- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Health Benefits - New Policy on Spouses
Posted on 10/22/12 at 10:45 am
Posted on 10/22/12 at 10:45 am
My company just opened us up to annual enrollment and I was notified if my spouse has available health insurance benefits and chooses to stay on my plan I will have to pay a surchage/fee of $600/yr if I keep her on my insurance.
Couple other facts. When wife accepted the job she indicated she didn't need the benefits and its a small business so was used in her salary negotiation for more base pay. I do not believe it was ever put in writing, but it was agreed to verbally. Also, her insurance blows and is more expensive substantially - more than $600 - so going on her insurance is not an option even if her boss would allow it.
So couple of questions for the MB:
1. Is it legal to do this in Louisiana? I work from home for a fortune 1000 company based in Atlanta and there are a handful of remote employees at most in LA.
2. Since there was a verbal agreement when my wife took the position that she would not take benefits would that be enough to satisfy the requirement? And no I am not going to ask HR.
3. Should I just put she doesn't have health benefits available because there was a verbal agreement in place?
I am leaning towards option 3. There is no evidence requirement that I can find so I think the verbal agreement at least gives me something to stand on.
Thoughts?
Couple other facts. When wife accepted the job she indicated she didn't need the benefits and its a small business so was used in her salary negotiation for more base pay. I do not believe it was ever put in writing, but it was agreed to verbally. Also, her insurance blows and is more expensive substantially - more than $600 - so going on her insurance is not an option even if her boss would allow it.
So couple of questions for the MB:
1. Is it legal to do this in Louisiana? I work from home for a fortune 1000 company based in Atlanta and there are a handful of remote employees at most in LA.
2. Since there was a verbal agreement when my wife took the position that she would not take benefits would that be enough to satisfy the requirement? And no I am not going to ask HR.
3. Should I just put she doesn't have health benefits available because there was a verbal agreement in place?
I am leaning towards option 3. There is no evidence requirement that I can find so I think the verbal agreement at least gives me something to stand on.
Thoughts?
8
Posted on 10/22/12 at 11:05 am to sapo504
Pay the $600. Fifty bucks a month is not worth making an issue of it.
Posted on 10/22/12 at 11:08 am to Layabout
quote:
Pay the $600. Fifty bucks a month is not worth making an issue of it.
+1, lucky it is not $600/month
Posted on 10/22/12 at 11:35 am to sapo504
quote:
My company just opened us up to annual enrollment and I was notified if my spouse has available health insurance benefits and chooses to stay on my plan I will have to pay a surchage/fee of $600/yr if I keep her on my insurance.
We have a similar plan, but mine is $1800 a year. The wording is "comparable" so, you might want to check if yours states the same. I wouldn't play around with this. You don't want this hanging over your head if there is a large claim down the road.
Posted on 10/22/12 at 1:08 pm to sapo504
quote:
3. Should I just put she doesn't have health benefits available because there was a verbal agreement in place?
I am leaning towards option 3. There is no evidence requirement that I can find so I think the verbal agreement at least gives me something to stand on.
That would be insurance fraud, and, if they find out -- THEY ALWAYS FIND OUT WHEN BIG $$$$$'s ARE INVOLVED -- that could be the basis for them to deny coverage.
Your wife's "verbal agreement" has NOTHING WHATSOEVER to do with your company. Your wife was able to negotiate a higher salary. Use that money to pay for her insurance. Why the hell should your company pay for her insurance if she's eligible with her own employer?
This post was edited on 10/22/12 at 1:09 pm
Posted on 10/22/12 at 1:34 pm to CoolHand
No such luck on the language. The term is medical care only and nothing about comparable.
$1800 is crazy though.
$1800 is crazy though.
Posted on 10/22/12 at 1:52 pm to Newbomb Turk
My company is making it an issue so how can it have nothing to do whatsoever with my company? This is the first time in my 10 years out of college I have even heard that companies do this so sorry to expect that would stay the same. Also, my dad and mom both worked for years and always had insurance through my dad since it was better/cheaper and it was a BENEFIT of the job. My company doesn't have to pay for anything, but I don't have to continue working there if I choose either.
Of course rates STILL go up even with this new policy. They are just trying to cut costs which is fine, but that doesn't mean I should sit and take it and not explore the best options for me and my family.
Another option I am going to explore is to get a letter from her HR dept stating she is not eligible for health benefits before my open enrollment ends since consensus seems to be to just pay it. That way it's in writing.
Of course rates STILL go up even with this new policy. They are just trying to cut costs which is fine, but that doesn't mean I should sit and take it and not explore the best options for me and my family.
Another option I am going to explore is to get a letter from her HR dept stating she is not eligible for health benefits before my open enrollment ends since consensus seems to be to just pay it. That way it's in writing.
Posted on 10/22/12 at 2:15 pm to sapo504
quote:
Another option I am going to explore is to get a letter from her HR dept stating she is not eligible for health benefits before my open enrollment ends since consensus seems to be to just pay it. That way it's in writing.
I still wouldn't feel comfortable until the insurance company (under your employer) accepted this in writing. Health insurance isn't something to gamble with.
Posted on 10/22/12 at 2:36 pm to sapo504
quote:
This is the first time in my 10 years out of college I have even heard that companies do this so sorry to expect that would stay the same.
My company started doing four years ago. We actually have spouses who work for our competitors and since we offered better coverage, we were covering all of their spouses. So, we were subsidizing our competitors.
F*CK THAT.
If a spouse has the option at their employer for health coverage, then let them pay for their own damn employees.
It's like all those people in Uptown New Orleans who own $1 million houses but who have been paying property taxes on a $100,000 bogus appraisal. Don't B!TCH because your house is now being appraised CORRECTLY, just be thankful that you got away with it for all these past years.
ETA: And, BELIEVE ME, if she ever had a major illness that cost $$$$'s, the FIRST thing the insurance company will do is contact her employer and make sure that she didn't have the option to get coverage there. Then they'll deny your coverage and turn you in to the local authorities for insurance fraud.
This post was edited on 10/22/12 at 2:39 pm
Posted on 10/22/12 at 2:42 pm to sapo504
quote:
sapo504
quote:
My company just opened us up to annual enrollment and I was notified if my spouse has available health insurance benefits and chooses to stay on my plan I will have to pay a surchage/fee of $600/yr if I keep her on my insurance.
Couple other facts. When wife accepted the job she indicated she didn't need the benefits and its a small business so was used in her salary negotiation for more base pay. I do not believe it was ever put in writing, but it was agreed to verbally. Also, her insurance blows and is more expensive substantially - more than $600 - so going on her insurance is not an option even if her boss would allow it.
She negotiated on a higher salary w/no healthcare and based it on your costs staying static. So add her to your policy, eat the $600. It all works out in the end.
Her basis for the higher salary was evidently a dynamic variable you both didn't consider being dynamic. Ya'll were wrong but greater tradgedies have occurred. You sound like you're wishing life was more fair.
This post was edited on 10/22/12 at 2:44 pm
Posted on 10/22/12 at 5:19 pm to sapo504
quote:
My company just opened us up to annual enrollment and I was notified if my spouse has available health insurance benefits and chooses to stay on my plan I will have to pay a surchage/fee of $600/yr if I keep her on my insurance.
$600/year seems cheap. I'm on my wife's but it would be an extra $200/month on her plan if I offered it.
Posted on 10/23/12 at 12:19 am to Cdawg
This is my first post in Money Talk. Didn't know a calm board existed on TD. :coo:
Like everyone is saying, $600 is beans. It is an employer's market out there so the leverage is not in your favor. You said it earlier, but it hits home real hard when you hear it... as of 2012 (Obama is trying to change it), medical insurance is a benefit, not a right. Furthermore, employers have complete option as to the amount (%) that they contribute. The trend for the last 5 years has actually been to completely exclude spouses if they had availability of insurance!
My father in law (a medium sized business owner) recently had a a discussion with me that when the 2013 healthcare items go into effect, it would actually be cheaper on the employer to take the penalty than pay any share of healthcare coverage. But since their company is very successful right now, they want to take that burden off the employees.
It is a very profound time in our country's view on healthcare. There are pro's and con's to either side.
Like everyone is saying, $600 is beans. It is an employer's market out there so the leverage is not in your favor. You said it earlier, but it hits home real hard when you hear it... as of 2012 (Obama is trying to change it), medical insurance is a benefit, not a right. Furthermore, employers have complete option as to the amount (%) that they contribute. The trend for the last 5 years has actually been to completely exclude spouses if they had availability of insurance!
My father in law (a medium sized business owner) recently had a a discussion with me that when the 2013 healthcare items go into effect, it would actually be cheaper on the employer to take the penalty than pay any share of healthcare coverage. But since their company is very successful right now, they want to take that burden off the employees.
It is a very profound time in our country's view on healthcare. There are pro's and con's to either side.
Posted on 10/23/12 at 12:22 am to sapo504
quote:
...and I was notified if my spouse has available health insurance benefits and chooses to stay on my plan....
I think the answer here lies with your wife's company, and it may very well be "no". Seems your company is asking does your spouse (at this time) have available health insurance benefits? The fact that she had benefits available to her several years ago and whether they are available to her today are two different issues. Because it is open enrollment for your company, it doesn't necessarily mean that your wife's company will immediately offer the insurance benefits she turned down several years ago. I doubt that they would. If that is the case, then you shouldn't owe the $600 per year. If you would terminate employment at your company, then a "life's event" would have occured that would automatically make your wife eligible to be insured under her employer's health insurance but that hasn't happened.
quote:
1. Is it legal to do this in Louisiana?
Contact the Louisiana Department of Insurance. They can answer the legalities of the situation.
I would definitely get something in writing if her company will not allow her immediate coverage.
All of the above statements are subject to the new Health Act rules and regs which are constantly being updated (daily). The new Health Act could be the very reason your company is seeking new options insofar as covering spouses.
Several years ago, an employer with fewer than 50 employees terminated their (small employer) group insurance plan because the spouse of one of their employees became ill with lung cancer. The insurance agent then sold individual policies to all of the employees and spouses except for the employee who had a spouse with cancer. He was sold a policy. She was not. So I do feel it's better for employees to be covered under a large employer's plan....that may change, however, if the Health Act is not repealed.
The above is not to say I don't blame your employer to charge the extra $600 per year though, however, the legality of it is a good question to want answered!
Posted on 10/23/12 at 1:12 am to frb1951
I agree with frb. My spouse does not have insurance available to her, due to upfront negotiations, and we have the offer letter in hand stating that fact.
Posted on 10/23/12 at 10:01 am to frb1951
quote:
Seems your company is asking does your spouse (at this time) have available health insurance benefits?
Our language -- at least the form we are required to sign -- is much broader. It basically asks "Does your spouse's employer offer health insurance for its employees?"
I doubt very seriously if any employer puts some sort of ridiculous limitation like "is your spouse eligible AT THIS TIME to obtain health insurance from her employer." That would be stupid.
As long as she's eligible under the plan -- whether or not she agreed to VOLUNTARILY contract herself out of actual coverage -- will be the deciding factor. And, if you try to parse words ("is" really does mean "is" Dorothy) you will get burned in the long term -- regardless of the letter you may have from her employer.
quote:
I agree with frb. My spouse does not have insurance available to her, due to upfront negotiations, and we have the offer letter in hand stating that fact.
When it comes to this issue, I can assure you that your wife's offer letter is completely irrelevant. Voluntarily declining coverage has nothing to do with whether she's eligible for coverage.
This post was edited on 10/23/12 at 10:02 am
Posted on 10/23/12 at 12:46 pm to sapo504
You are complaining about 600 a year for your spouse? Seriously? I have to pay an additional 135 PER Bi-Monthly check for my son and when my wife was on my plan I paid 230 a pay check.
This post was edited on 10/23/12 at 12:47 pm
Posted on 10/23/12 at 1:24 pm to sapo504
This isn't relevant...but to include a spouse on our coverage, the premium for the spouse does not come out of my paycheck pre-tax for him. So we opted for him to have his own coverage which is pre-tax through his own employer.
I just had a large claim for my son who is on my insurance. After all was paid, the health insurance auditor contacted me asking about my husband's insurance coverage. If my son was also covered under his policy, then his policy should have paid because his birthday comes before mine in the calendar year. I told them my son was only covered under my policy, but they called and checked it out anyway.
You can bet the insurance companies hire people just to look for ways to get out of paying the claim. Don't risk it.
I just had a large claim for my son who is on my insurance. After all was paid, the health insurance auditor contacted me asking about my husband's insurance coverage. If my son was also covered under his policy, then his policy should have paid because his birthday comes before mine in the calendar year. I told them my son was only covered under my policy, but they called and checked it out anyway.
You can bet the insurance companies hire people just to look for ways to get out of paying the claim. Don't risk it.
Posted on 10/24/12 at 1:12 am to Breadcrumbs
My wife did not decline coverage. She accepted salary only and cannot opt for coverge.
Posted on 10/24/12 at 2:46 am to matthew25
quote:
My wife did not decline coverage. She accepted salary only and cannot opt for coverge.
Let me ASSURE you, that's a distinction without a difference. If the employer offers health insurance and she works the requisite hours to be eligible, YOU'RE SCREWED!
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News