Question of the Week

Posted by mroshkoff@basusa.com - 13 December, 2012

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Q.- We have an employee who is going to jail for 3-4 months. We are not firing him because of the incarceration, and he will most likely be coming back to work when he gets out of jail. Do we have to offer him COBRA?

A.- If you are terminating the individual's employment which would cause a loss of coverage, a COBRA election must be offered. The fact that he is in jail does not take away his right to continuation coverage. Sometimes, inmates are provided health benefits while in jail which might cut off his COBRA right, but he would still get the right to elect COBRA. If you are not terminating his employment or otherwise stopping his health coverage when he goes to jail, then no COBRA election is needed.


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