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Employee Not Paying Premiums...

KP68KP68 164 Posts
in FMLA/ADA/Workers’ Comp Vote Up0Vote Down
I realize benefits are to continue while on FMLA as long as the employee pays their portion, and we do state in our FMLA approval letter that the employee will be invoiced for their share of the premium while on unpaid leave.

What if the employee does not pay their portion?
Can we cancel benefits retro to the first unpaid premium date even if it is within the 12 weeks of FMLA?

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  • MSwansonMSwanson 8 Posts
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    In Regulation 825.212 it covers how to handle non payment.

    What I do is I mail out letters to the employees once a month (when they stop receiving paychecks) and let them know what they owe. If I do not hear back from them when I send out the following months letter, I include in that letter the past due amount and they need to contact me by a certain date and I also let them know that failure to make a timely payment could result in termination of benefits. If I do not hear from them by the date specified in the letter, I send them a certified letter and regular mail (a lot of our employees will not pick up certified letters) letting them know that I must hear from them or receive payment within the 15 days or their insurance will end as of the last day of the last payment we received.

    Hope this helps!
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