University of Michigan faculty and staff members in the Armed Forces Reserves or National Guard who are called to active duty are placed on Military Service Leave. Under the Uniform Services Employment and Reemployment Rights Act (USERRA), Military Service Leave is treated the same as any unpaid leave of absence.

Benefits coverages end on the last day of the calendar month in which the employee leaves the University for active duty. Some benefits plans can be continued at the expense of the employee during a Military Service Leave. The list below summarizes options available for each plan.

• Medical Insurance and Prescription Drug Plan. University Medical insurance and Prescription Drug plan coverage may be continued during the Military Service Leave at the employee's expense. Faculty and staff members and dependents who want to continue coverage should contact the HR/Payroll Service Center.
• Advance Supplies of Prescription Medication. Participants in the Prescription Drug Plan who need to obtain an advance supply of prescription medication prior to going on active duty should call the HR/Payroll Service Center at 734-615-2000 or 866-647-7657. Or send an email message to benefits.office@umich.edu. Include your UMID in your message.
• Dental Insurance. Dental coverage may be continued at the employee's expense. Faculty and staff members and dependents who want to continue coverage should contact the HR/Payroll Service Center.
• Group Life Insurance Plans. University, Optional, and Dependent Life Insurance Plans may be continued at the employee's expense. Faculty and staff members and dependents who want to continue coverage should contact the HR/Payroll Service Center.
• Long-Term Disability. Long-Term Disability coverage is not available during periods of active military service.
• Health Care Flexible Spending Account. You can contribute to a Health Care Account during Military Service Leave.
• You may only receive reimbursements for services incurred during periods when you made contributions to the account.
• If you wish to receive reimbursements during Military Service Leave, you must make aftertax contributions to your Health Care Account. Reimbursement will be based on the total amount you elect for the year and will be paid on request.

• Dependent Care Flexible Spending Account. You cannot contribute to a Dependent Care Flexible Spending Account during periods when you are not receiving salary from the University.
• Retirement Plan. University and employee contributions to University retirement plan accounts stop with the last paycheck prior to a Military Service Leave. Faculty and staff members on leave may open new personal accounts and make aftertax contributions directly to the vendors (TIAA-CREF or Fidelity), but no tax deferring and no University contributions are permitted.

  When you return to work at the University from active military service, you may make up contributions to your University retirement plan that were missed while on leave. You may also make up any supplemental or SRA contributions that were missed. The amount you choose to make up is your decision and is entirely voluntary.

  • Contact the HR/Payroll Service Center after you return to work from your leave to ensure your retirement contributions start again and to indicate if you wish to make up the missed contributions.
  • Your 5% contribution and the University 10% contributions that would have been made during the leave will be calculated based on your compensation rate prior to the leave.
  • An extra payroll deduction will be set up each pay period to make up for the missed contributions. You have up to three times the length of the leave to make up the missed contributions once you return from leave, capped at five years.
    
    
  See Military Leave of Absence for more information.

Returning to Work from Military Service Leave
When you return from Military Service Leave to a University appointment eligible for benefits, contact the HR/Payroll Service Center to have your benefits reinstated.

Any change in dependent status, such as marriage or a new baby, that occurred during the leave must be reported:

• Within 30 days of your return if you did not continue your benefits during your leave; or
• Within 30 days of the event if you did continue your benefits during your leave.

Complete and submit a Benefits Enrollment/Change Form to change coverage for your dependents.

If you continue your benefits through the University during a leave, and you do not return to the University at the end of your leave, you will be offered COBRA for your medical insurance, prescription drug plan, dental plan, and health care flexible spending account. Under COBRA, you may continue these benefits at your own expense for up to 18 months.

For More Information
For more information, or to continue your benefits during Military Service Leave, contact the HR/Payroll Service Center by calling 734-615-2000 or 1-866-647-7657 (toll free). Service Center Representatives are available Monday through Friday from 8:00 a.m. to 5:00 p.m.

The U.S. Department of Labor maintains a Web site that describes the University's obligation to employees returning from a military leave. View the USERRA Advisor at http://www.dol.gov/elaws/userra0.htm.

Paying for Your Benefits