Medical Options for Furloughed Employees
Last Updated on April 27, 2020 by VantagePoint
Amid all the uncertainty surrounding COVID-19, VantagePoint Benefit Administrators wants you to know that we are here for you. Our offices are open, working remotely, but fully functional and available to help you and your employees navigate through these unprecedented times. We are monitoring updates as they are available and will do our best to communicate the key points to you as quickly as possible.
Here are a few updates received this week:
Medical options for furloughed employees
- Most NY Based Medical carriers are allowing a Special Enrollment Period for employees who may have previously waived medical coverage.
- Some carriers are also allowing employers to keep their furloughed employees active on the medical plan until the quarantine and other Federal, State, and Local mandates are removed. COBRA can be used as well. Here is a breakdown of the options:
- Option one – furlough the employee(s), keep them active on the Medical plan and pay 100% of their premium
- Option two – furlough the employee(s), keep them active on the Medical plan and maintain the same employer/employee split. You will need to set up payment arrangements with the employees directly.
- Option three – offer COBRA to the employee, allowing them to elect coverage. You can keep the same premium split. If employees do not make their payment, COBRA coverage can be terminated.
- Option four – offer COBRA to the employee and make changes to the employer/employee split (pay 100%, pay a different split, pay 0%).
- State and Federal laws around Disability, FMLA, and Emergency leave due to COVID-19 are ever-changing. Please visit your State’s governmental website for updates. Here are a few of our local sites with details on DBL, PFL, FMLA, and Emergency Leave benefits:
If you have any questions regarding how COVID-19 will affect your business and what options you have as an employer, please give us a call. We can be reached Monday – Friday from 8:30 am – 5:30 pm at 516-599-2120 or Info@VantagePointBenefit.com.