12 Over 9 Program
The 12 Over 9 Program is designed for benefits-eligible employees who work less than 12 months per year, such as those with 9, 10, or 11-month appointments. This program allows these employees to spread their insurance premium payments over 9 months, while having 12 months of insurance coverage. Employees may maintain coverage over the summer as long as they are returning to benefit eligible employment in the Fall. Here are the key points:
- Premium Collection: The program collects 12 months of insurance premiums over a 9-month period. This means that slightly higher deductions are taken from the employee’s paychecks during the working months (September through May) to cover the summer premiums.
- Eligibility: Employees eligible for this program are those in full SGIP (State Group Insurance Program) eligible positions with 9, 10, or 11-month appointments who are paid on a monthly basis.
- Enrollment: Enrollment in the 12 over 9 program begins each fall semester and continues until the employee becomes ineligible or terminates their employment. Enrollment is automatically applied to eligible employees at the start of the fiscal year. If an employee is hired in the middle of the fiscal year, they will be automatically enrolled at the start of the next fiscal year if they are still eligible for the program.
Summer Premium Process
Summer Premium Process: For employees not enrolled in the 12 over 9 program, there is a separate summer premium process where premiums are collected in a lump sum or through other payment options to ensure coverage during the summer months. Most employees will pay 4 months of insurance premiums on their May pay to cover May, June, July, and August premiums. Alternatives are available in the following situations:
- Employee will have a full summer appointment, working in June, July, and August. In this case, the employee may have their premiums deducted from their summer pay. HR must be aware of this appointment by early April to make this change.
- Employee is terminating or retiring on or before May 31st. Those ending employment on or before May 31st may have the premium payment stopped, only collecting May premiums. HR must be aware of this appointment by early April to make this change.
- Employee does not earn enough to cover all summer insurance premiums on May pay. When an employee does not have enough to cover all summer insurance premiums on their May pay, they will be set up with monthly payments through the System Insurance Billing office.
The Summer Premium Process begins each Spring semester. Benefit & Retirement Services receive the list of all impacted employees and work within HROE to identify individuals who should not be paying all insurance premiums on their May pay. If no changes are made to an individual, all summer premiums will be collected on their May paycheck.
Save for Summer Program: This is a separate but related program that allows employees to withhold a portion of their net pay during the working months to receive payments during the summer when they are not working. However, this program does not cover insurance premiums.
These programs help ensure continuous insurance coverage for employees who do not work year-round, making it easier for them to manage their benefits and finances.
Resource Document(s)
For Assistance
Contact Benefit Services at benefits@tamu.edu.