Common use of Cash Payment in Lieu of Medical Coverage Clause in Contracts

Cash Payment in Lieu of Medical Coverage. Employees who are covered by a non-City sponsored health care plan will only be eligible to receive a payment in lieu of medical insurance and are not permitted to participate in a City sponsored health care plan. Employees choosing to take the incentive payment will be required to provide proof of insurance from another source on an annual basis. Employees covered under a non-City health care plan will be reimbursed the following payment in lieu of medical insurance: Single - $175 per month Two Person and Family - $285 per month For employees who are covered by the City’s medical insurance through a spouse who is an employee of the City of Big Rapids, the employee not carrying the City’s insurance will receive a payment in lieu of medical coverage of $235 per month.