Cobra

What is the name of your state?ILL
March 18, 2005
Dear Sir/Madam:
I was employed from May 24, 2004 to March 2, 2005, at my brother's company, US WorldWide Title Services in DesPlaines. There was a hostile takeover March 2nd by the investors who wanted to sell the company to their relatives. On that date my sister and I were fired as well. There was no complaint of our work. I worked long and hard, averaging 45 hours a week, because I wanted the business to succeed for my brothers. Since our termination, the company has denied us our last checks covering over 13 days.
And today, March 18, 2005, my sister and I received a letter stating our Health Insurance Coverage (UnitedHealthCare) was terminated as of February 28, 2005. Prior to the date of our termination! However, my brothers (one president, the other an officer of the company) and others that were fired received Cobra information. I had contacted the insurance company on March 16, 2005, and they assured me I was covered, so I went to my previously scheduled doctor's appointment March 17. My sister had seen her doctor March 7th.
I contacted the insurance company today and they informed me that the employer retroactively canceled the insurance, through a Mr. Robin Comeco. She explained the company had the right to do this, but that they also had to inform us of the cancellation in advance. We were never informed. We certainly do not believe we should be stuck with the doctor's bills under these unfair circumstances.

Please inform us of our next legal step.
Sincerely,
[email protected]


FYI: And as far as I know there are at least 5 ex-employees who are also being denied their last paychecks.

As I have already told you in one previous post AT THE PRESENT TIME no laws have been violated with regards to COBRA. The employer has up to 44 days to notify you of your rights to COBRA. You CANNOT make a complaint until 44 days have passed since the termination of your benefits. It doesn't make any difference how many other employees have already received their notice; the employer is still within the legal notification period. Until the legal notification period is up you are just going to have to wait. IF AND ONLY IF you do not receive your COBRA notification within 44 days of the February 28, you can file a complaint with the Federal DOL. You CANNOT do so until 44 days have passed.

It is NOT illegal for an employer to terminate coverage before COBRA notification has been sent; in fact, it is SOP. You will have 60 days from the day you receive your notification to elect COBRA; from the day you elect it you have 45 days to send them the first payment. They have NO legal obligation to reinstate your coverage until they have your check in their hands. However, once they do have your check, they MUST reinstate it retroactively to the first day coverage was cancelled. That means that once you have made your first COBRA payment, your coverage will be reinstated effective March 1, 2005 and the bills in question will be covered.

This is the same answer I gave you the first time you posted this question and it is the same answer you are going to get no matter how many times you ask it. The answer is NOT going to change. By law the employer has 44 days to notify you of your right to COBRA coverage - they have not violated any laws with regards to COBRA as of today.

The employees who have not received their final paychecks are at liberty to complain to the Illinois Department of Labor; however this does not in any way change the answer to the COBRA question.