Former Employees

• Exiting Employee Notice

What is COBRA?

The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers and their families who lose their health benefits the right to choose to continue group health benefits provided by their group health plan for limited periods of time under certain circumstances such as voluntary or involuntary job loss, reduction in the hours worked, transition between jobs, death, divorce, and other life events. Qualified individuals may be required to pay the entire premium for coverage up to 102% of the cost to the plan.

The James Perse COBRA plan is administered through WEX, inc. To enroll, contact WEX at 866-451-3399 or email customerservice@wexhealth.com

What is Life Portability?

Portability allows eligible insured employees to “port” (or buy) Group Life Insurance coverage when they are losing coverage because their coverage is being voluntarily or involuntary terminated.

Life Insurance Portability is offered through Lincoln Financial Group.

• Application for Portability

WHAT HAPPENS TO MY 401(K)?

At your date of separation, you are eligible to receive a distribution of your account, or you may continue your deferral under the James Perse Enterprises, LLC 401(k) Profit Sharing Plan – Account 517461

If your account balance is $5,000 or less your distribution amount can be:

• Paid to you in a lump sum
• Rolled over directly into another qualified plan or IRA
• If $500 or more, divided with a portion paid to you in a lump sum and a portion rolled over directly into another qualified plan or IRA

If your account balance is over $5,000 you can elect to have your distribution amount:

• Paid to you in a single lump sum payment
• Rolled over directly into another qualified plan or IRA
• Divided with a portion paid to you in a lump sum and a portion rolled over directly into another qualified plan or IRA
• Deferred until any time up to age 70 1/2. Your account would continue to be invested among the investment funds you select.

If you would like to make arrangements for a distribution, you will need to call Transamerica at (800) 401-8726. For information on rollover and no cost financial advice, please contact our financial advisors at Merrill Lynch.

Ed Cogan / Natasha Bonelli
(818) 227-6318
Edward_Cogan@ml.com / Natasha.Bonelli@ml.com

If your account balance is between $1,000 and $5,000 and you do not affirmatively direct your distribution within a reasonable timeframe, to have the distribution either (1) directly rolled over to an IRA or another eligible retirement plan that accepts rollovers, or (2) paid to you directly, then the distribution will be automatically rolled over to a Transamerica individual retirement plan (IRA). All distributions subject to this automatic rollover will be invested in an investment product designed to preserve principal and provide a reasonable rate of return and liquidity. IRA fees will be paid by the participant as the account owner.

If you have a loan you must pay the outstanding loan balance in one lump sum within 90 days of your date of separation. If this payment is not made within 90 days, the plan will liquidate the necessary portion of your account balance to pay off the loan and it will be considered a taxable distribution. You cannot continue making loan payments after the date of separation.

Health Insurance Premium Payment (HIPP) Program [California]

The Health Insurance Premium Payment (HIPP) program is a voluntary program for qualified beneficiaries with full scope Medi-Cal coverage. If you have recently lost your job and qualify for Medi-Cal benefits, or you are the parent or guardian of someone who qualified for Medi-Cal benefits, you may be eligible to receive payment for your existing private insurance premium and cost-sharing.

• HIPP Program Notice
• HIPP Program Notice (Sp)

If you are transitioning from the HIPP program into a Medi-Cal Managed Care program and are in need of assistance, please contact the HIPP program at HIPP@dhcs.ca.gov