COBRA - Employee fired before enrolling in health plan

[Guest Thomas2006]

An employee was hired and provided with all the information to enroll in a self-insured health plan. The background check came back 3 days later, employee lied, and was terminated. Employee argues he should be offered COBRA coverage, and that he did not enroll in the Plan because he did not have internet access at the hotel (although he did have access at work). The Plan enrollment provision says that coverage is effective as of the date of hire so long as an employee elects coverage within 31 days of hire. However, the employee did not enroll in the Plan before termination. Any thoughts?

[J Simmons]

I don't think he has a COBRA right. He had no coverage to continue. He could have elected coverage, but did not. He had all the information and the internet access at work during the 3 days an employee. I think it is irrelevant that he did not have internet access at the hotel.

His having asserted COBRA puts the employer in an awkward spot. Don't extend the COBRA opportunity, so don't give notices and thus don't start the COBRA retro election period. The risk is being second guessed in court much later, and having to provide coverage because the election notice wasn't given.

You might want to consider filing a declaratory judgment action in federal court, given that he has asserted that he should be given COBRA coverage--unless facing such a suit, he will agree in writing that he has no COBRA right.

[leevena]

J Simmons is correct. This person does not qualify for COBRA. If you need something in writing, follow this link. http://www.dol.gov/ebsa/faqs/faq_consumer_cobra.html

Good luck.

[Guest Thomas2006]

Thank you.