Question of the Week

Posted by BAS - 23 June, 2022

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Q.- We are putting a full-time employee on a temporary leave of absence. Do we have to continue his health coverage?

A.- Maybe. If you are an employer using the look-back method for determining full-time status, and if the individual on a leave of absence is still considered an employee, he may actually be considered “full-time” for ACA purposes while on the leave. If he is still considered full-time for ACA purposes, you would not be able to terminate his health coverage. There are several considerations, including the length of the leave, so be careful before terminating coverage.

Topics: Health Care Reform (ACA), Benefits Administration, HR & Benefit Plans, HR & Benefits


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