Overview
If you do not need State Group Health Insurance through the Universities of Wisconsin, you may be eligible for up to a $2,000 Opt-Out Incentive.
You are eligible for the Opt-Out Incentive if you:
- Are eligible for the WRS Benefits Package. If you are eligible for the Graduate/Short-Term Academic Staff Benefits Package, you are not eligible for the opt-out incentive.
- Are eligible for the employer contribution to your health insurance premium. Crafts workers are eligible for the employer contribution to their health insurance premium; therefore, may be eligible for the opt-out incentive.
- Do not receive State Group Health Insurance through a parent or spouse through another State agency (such as UW Hospital & Clinics).
- In 2015, were eligible for the employer contribution to your health insurance premium and enrolled in State Group Health Insurance. This provision does not apply to crafts workers.
Health insurance coverage through a parent or spouse employed by a local government entity that does not offer State Group Health Insurance (administered by ETF) does not disqualify you for the Opt-Out Incentive.
The $2,000 Opt-Out Incentive is prorated. If selected, it is paid for months you are eligible for the employer contribution towards a health insurance premium. The incentive is provided on two paychecks each month, distributed evenly over 24 pay periods a year.
The Opt-Out Incentive enrollment does not carry over from year to year. You must re-enroll each year during the enrollment period in the fall.
Important Considerations
- Impact on Sick Leave Credits. Unused sick leave can provide a valuable benefit. If you retire, or if you die while an employee, unused sick leave is converted into credits to pay for your health insurance or health insurance for your surviving spouse/dependents (if you are covered under the health insurance program). If you select the Opt-Out Incentive, your unused sick leave credits have no value until/unless you re-enroll in the health insurance program in the future.
- Re-enroll in Health Insurance. You may re-enroll in health insurance if you have a qualifying life event (such as marriage, birth of a child, loss of other coverage). If you re-enroll in health insurance, your opt-out incentive will be pro-rated and only paid for the months you are not enrolled in health insurance through the Universities of Wisconsin.
- Enrollment in Other Benefit Plans.
- If you opt out of health insurance, you will not be eligible for Uniform Dental but you will be eligible for Preventive Dental Insurance. During the fall enrollment period, you may enroll in a supplemental dental insurance plan, even if you opt-out of health insurance.
- If you opt-out of health insurance, you (and your spouse, if applicable) are not eligible for the $150 well-being incentive through the Well Wisconsin Program.
- Taxable. The Opt-Out Incentive is taxable.
How to Enroll in the Opt-Out Incentive
Enroll by logging into Workday (myworkday.wisconsin.edu). Once in Workday, from the Menu in the upper left go to Personal, then select Benefits and Pay. In the Suggested Links select, My Insurance Benefits to access the benefits enrollment system.
- Select Opt-Out Incentive, if you do not need health insurance coverage through the Universities of Wisconsin and meet the eligibility requirements for the Opt-Out Incentive.
- Select Decline if you do not need health insurance coverage through the Universities of Wisconsin and do not meet the eligibility requirements the Opt-Out Incentive.
You must enroll within 30 days of your date of employment or newly benefits-eligible job.
You must re-enroll in the Opt-Out Incentive each year during the enrollment period each fall to receive the incentive in the following calendar year. Your Opt-Out Incentive enrollment does not carry over from year to year.
Resources
Every effort has been made to ensure this information is current and correct. Information on this page does not guarantee enrollment, benefits and/or the ability to make changes to your benefits.
Updated: 02/16/2026