non payment of cobra premiums

dynamite9551

when an employee fails to make the necessary monthly payment for continuation od health/dental coverage and has gone beyond the "grace" period, am i required to advise the employee that the coverage has terminated?

thanks!

LindaS

The new proposed COBRA regulations state that a notice needs to be sent to a participant in the event that coverage is terminated prior to the expiration of their continuation date but the current regulations don't require it. That being said, I always send a notice so the participant is aware that they no longer have coverage as well as the date on which their coverage was canceled. The HIPAA certificate gives this information as well but I usually do a short letter explaining WHY their coverage was terminated.