Insurance Benefits Canceled Due To Termination

[JohnErick]

What is the name of your state (only U.S. law)? CA

Hi. I was terminated from my job on Friday May 21, 2010. I was told at that time that my insurance benefits terminated at midnight that night (May 21). When they gave me my check, they had deducted the second monthly half of my payment for the month's benefits under the group plan. Are they allowed to do this since I paid my part in full for May?

Also, there was no mention of COBRA at all. I can't see how I would be able to effect COBRA if I literally had 8 hrs to do so, having insurance terminated that night. This is the first time I've been fired, so I have no clue. In the past, with all layoffs, they gave us COBRA info at the time we were laid off, and our insurance typically was in effect until the end of the month.

Thank you for any advice.

 

[cyjeff]

They have 45 days to get you the COBRA paperwork. At that time, if you pay, you will be reimbursed for any charges incurred between now and then.

 

[cbg]

You're assuming that premium payments roll forward. Everywhere I've worked for the last ten years, and where my husband works, premium payments roll backwards. So a deduction taken at mid May would not be for the second half of May, but for the first half.

You might want to confirm what time period the deduction ACTUALLY covers.

The law does not require them to give you COBRA information at layoff. They have up to 44 days (not 45, sorry, cyjeff) to get it to you, and they are legally allowed to cancel your insurance until they receive your first check. (You have 60 days from the time you receive notice to enroll, and 45 days from the day you enroll to send your first check.) But COBRA is always always always always always and by statute retroactive to the date of cancellation, so if you elect COBRA you won't lose any coverage.