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Termination of Employment

Everything You Need to Know About Your Benefits

Health Insurance Coverage

  • Medical, dental and prescription drug coverage will terminate at the end of the month the termination of employment occurs.

Example: Employment termination date is March 29th, insurance coverage will end on March 31st.

  • Your FSA membership will end on the last day of the month that employment is terminated. Please contact WageWorks directly for further information at 1-855-428-0446.


COBRA is a Federal law that provides employees and dependents who would otherwise lose coverage an opportunity to purchase health benefits for a limited time. You may be eligible to apply for COBRA if you meet one of the following criteria:

  • Cut back in working hours
  • Leave of absence
  • End of employment (except for gross misconduct)
  • Divorce or end of partnership
  • Dependent child turns age 26
  • Death of the employee or retiree

How to Apply for COBRA

  • If a COBRA-qualifying event occurs, Montclair State University’s Human Resources Benefits Team will send a COBRA Notice and application via USPS mail to the address listed in Workday. You should receive your packet within 14 business days of your termination date.
  • The enrollment and billing process is managed directly by New Jersey’s Division of Pensions and Benefits
  • Employees who at retirement are eligible to enroll in SHBP or SEHBP Retired Group coverage cannot enroll in COBRA.

COBRA Rates – 2020

COBRA Rates – 2021

Continuation Life Insurance Coverage

Long Term Disability Insurance Coverage

ABP Members:

  • Long term disability coverage ends on the date of termination
  • No conversion privilege

Retirement Accounts

 PERS Pension

  • You have the option of withdrawing your pension contributions and ending pension membership.
  • By withdrawing your monies, you will be forfeiting your NJ State pension credited service. If you return to work for any New Jersey State Agency, your prior years of service will not count.
  • For information on how to withdraw your monies, please log on to your Member Benefits Online System Account (MBOS) via the NJ State website:

Mandatory 401A Plans

  • If you are vested, you are not required to withdraw funds until you are age 70-1/2.
  • If you are vested and choose to withdraw funds, you are considered retired and may not be permitted to participate in a New Jersey State pension plan upon re-employment.
  • If you have participated in ABP for less than twelve months, you will receive only your own contributions and earnings, but will not receive MSU contributions.

If you choose to complete the withdrawal process after your termination please direct paperwork to the Division of Pensions and Benefits. MSU will no longer have access to provide authorization.

Supplemental 403b Plans

  • You have the option to withdraw funds immediately upon termination.
  • Contact investment carrier for guidance on the withdrawal process.

Please contact your investment carrier for more information:

Paid Time Off

Unemployment Insurance