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What is the meaning of the term "eligible"?

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mudbungie

Junior Member
What is the name of your state (only U.S. law)? California

I have just finished an evaluatory period with my employer. In my initial contract, there was a clause which stated that after 90 days, I would be eligible to receive medical benefits. The literal wording is "After the first 3 months of employment (assuming you have not either quit or been fired), then... You will be eligible to receive medical benefits." I am being told that the phrase "eligible" means that they can give me, but are not required to give me any benefits described thus.

After completing the first three months of my contract, am I legally entitled to medical benefits, or is this up to employer discretion, as I am being told?

If anyone has good legal resources to point me towards, I would be happy to do my own research.
 


TheGeekess

Keeper of the Kraken
What is the name of your state (only U.S. law)? California

I have just finished an evaluatory period with my employer. In my initial contract, there was a clause which stated that after 90 days, I would be eligible to receive medical benefits. The literal wording is "After the first 3 months of employment (assuming you have not either quit or been fired), then... You will be eligible to receive medical benefits." I am being told that the phrase "eligible" means that they can give me, but are not required to give me any benefits described thus.

After completing the first three months of my contract, am I legally entitled to medical benefits, or is this up to employer discretion, as I am being told?

If anyone has good legal resources to point me towards, I would be happy to do my own research.
Pretty cut and dried. :cool:
 

cbg

I'm a Northern Girl
Eligible means whatever the plan document says it means.

If the plan document says that you are eligible after three months, then you are eligible after three months.

If the plan document says that you are eligible after three months subject to employer discretion, then the employer has some discretion.

NOTE: If there is a difference in wording between your hiring paperwork and the plan document, the plan document rules.

NOTE too: In 30+ years of administering employer benefits, I have never seen a plan document that gives an employer discretion and if asked, I would STRONGLY advise against it.

You are entitled by law to a copy of the plan document, which would tell you whether the employer has any discretion in this matter. Request one. (It may well be available online.) If, as is the case with 99.9999% of plan documents, the eligibility point is hard and fast, you do have legal recourse.
 

ecmst12

Senior Member
Generally it means you must be given the option to enroll. You are not required to enroll, but if you are now eligible, they are REQUIRED to give you what you need to sign up. And you only have 30 days from the date you become eligible to sign up, so you need to insist.
 

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