Benefits for Former Powell Employees

If you were enrolled in Powell’s medical, dental or vision plans, coverage will end on the last day of the month following your employment end date.

You may be allowed to continue these benefits through COBRA.  Soon after coverage ends, TaxSaver Plan, Powell’s COBRA administrator, will mail a COBRA packet to your home.  The COBRA packet will contain information on costs, length of coverage, and enrollment instructions.  Should you have questions once you receive the packet, you can contact TaxSaver Plan or the Powell Benefits Center.  Contact information can be found here.  Additional information on COBRA can be found here.

You may be eligible to continue medical coverage under Powell’s Retiree Medical program.  To qualify you must meet all of the following eligibility requirements: 

• On January 1, 2023, you must have been between the ages of 50 and 64
• Have at least ten (10) years of continuous service
• On the date you retire, you must be between the ages of 60 and 64

For more information, click here.

If you were enrolled in Powell’s healthcare flexible spending account, coverage will end on your last day of employment.  You will have 89 days from your last day of employment to submit any claims for expenses incurred through your last day of employment.

You may be allowed to continue this benefit through COBRA.  Soon after coverage ends, TaxSaver Plan, Powell’s COBRA administrator, will mail a COBRA packet to your home.  The COBRA packet will contain information on costs, length of coverage, and enrollment instructions.  Should you have questions once you receive the packet, you can contact Tax Saver Plan or the Powell Benefits Center.  Contact information can be found here.  Additional information on COBRA can be found here.

If you were enrolled in Powell’s dependent care flexible spending account, coverage will end on your last day of employment.  You will have 89 days from your last day of employment to submit any claims for expenses incurred through your last day of employment.  Contact information for TaxSaver Plan can be found here.

Coverage under the life insurance plans ends on the last day of employment, however; you may be able to take your coverage with you (portability) or convert your coverage to an individual policy (conversion).  Click here for more information on the portability and conversion options.  

Sun Life will automatically mail you a portability/conversion packet after your last day of employment. If you have any questions, please call them at 800.247.6875.

Disability insurance ends on the last day of employment, however; employment ending will not affect your eligibility for continued benefits if you are on an approved disability through Sun Life at the time.

When you leave Powell, you generally have four options for your 401(k) account:

• Keep the funds in the Powell plan. In order to do this, you must maintain an account balance greater than $5,000.
• Roll the funds over to an IRA.
• Transfer the funds to your new employer’s plan (if allowed by the plan).
• Take your money in cash.

Distributions due to employment ending will generally not be allowed until twenty-five (25) days after your employment end date in order to allow for any residual payroll adjustments.

Click here for details and other information on distributions, including automatic distribution rules.

To initiate a distribution, log on to your Netbenefits account at www.401k.com or call Fidelity at 800-835-5095.  

• If a participant’s employment ends for any reason the unpaid loan balance will automatically be re-amortized to monthly and the Participant can continue loan payments directly to Fidelity through ACH payments. Otherwise, the loan(s) will need be paid in full to prevent default. (See Defaults and Remedies below.)
• Loans are not available to Participants who have terminated employment.
• When a terminated Participant receives a distribution from the plan, any unpaid loan balance will be included in the taxable distribution and reported to the IRS on Form 1099-R. Copies will be mailed by January 31 of the year following the year in which the default occurred. Regular income taxes, plus any IRS penalties may apply.
• A loan will be declared in default if no payment is made for 90 days or longer, unless non-payment is due to an approved disability or military leave of absence.
• Once the loan is declared in default, the entire unpaid principal balance will be reported to the IRS on Form 1099-R as a taxable distribution. Copies will be mailed by January 31 of the year following the year in which the default occurred. Regular income taxes, plus any IRS penalties may apply.

Your identity theft coverage ends at the end of the month in which your employment ends. You have the option to continue with identity theft protection through IdentityForce without interruption by contacting IdentityForce before the end of the month. You can contact them directly at 877-694-3367 and they will give you your options to continue coverage.

As a valued member of ARAG, you will have an opportunity to enroll in a legal insurance plan that is similar to what you have already enjoyed. You will receive a conversion packet from ARAG with instructions on enrollment. You will have 90 days from the termination date to submit your enrollment if you wish to continue.