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COBRA coverage debatable after firing for misconduct

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in Firing,Human Resources

Employees who lose their jobs are generally entitled to continuation health insurance if they were previously covered by a group plan. But that’s not true if they were fired for misconduct. Employers that want to deny COBRA coverage should be prepared to prove misconduct.

Recent case: Daniel was fired when a co-worker accused him of various offenses including inappropriate sexual conduct. He then got COBRA insurance forms and filled them out, only to learn that his employer alleged he wasn’t eligible because he had been fired for misconduct.

He sued, alleging that he should have a chance to disprove the allegations, receive a list of alleged misconduct and pursue an appeal with the plan administrators. The court agreed he had that right. (Levi v. H&R Block Health, et al., No. 12-CV-8787, SD NY, 2016)

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