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Headcounts Matter

Headcounts Matter

Employers often wonder if they are required to offer COBRA. Typically, that answer is yes.  Nearly all groupCOBRA Checklist Audit List health plans of employers must comply with COBRA regulations.  However, there are a few exceptions.  Federal government plans and certain church plans are not subject to COBRA.  Small employers are also exempt, but one needs to be careful when determining its size.  If the employer had less than 20 employees on a typical business day during the previous calendar year, they may be exempt.  All employees must be counted, including part time.

Let’s say an employer has consulted with legal counsel and done the calculations to determine they are indeed exempt from COBRA. Hurray!  Less to worry about.  However,  the employer needs to be aware of any state continuation coverage laws that may apply.  If COBRA seems daunting, let us help!  Give us a call at (800) 865-4485 today.

 

Posted 3/14/17

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