Legal Question in Employment Law in California
Termination of Medical Insurance without notification by the employer
My employer was providing me with medical insurance from the time I joined. I got married and my spouse was also covered under the medical insurance. I resigned from the company in July
To our shock, we discovered in August that the company had terminated our medical insurance since June without
A: Notifying its employees about the termination of medical coverage
B: Arranging for another insurance carrier.
On the contrary the medical insurance premium was deducted for each pay-period for the terminated months i.e. June and July.
Based on the misguided understanding of being covered for medical, we incurred expenses to the amount greater than $6000 between the time period that the contract had been revoked and my resignation from the company.
We have been trying to work with the company since August 2002 to resolve this issue. We have, through email, and phone tried to contact the company on several occasions. However, we have not been successful in getting this issue to a resolution.
Also, the collection agencies are harassing my family on a daily basis for these bills.
3 Answers from Attorneys
Re: Termination of Medical Insurance without notification by the employer
The employer is probably liable for the expenses because of the deductions without providing the coverage. Contact me if interested in discussing your remedies and costs, etc.
Re: Termination of Medical Insurance without notification by the employer
Concur with Mr. Nelson's response. You have a cause of action against your former employer for cancelling your insurance coverage without notice. Your employer is likely responsible for covering your incurred medical costs, as well as negotiating with your prior insurance carrier for COBRA coverage for you from the date of your resignation, should you desire to pay for such coverage. Demand that you prior employer rectify this situation.
Re: Termination of Medical Insurance without notification by the employer
As you can tell from the responses, you have rights here and you should exercise them. You should consult with either the labor board or an employment attorney to seek redress for your costs-Martin