I got a letter from my health insurance carrier saying my coverage was being terminated as my employer did not pay the premium for the last three months. However, They have taken the premium's out of my paycheck every pay period and they show it on the check. The insurance company also says I will be liable for any services they paid for during this period. What can I do.
2007-06-18 04:34:25 · 5 answers · asked by terri doesn't know 1 in Business & Finance ➔ Insurance
Unfortunately, the contract with the insurance company is with your employer and so if premium was not paid then the contract will cancel and no benefits can be paid after that time. Your issue is with your employer - what did they do with the payroll deductions if it wasn't paid to the insurance company? If they are unable to pay back premium and have the policy reinstated, then do they have a plan in place to provide health insurance back to that cancellation date? If not, they owe you the payroll deductions back and you will need to acquire insurance on your own. I would consider this a BIG red flag that your employer is not doing well financially or, at best, the benefits department is incompetent (neither is a good thing for employees). If your employer continued to take payroll deductions after they knew the policy was terminating and didn't notify employees, then I wonder if they aren't somehow implying coverage and might be forced to pay your medical bills - but I'm not a lawyer and don't know the answer to this. Good luck!
2007-06-19 07:21:09 · answer #1 · answered by May 3 · 0⤊ 0⤋
You need to go to the state department of labor. Your employer owes you the money back. YOu might end up having to sue them.
Yes, the insurance company is NOT required to cover services if the policy is NOT active. Those are two seperate transactions.
Two big recommendations here: 1. Go to an independent agent, and immediately get yourself some health insurance - even if it's just a major medical policy. 2. Start your jobsearch. They aren't paying the insurance company now, pretty soon the paychecks will start bouncing. Not paying benefits premiums is USUALLY an early sign of a company going under. You need to bail as soon as possible.
2007-06-18 14:25:30 · answer #2 · answered by Anonymous 7 · 3⤊ 1⤋
You need to talk with your Human Resources deparment or whoever handles the insurance premiums being paid. Hopefully this is just an error and lack of communication. If the company did not pay the premiums you need to contact the department of labor for your state, as this is a criminal issue on the part of your company, they have stole from you and possibly others.
2007-06-18 17:09:16 · answer #3 · answered by Anonymous · 1⤊ 0⤋
First go check with your HR person - some plans are so picky that if they get the payment one day late, they cancel the policy. Most times it gets re-instated when they get the payment, but it's a headache all the way around!
2007-06-18 12:18:28 · answer #4 · answered by zippythejessi 7 · 0⤊ 2⤋
You have a legal context here, However your going to have to first ask why your company failed to make the payment.. go from there with that information./
2007-06-18 11:37:54 · answer #5 · answered by Ron N 5 · 2⤊ 1⤋