Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SUNDAY, July 16, 1995 TAG: 9507170076
SECTION: VIRGINIA PAGE: D-5 EDITION: METRO
SOURCE: Associated Press
DATELINE: RICHMOND LENGTH: Medium
Unless the state can find another insurance company, employees who want the additional coverage apparently face the possibility of having to arrange the protection themselves or go without it when the program ends Aug. 1.
For years, Virginia's 100,000-member work force has had the option of buying the supplemental disability insurance, which provides additional income to employees who are sick or injured.
The Allen administration has not said whether it will take steps to supply additional disability coverage.
``I just found out about it,'' Charles E. James Sr., head of the state personnel agency, said Friday. ``I really don't know what's going to happen.''
Disability insurance is extended almost routinely in the private sector. State employees accumulate sick time on which they draw when ill or injured.
In a letter June 26, a Jefferson-Pilot official in Greensboro, N.C., told workers: ``We have lost money for the past three years on the disability income coverage provided to employees of the state of Virginia, and have no alternative but to non-renew all policies on this case.''
Some state workers still are angry over the switch three years ago to a managed-care health plan from a traditional, and costlier, fee-for-service program.
Responsibility for supplying disability insurance has been shifted to the Virginia Retirement System from the Department of Personnel and Training, state officials said.
VRS director William H. Leighty said the pension fund hasn't been asked to offer a group disability plan. He said such a request probably would come from James' agency.
``I haven't been requested to do that, but if so, I probably would do that,'' Leighty said.
by CNB