Concept: Plan Changes and Waiting Periods

Benefit plans can have a waiting period that the employee must complete before receiving benefits. If the employee has an event that requires a change in plans, the new plan might have a different waiting period.

If the employee doesn't complete the waiting period before a plan change, Workday:

Enforces the waiting period associated with the new plan.

Credits the employee for any time spent waiting for the old plan to take effect.

Uses the initial waiting period start date as the start date of the second waiting period.

Example: The first waiting period begins on June 30, so the new plan uses the same June 30 start date for the waiting period.

If an employee completes their initial waiting period in a benefit group and moves to another benefit group, Workday waives the waiting period for the second group.

When there is a change in employee or employer cost under the new benefit group, Workday resets the waiting period. When no rate change occurs, Workday credits the waiting period.

Employee Completes Waiting Period for One Plan Before Selecting a Different Plan

Bob begins at his new company on March 1 and elects medical and dental coverage. The plans have these waiting periods:

Medical: 1 month (coverage begins April 1).

Dental: 1 month (coverage begins April 1).

Then Bob goes through a second enrollment event on April 15.

Second Enrollment	Effect
Bob moves to a new benefit group and selects new medical and dental plans, each with 3 month waiting periods.	Coverage begins: Medical: April 15 Dental: April 15 Workday waives the waiting period for new coverage because Bob has completed the initial 1 month waiting period. When an employee satisfies a plan waiting period requirement and later elects a new plan of the same type, Workday waives waiting period requirements for the second plan. If the employee loses benefits due to a leave of absence, a reduction in work hours, or other change, Workday restarts the waiting period.
Bob moves to a new benefit group and doesn't select new dental and medical plans, but the new benefit group has new rate changes for the plans.	Coverage begins: Medical: May 15 Dental: May 15 When an employee satisfies a plan waiting period requirement and later has a benefit group change, but remains in the same plans, the waiting period is reset.

Second Enrollment

Effect

Bob moves to a new benefit group and selects new medical and dental plans, each with 3 month waiting periods.

Coverage begins:

Medical: April 15

Dental: April 15

Workday waives the waiting period for new coverage because Bob has completed the initial 1 month waiting period.

When an employee satisfies a plan waiting period requirement and later elects a new plan of the same type, Workday waives waiting period requirements for the second plan. If the employee loses benefits due to a leave of absence, a reduction in work hours, or other change, Workday restarts the waiting period.

Bob moves to a new benefit group and doesn't select new dental and medical plans, but the new benefit group has new rate changes for the plans.

Coverage begins:

Medical: May 15

Dental: May 15

When an employee satisfies a plan waiting period requirement and later has a benefit group change, but remains in the same plans, the waiting period is reset.

Employee Changes From One Plan to Another Before Completing the Initial Waiting Period

Federico begins working at his new company on March 1 and elects medical and dental coverage. The plans have these waiting periods:

Medical Coverage: 3 months (coverage begins June 1).

Dental Coverage: 4 months (coverage begins July 1).

Federico goes through a second enrollment event on April 15, before the waiting period completes. Depending on the plan changes, his coverage can begin on different dates.

Second Enrollment (April 15)	Effect
Federico moves to another state and elects to keep the same plans.	Coverage begins: Medical: June 1 Dental: July 1 Because the plans don't change, coverage still begins on the same dates.
Federico moves to another state and selects new medical and dental plans with the same waiting periods.	Coverage begins: Medical: June 1 Dental: July 1 Workday enforces the new waiting periods, but because the new periods are identical to the old, the begin dates remain the same.
Federico receives a promotion and selects new medical and dental plans. They’ve 2 and 3 month waiting periods, respectively.	Coverage begins: Medical: May 1 Dental: June 1 Workday enforces the new waiting periods, but credits Federico for time spent waiting under the old plans.
Federico receives a demotion and selects new medical and dental plans. They’ve 4 and 5 month waiting periods, respectively.	Coverage begins: Medical: July 1 Dental: August 1 Workday enforces the new waiting periods, but credits Federico for time spent waiting for the old plans to take effect.
Federico moves to a new benefit group and selects new medical and dental plans with 1 and 2 month waiting periods, respectively.	Coverage begins: Medical: April 15 Dental: May 1 Workday enforces the new waiting periods, but credits Federico for time spent waiting for the old plans to take effect. In this case, the waiting period for the new medical plan (1 month) is over by the time the second enrollment event takes place (April 15). Therefore, Workday begins medical coverage on April 15.

Steps: Set Up Enrollment Events and Rules