We have received numerous questions about how to handle various employee benefits issues with the many changes brought about by COVID-19 and insurance plans. At this point there are no government, or carrier guidelines (Carriers are waiting to hear from the government) on these issues. Some of the concerns our clients have expressed are listed below, but again, we have no definitive answers. We will update you as soon as information becomes available and do anticipate leniency from all parties.

• If due to COVID-19 an employee’s hours are reduced below full time, can they remain eligible for health insurance?

• With reduction of hours must we keep them on the plan?

• If an employee is furloughed, or quarantined due to COVID-19 can they stay on the insurance?

  • In the above case, must the employer continue their premium contribution?

  • How do we (can we) still collect the employee’s contribution if they are not being paid?

• What do we do about FSA contributions if an employee is not working and being paid?

• Can an employee stop, or change their FSA contribution?

• If an employee is not working, and therefore not needing childcare, can they stop their dependent care FSA contribution?

All of these questions and many more are extremely valid and important. We will update you the moment we have clarification from the government and our carrier partners. In the meantime, our Team is currently still working from our office to address any questions, or service issues you may have. We have made arrangements for Team members to work from home in full capacity should a shelter in place order be given.

- The Peters & Milam Team

Blog Image Via Children’s Hospital Of Los Angeles

As always, if you have any questions or if we can help in any way, please reach out!
Call us at (805) 687 - 3225, or send us an email at info@petersmilam.com. We can't wait to hear from you!

-Dave Peters & Steve Milam