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t.best · Mar 10, 2010, 02:38 PM

Our company provides Family Health Insurance paid in full by the company. We have one employee that wants to drop their insurace for houry pay. He has NO other insurance other than what is provided by our company. I advised against this idea, but he wishes to proceed. Before I bacame President, my wife had insurance through her work and I opted to take pay instead of double insurance, but this is the only insurance this employee has and they have three children ranging from 15 to 5. When I took the pay over the insurance, I was only paid a percentage of my premimums, I think it was 90%. Is this still acceptable? HELP!

tickle · Mar 10, 2010, 02:44 PM

I don't think you can do that, give him pay in lieu of health insurance. How do you calculate that out. It sounds to be irregular and might possibly come back to bite your butt, should you could do that. I mean, if he needs to have surgery and doesn't have access to compensation, he may blame you.

I would talk to your legal department, or your company attorney before you give him answers.

Something fishy going on here.

Tick

t.best · Mar 10, 2010, 03:03 PM

See, I agree. He is being pressured by his Ex for increased support, but then he wouldn't have any coverage on the children either.? I have a call into legal. I'll up-date you when I hear.

Originally Posted by tickle

I dont think you can do that, give him pay in lieu of health insurance. How do you calculate that out. It sounds to be irregular and might possibly come back to bite your butt, should you could do that. I mean, if he needs to have surgery and doesnt have access to compensation, he may blame you.

I would talk to your legal department, or your company attorney before you give him answers.

Something fishy going on here.

tick

tickle · Mar 10, 2010, 05:46 PM

Originally Posted by t.best

See, I agree. He is being pressured by his Ex for increased support, but then he wouldn't have any coverage on the children either.?! I have a call into legal. I'll up-date you when I hear.

So now it becomes clear, he needs more money to fulfil his obligations, under pressure. He is not a smart person or he would realize he would be better served by health coverage for dependents. Alternative is giving up health coverage, and paying extra for support and medical care.

Tick

ScottGem · Mar 10, 2010, 05:53 PM

First, it is not your company's place to advise any employee in this manner. That being said, unless your company's plan provides for such an opt out, then its not an option. Health insurance is not a right, its provided by employers to attract and retain their employees. While I have heard of some companies that will pay employees the employer contribution to the plan if they opt out, that is the exception, not the rule. Also, if you provide this option for one employee, you need to apply it to all employees. I would just tell him, that he can opt out, but he won't get any additional compensation for it.

Fr_Chuck · Mar 10, 2010, 07:28 PM

It is only your companys place to have a rule.

Is this available, I have never worked for a company that would allow this. So normally this can not be done.

So you can't try and tell him what he should or should not do, only either say it is possible or not possible.

t.best · Mar 11, 2010, 03:05 PM

Hi Tick, Scott, and Fr_Chuck,
I thought it over and had a meeting with this employee this morning. I strongly suggested that this wasn't really an option to take with children in the mix.
To back up a little, our previous owner offered this to another employee, but that employee had other insurance available. I was also offered this option and took advantage of the offer, but again, I had other insurance. This employee has no back-up to health care and three children. Again, I let him know that this wasn't really an option for him. Thanks to one and all!

t.best

ScottGem · Mar 11, 2010, 04:57 PM

Originally Posted by t.best

Hi Tick, Scott, and Fr_Chuck,
I thought it over and had a meeting with this employee this morning. I strongly suggested that this wasn't really an option to take with children in the mix.
To back up a little, our previous owner offered this to another employee, but that employee had other insurance available. I was also offered this option and took advantage of the offer, but again, I had other insurance. This employee has no back-up to health care and three children. Again, I let him know that this wasn't really an option for him. Thanks to one and all!

t.best

Sorry but you are wrong in doing so. Since the option has been offered to other employees, it MUST be offered to all. You can SUGGEST to the employee that it may not be the best for him, but you are not responsible, nor do you have any call to regulate an employee's personal affairs. You have painted yourself into a corner here. By counseling the employee as you have, you have opened yourself and your company up for a law suit. Hopefully the employee won't realize this. Doesn't your company have an HR department to advise you?

tickle · Mar 11, 2010, 05:16 PM

I am glad he made his own decision over this and I guess he is happy with it. I don't think he has a very big concern, maybe just enough employees to warrant some kind of health care plan. Here in Ontario its, I think, 24 or more a small company can offer health care options payroll deductions to their employees, anything under that, then they don't get additional benefits, just the regular OHIP options.

Tick