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Board approves $5,000 death benefit for part‑time employees after insurer says standard policy not available
Summary
Montcalm County commissioners approved providing an in‑house $5,000 death benefit for part‑time employees after a private insurer said it would not issue a policy for workers who do not meet a 15–16 hour per‑week minimum; the board chose self‑funding language and to avoid calling it 'life insurance.'
The Montcalm County Board of Commissioners voted July 13 to provide a $5,000 in‑house death benefit to part‑time county employees after county staff reported that a private insurer would not write a policy for workers who do not meet a 15–16 hour weekly minimum.
County staff told commissioners the insurer would not issue conventional life‑insurance coverage for employees who are paid largely on a piece‑rate or irregular schedule. Commissioners discussed options: (1) leave the earlier vote as-is and accept the insurer's limitation, (2) self‑fund a small benefit fund to cover claims, or (3) restrict eligibility based on minimum hours worked. Several commissioners said fairness between very occasional volunteers and regularly scheduled part‑time staff had to be considered.
One commissioner moved to provide a $5,000 death benefit to part‑time employees, using an in‑house fund (and not labeling it "life insurance"); the motion was supported and approved by voice vote. Commissioners directed staff to create and fund a separate account for the benefit and to adopt language describing it as a county-offered death benefit rather than an insured policy.
