Q.- We give employees a choice of paying for medical coverage with after-tax money during an FMLA leave or reimbursing us for premiums when they return from leave. An employee elected to pay during leave, but she paid one month of premium and then didn’t pay anything else. Do we give her a COBRA election now?
A.- Failure to pay premiums for medical/dental coverage during an FMLA leave is not a COBRA qualifying event. If the employee does not return to work after FMLA leave, that would be a COBRA qualifying event and COBRA would be offered at that time. We suggest you consult legal counsel if you intend to terminate benefits during an FMLA leave of absence.
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).
