Cobra Health Message Board
We are not COBRA. For specific contract details about your current company policy, contact your health plan administrator.
Re: lg group vs sm grp and the church
COBRA Health plan Advice for Individuals and Small Businesses |
We are not COBRA. For specific contract details about your current company policy, contact your health plan administrator.
Re: lg group vs sm grp and the church
In Reply to: lg group vs sm grp and the church posted by Richard on January 12, 2010 at 09:31:08:
Richard:
You are aware a nonelecting 414(e) church plan which is exempt from COBRA under ERISA, I assume?
Church plans and small plans are exempt from COBRA. Could that be why you won't get reimbured?
http://readthestimulus.org/01-23-09_UI_Health_provisions_ARRP_senate.txt
The following types of group health plans are not subject to the Codes COBRA rules:
(1) a plan established and maintained for its employees by a church or by a convention or
association of churches which is exempt from tax under section 501 (a church plan); (2) a
plan established and maintained for its employees by the Federal government, the government
of any State or political subdivision thereof, or by any instrumentality of the foregoing (a
governmental plan); and (3) a plan maintained by an employer that normally employed
fewer than 20 employees on a typical business day during the preceding calendar year (a
small employer plan).
Qualifying Events and Qualified Beneficiaries. A qualifying event that gives rise to
COBRA continuation coverage includes the following events which would result in a loss of
coverage of a qualified beneficiary under a group health plan (but for COBRA continuation
coverage): (1) death of the covered employee; (2) the termination (other than by reason of
such employees gross misconduct), or a reduction in hours, of the covered employees
employment; (3) divorce or legal separation of the covered employee; (4) the covered
employee becoming entitled to Medicare benefits under title XVIII of the Social Security Act;
With that said, Plan Coverage - Group health plans for employers with 20 or more employees on more than 50 percent of its typical business days in the previous calendar year are subject to COBRA. Both full and part-time employees are counted to determine whether a plan is subject to COBRA. Each part-time employee counts as a fraction of an employee, with the fraction equal to the number of hours that the part-time employee worked divided by the hours an employee must work to be considered full time.
: We have an employee we laid off in Sept. Is still on health coverage due to Obama law. Our health carrier says we are Lg group cause we showed 31 employees at last cenus in June 09 update for health coverage renewal. We had at that time 7 FT and 24 parttime employees ie preschool teachers, and set up people etc. Our we considered small or lg under cobra. With small we can go on state continuation coverage for xemployee and health provider pays the difference and take tax credit. If we are large grp we pay the 65% and really have no way to recoup. So are we large or small and how do we figure this? I was told by one administrator to take 2pt = 1 Ft employee to see if you are over 20 but they were not sure. Can you help?
Fred
: We have an employee we laid off in Sept. Is still on health coverage due to Obama law. Our health carrier says we are Lg group cause we showed 31 employees at last cenus in June 09 update for health coverage renewal. We had at that time 7 FT and 24 parttime employees ie preschool teachers, and set up people etc. Our we considered small or lg under cobra. With small we can go on state continuation coverage for xemployee and health provider pays the difference and take tax credit. If we are large grp we pay the 65% and really have no way to recoup. So are we large or small and how do we figure this? I was told by one administrator to take 2pt = 1 Ft employee to see if you are over 20 but they were not sure. Can you help?