Part 11 – Group Policy (continued) WORDS IN ITALICS ARE EXPLAINED IN PART 2. Page 101 sponsored health plan at any time before the 39-week extension period ends, continued coverage in this health plan under the group contract under these provisions also ends. Continuation of Group Coverage under Federal or State Law When you are no longer eligible for coverage in this health plan under a group contract, you may be eligible to continue group coverage as provided by the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) or under Massachusetts state law. (These provisions apply to you if your group has two or more employees.) To continue this group coverage, you may be required to pay up to 102% of the premium cost. These laws apply to you if you lose eligibility for coverage due to one of the following reasons.  Termination of employment (for reasons other than gross misconduct).  Reduction of work hours.  Divorce or legal separation. (In the event of divorce or legal separation, a spouse is eligible to keep coverage in this health plan under the employee’s group contract. This is the case only until the employee is no longer required by law to provide health insurance for the former spouse or the employee or former spouse remarries, whichever comes first. The former spouse’s eligibility for continued group coverage will start on the date of divorce, even if they continue coverage under the employee’s group contract. While the former spouse continues coverage under the employee’s group contract, there is no additional premium. After remarriage, under state and federal law, the former spouse may be eligible to continue group coverage in this health plan under a separate group contract for additional premium.)  Death of the subscriber.  Subscriber’s entitlement to Medicare benefits.  Loss of status as an eligible dependent. The period of this continued group coverage begins with the date of your qualifying event. And, the length of this continued group coverage will be up to 36 months from that qualifying event. This is true except for termination of employment or reduction of work hours, in which cases continued group coverage is available for only 18 months or, if you are qualified for disability under Title II or Title XVI of the Social Security Act, up to 29 months. (See below for more information about continued coverage for disabled employees.) You should contact your plan sponsor for more help about continued coverage. Important Note: When a subscriber’s legal same-sex spouse is no longer eligible for coverage under the group contract, that spouse (or if it applies, that civil union spouse) and their dependents may continue coverage in the subscriber’s group to the same extent that a legal opposite-sex spouse (and their dependents) could continue coverage upon loss of eligibility for coverage under the group contract. Additional Continued Coverage for Disabled Employees At the time of the employee’s termination of employment or reduction in hours (or within 60 days of the qualifying event under federal law), if an employee or their eligible dependent is determined to be disabled under Title II or Title XVI of the Social Security Act, continued group coverage will be available for up to 29 months from the date of the qualifying event. The premium cost for the additional 11 months may be up to 150% of the premium rate. If during these 11 months eligibility for disability is lost, group coverage may cancel before the 29 months is completed. You should contact your plan sponsor for more help about continued coverage. Special Rules for Retired Employees A retired employee, the spouse, and/or eligible dependent children of a retired employee or a surviving spouse of a retired deceased employee who loses eligibility for coverage in this health plan under the group contract as a result of a bankruptcy proceeding (Title 11 of the United States Code) is also eligible