Cobra & LTD

hria

We have an employee who didn't know he'd be off work so long, but used up sick & vacation, then went to doctor & found out he has a serious condition which could lead to permanent disability. He just went onto LTD & dr hasn't yet said if he'll ever be able to work again. Our company pays 100% of health insurance premiums for full family coverage. At what point should we terminate employment & offer COBRA? He's been off work for 4 months. I don't want to terminate illegally, but don't want to pay health premiums indefinitely. We don't mention this sort of extended leave in our company policy.

LindaS

[font size="1" color="#FF0000"]LAST EDITED ON 06-20-03 AT 07:35AM (CST)[/font][p]As long as the employee is under FMLA, you have a responsibility to maintain him on your group health insurance. Once that time has expired, you can cancel him from the group plan and offer him COBRA.

As far as terminating his employment, you would need to look at whether or not he qualified under ADA and if so, make the determination if an extended leave of absence would be a reasonable accomodation.

E Wart

E Wart
Again you have several issues. Your have FMLA which I am assuming you have certification on. IF so, this could already be through since he has been out more than 12 weeks. However, you need to see how this has been handled (has proper paperwork been sent out, etc.)
Then you have the question about how long your employee can be covered under the group plan and at what costs. (Normally it is written in the SPD or Group Policy.) A lot of plans say an employee can be covered up to (six)?? months.
Then have to look at LTD and when it begins (which from what you said sounds like he has been on this for about a month and you don't know he will return.) An employee can be covered on LTD but still be terminated, depending up how you have handled FMLA and also what your policy says.
I think you need to look through your group plan policy, your LTD policy and your company policy, as well as FMLA.