit for periods of approved disability.
The amount of the monthly benefit is based on a percentage of the
employee's monthly salary, offset by benefits received from the
South Carolina Retirement System, Social Security or Workers
Compensation. The maximum monthly benefit is $800.
6. State Long-Term Care Plan
Eligible employees and their spouses may enroll.
Under qualifying circumstances, the plan provides a daily benefit
for long-term custodial care.
7. Insurance Changes
The contracts for each individual State plan
govern when and under what circumstances employees may make
coverage changes. Normally, coverage changes can be made only
during the designated annual enrollment period or within 31 days
of a qualified change in family status; however, employees who do
not participate in the MoneyPlus Plan may delete or decrease
health or life insurance coverage at any time. Qualified change
in family status is defined as death, marriage, divorce or legal
separation, birth, adoption or legal guardianship of a child, or
the involuntary gain or loss of coverage by an eligible dependent
under another group plan.
8. Termination of Coverage
Coverage in any of the State insurance plans is
terminated at the end of the month in which an employee leaves
State employment, or fails to pay premiums during extended
periods of leave without pay. Exception: for nine-month academic
employees who separate at the end of an academic year, coverage
is terminated on the following August 31st. Under the Federal
Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA)
employees and/or their eligible dependents who lose coverage
under certain qualifying conditions may buy extended coverage for
group health and/or dental insurance through the State. Detailed
information concerning COBRA extensions and conversion options
may be obtained from the Benefits Office of the Division of Human
Resources or from the Human Resources Officer on regional and
four-year campuses.
B. University of South Carolina Insurance Plans
As a supplement to the State insurance plans, the
University of South Carolina offers the additional plans which
are described below. The USC Educational Foundation assists in
making the Group Life and Disability Income plans more affordable
by paying a portion of the premium costs.
1. USC Group Term Life Insurance
Permanent employees who work at least 30 hours per
week are eligible to enroll. The amount of life insurance and
accidental death and dismemberment coverage is based on the
employee's salary and age. Employees may cover eligible
dependents for a smaller amount of life insurance.
2. USC Universal Life Insurance Plan
In addition to other State and University life
insurance plans, eligible employees may enroll in this plan to
provide higher amounts of life insurance. Eligible dependents
may also be enrolled. The plan combines whole-life insurance
protection and tax-deferred interest accumulation at prevailing
market rates.
3. USC Disability Income Plan
Permanent employees may supplement the long-term
disability benefits provided under the State disability insurance
described in Section II. A. 4 of this policy by enrolling in this
plan. The amount of coverage available is based on the
employee's salary.
4. USC Hospital Confinement Plan
Eligible employees and their dependents may
enroll. The plan provides a daily benefit in the event of
covered hospital admissions.
5. USC Cancer Plan
Eligible employees and their dependents may
enroll. The plan provides certain inpatient and outpatient
benefits to help offset the cost of cancer care.
C. The South Carolina Retirement Systems and Optional
Retirement Program
1. Membership
All permanent University of South Carolina
employees and all employees who are currently members of the
South Carolina Retirement System are required by State law to
participate in the South Carolina Retirement System or Police
Officer's Retirement System, except that faculty and unclassified
administrative staff hired on or after July 1, 1987 may elect to
participate in the Optional Retirement Program.
2. Contributions
The South Carolina Retirement Act sets forth the
amount which must be contributed by both the employee and
employer, depending on the particular system in which the
employee participates. Retirement contributions made after July
1, 1982 are exempt from Federal and State taxes until the money
is withdrawn.
a. Members of the South Carolina Retirement
System and Optional Retirement Program contribute 6% of their
gross earnings. See section II. C. 4. below for employer
contribution rate for Optional Retirement Program participants.
b. Members of the South Carolina Police
Officer's Retirement System contribute 6.5% of their gross
earnings.
3. South Carolina Retirement System and Police
Officer's Retirement System Benefits
a. Group Life Insurance Benefit and Survivor
Options
Upon the death of a contributing member who
has completed at least 12 months of membership under the South
Carolina Retirement System or Police Officer's Retirement System,
payment will be made to the beneficiary in the amount of the
employee's annual base salary at the time of death. The 12 month
employment requirement is waived if death is job related. In
addition, a refund will be made to the beneficiary in the amount
of the employee's contribution, plus accumulated interest. If
the deceased member had at least 15 years of credited service,
the beneficiary may choose to receive the refund of contributions
in the form of a lifetime annuity.
b. Disability Retirement
A member who becomes disabled after
completing five years of credited service with the South Carolina
Retirement System or Police Officer's Retirement System may apply
for disability retirement. If approved, retirement benefits are
calculated similarly to those which would be applicable at age 65
for members of the South Carolina Retirement System and at age 55
for the Police Officer's Retirement System.
c. Vesting
A member of the South Carolina Retirement
System or Police Officer's Retirement System who has five years
of credited service is vested. Upon separation from State
service, a vested member may choose to leave his or her
contributions with the Retirement System and qualify for a
deferred retirement benefit upon attaining age 60 for members of
the South Carolina Retirement System, and at age 55 for the
Police Officer's Retirement System.
d. Refund of Contributions
A member of the South Carolina Retirement
System or Police Officer's Retirement System who leaves State
employment prior to retirement may withdraw the sum of his or her
contributions plus the accumulated interest. A minimum of 90
days from the date of separation is required before the refund
may be made.
e. Eligibility for Retirement
(1) South Carolina Retirement System
A member may retire and apply for full
formula benefits at age 65 or with 30 years of credited service.
Members who do not have 30 years of credited service may apply
for reduced benefits at age 60, or at age 55 with 25 years of
credited service. The State of South Carolina guarantees a
formula benefit based on a yearly average of the employee's 12
highest consecutive calendar quarters earnings and the years of
credited service.
(2) South Carolina Police Officer's
Retirement System
A member may retire and apply for full
formula benefits at age 55 with at least five years of credited
service or with 25 years of service, regardless of age. The
State of South Carolina guarantees a formula benefit based on a
yearly average of the member's 12 highest consecutive calendar
quarters earnings times the years of credited service.
4. Optional Retirement Program (ORP)
Faculty and unclassified administrative staff
hired on or after July 1, 1987 may choose to participate in a
qualified 401(a) Tax-Deferred Annuity Plan through one of several
ORP carriers authorized by the South Carolina Retirement System.
State law requires that the amount of employer
contributions remitted to ORP members' annuity contracts cannot
be less than 4.25 % of the member's earnings nor more than the
amount designated by South Carolina Retirement System actuaries
to fund future benefits for members of the South Carolina
Retirement System. Investment choices, the amount of interest
earned, withdrawal options and retirement options are governed by
the individual annuity contracts. Retirement, death and
disability benefits are based on the cash value of the member's
account.
D. Tax Deferred Annuities and Deferred Compensation
A number of options are available for employees to
supplement their retirement income by participating in a pre-tax
savings program. The amount contributed to these plans and the
interest earned is not taxed until the money is withdrawn, which
is normally at retirement when the individual normally has a
lower tax liability. These plans offer a variety of investment
options which have varying rates of return. Available plans
include 457, 401(k) and 403(b) plans through the State Deferred
Compensation Program or a 403(b) plan through any of a number of
individual annuity companies. Additional information is
available in the Payroll Office, the Benefits Office or the
campus Human Resources Office.
E. Social Security
The University participates in the Federal Program of
Old Age and Survivor Benefits (FICA). Participation is required
of all employees. This statutory deduction is met with a
matching contribution by the University.
F. Unemployment Compensation
Unemployment Compensation is a program mandated by the
Social Security Act of 1936, designed to provide financial
assistance for individuals who are out of work through no fault
of their own, but who are otherwise available for full-time
employment. The program is governed by Federal and State
guidelines, and is funded entirely by employer contributions.
For additional information, contact the South Carolina Employment
Security Commission, Unemployment Compensation Division.
G. Savings Bonds
United States Savings Bonds are available through
Payroll Deduction. Interested employees should contact the
Payroll Office or the Division of Human Resources, Benefits
Office for further information.
H. Carolina Collegiate Federal Credit Union
For the benefit of its employees, the University has a
credit union to provide a savings and loan system in which
permanent employees and their relatives may participate. A wide
range of banking services is available. Interested employees
should contact the Carolina Collegiate Federal Credit Union , or
the Division of Human Resources, Benefits Office, or the campus
Human Resources Office.
I. Salary Checks
All employees are paid semimonthly, on the 15th and the
last working day of the month. By completing an authorization
agreement for electronic deposit form in the Division of Human
Resources, Benefits Office or the Payroll Office, employees may
have their checks deposited directly to the bank of their choice.
State law prohibits any advance in salary.
J. Parking
Parking assignments for faculty and staff are based on
seniority with current University service determining seniority
date. Seniority is not based on State service. Employees should
contact the Department of Parking and Vehicle Registration
Services on the Columbia Campus for additional information.
K. Athletic Tickets
Season tickets are available at a reduced rate.
Individual tickets are full price. Season tickets may be
purchased for the employee, spouse and school age children in the
family. For further information, contact the Athletics
Department, Ticket Office.
L. University Libraries
The facilities of all University libraries on the
Columbia campus (Thomas Cooper Library, South Caroliniana
Library, Law Library, Business Library, etc.) are available to
employees.
M. Employee Assistance Program
The University contracts with a qualified Employee
Assistance Provider to offer eligible faculty, staff and
dependents assistance with a wide range of problems including;
child-rearing concerns, elder care issues, alcohol and drug
related problems, abuse issues, marital difficulties, depression,
anxiety, stress, financial problems and legal issues. For more
information on the Employee Assistance Program, contact the
Division of Human Resources, Employee Relations Office.
N. Tuition Remission
Eligible faculty and staff may apply to take one three-hour course a semester, four hours in the case of a lab course,
at no charge on a space available basis. For more information
refer to the Tuition Assistance policy.
O. Notary Public Service
Notary Public services are available in the Division of
Human Resources, Benefits Office at no charge to University
employees.
P. Break Periods
There are no scheduled break periods during the day,
but the privilege of a short break period may be granted by the
department chair or supervisor. Breaks should be approximately
10 minutes long, but in no case should they exceed 15 minutes
from the time the employee leaves the place of work until the
employee's return. These break periods are a privilege and not a
right and must not be abused. Sufficient personnel should be on
duty at all times to carry on the normal functions of the
department.
To obtain an official copy of this policy please contact the USC
Division of Human Resources.
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Jane M. Jameson
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