Jump to content

Proof of Coverage

Guest CSB390

Recommended Posts

What legal requirements would arise if an employer requires an employee to provide proof of medical coverage from another group source when the employee is declining the company's health plan. My company is considering defaulting all employees who decline coverage in an employee only benefit plan. The employee only contribution would be deducted from the employee's paycheck if no documentation of another group plan is presented to HR by the end of the open enrollment period.

Link to comment
Share on other sites


Can you explain what you mean ?

The employee is not getting any cash-out or any other benefit.

George D. Burns

Cost Reduction Strategies

Burns and Associates, Inc

www.costreductionstrategies.com(under construction)

www.employeebenefitsstrategies.com(under construction)

Link to comment
Share on other sites


Thanks for providing that very interesting revenue ruling.

It provides a definition I have been looking for: deemed compensation.


If the employees can verify individual coverage, do you have a "default" to provide another benefit, or can the employee select another benefit?

Doing so can make the option of allowing the employee to use the cafeteria plan to pay his individual premium a relatively moot point.

Don Levit

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

  • Create New...