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Election changes for health plan not in a cafeteria plan


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Guest kredlin
Posted

Are there any restictions on an employees right to change elections for a health plan that is not a part of a cafeteria plan? I can't seem to find any legal reason why they couldn't change their election since the Section 125 regulations only apply to cafeteria plans.

Posted

Check you group insurance contract. It usually has limits.

You don't want people jumping in and out of a plan, and neither does the insurer.

Posted

At worst, your group contract should allow changes if someone still experiences a qualifying event whether your plan is a Section 125 or not. If you check out your group contract, as Kip pointed out, and there is no provision regarding changes, talk to your carrier and get one added. Most carriers aren't going to put up a beef about it, as long as the times that employees can change benefits is logical.

Take Care!

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