New Health Plan Amendment Allows Surviving Dependent Children to Inherit Accrued Earned and Carry-Over Coverage When There Is No Surviving Spouse
The DGA-Producer Health Plan’s Board of Trustees has voted to allow a deceased participant’s surviving dependent children to inherit any of the participant’s accrued Earned or Carry-Over Coverage for purposes of qualifying for survivor coverage, effective April 19, 2024.
Under the prior Health Plan rules, only surviving spouses could inherit earned or carry-over credit following a participant’s death, and surviving dependent children could only be covered under Earned or Carry-Over Coverage if there is a surviving spouse who elects coverage on their behalf (and pays the necessary premiums).
The amendment to Article III, Section 7(a) of the Health Plan’s March 2020 Summary Plan Description allows both eligible surviving spouses and any eligible surviving dependent children covered at the time of the participant’s death to inherit the remainder of a participant’s accumulated Earned or Carry-Over Coverage. For coordination of benefits purposes, eligible surviving dependents with Earned Active Coverage will change to Earned Inactive Coverage effective the date of the participant’s death.
To maintain this coverage, dependents must be eligible for Health Plan coverage, and dependent premiums must be paid on a timely basis. Eligible surviving spouses and eligible dependent children may also transition to self-pay coverage after their inherited accrued coverage ends.
For more information about Health Plan coverage after a participant’s death, visit www.dgaplans.org/deathofaparticipant.