BAS Blog

Question of the Week - EAP and COBRA

Written by BAS | Jun 20, 2024 3:47:49 PM

Q.- We have an employee assistance plan (EAP) for our employees. Do we have to offer employees the right to continue participating in the EAP under COBRA?

A.- Probably Yes. If your EAP provides access to therapy which is a medical benefit, it will likely be considered a group health plan. Group health plans are subject to COBRA. If the EAP is simply a referral program with no medical care provided under the program, it may not be considered a COBRA benefit. Review the terms of your plan and check with your legal counsel.

Benefit Allocation Systems (BAS) provides best-in-class, online solutions for: Employee Benefits Enrollment; COBRA; Flexible Spending Accounts (FSAs); Health Reimbursement Accounts (HRAs); Leave of Absence Premium Billing (LOA); Affordable Care Act Record Keeping, Compliance & IRS Reporting (ACA); Group Insurance Premium Billing; Property & Casualty Premium Billing; and Payroll Integration.

MyEnroll360 can Integrate with any insurance carrier for enrollment eligibility management (e.g., Blue Cross, Blue Shield, Aetna, United Health Care, Kaiser, CIGNA and many others), and integrate with any payroll system for enrollment deduction management (e.g., Workday, ADP, Paylocity, PayCor, UKG, and many others).