Leave Can Be An Accommodation, And The Health Plan Has To Keep Up.
Unpaid leave is among the most common ADA accommodations. If it overlaps FMLA, sick time or short-term disability, the employer has to line up the notices, the coverage rules and the plan’s eligibility terms.
How Leave And Plan Eligibility Fit Together.
Unpaid leave under the ADA touches several overlapping rules. This page is general information, so confirm the current text.
Leave As A Reasonable Accommodation
Leave beyond what the employer already offers can be required as an accommodation unless it causes undue hardship, judged case by case.
No-Fault Leave Policies
A policy that ends employment after a fixed leave period without any review can violate the ADA when it ignores a request for more leave.
Benefits On The Same Terms
Benefits for an employee on accommodation leave follow the same terms that apply to comparable employees on similar leave.
Keeping Coverage Consistent.
FMLA gives eligible employees up to 12 weeks of job-protected leave while the employer keeps their group health coverage in place on the usual conditions. Extra time off granted under the ADA after FMLA ends is outside that coverage rule, which leaves the plan’s eligibility terms and the employer’s leave policies to determine coverage.
Write into the plan document how long coverage lasts during approved leave, who pays premiums and what changes when the leave ends, then apply those terms uniformly to comparable leaves rather than only to employees with disabilities.
The ADA allows insurance plans to classify risk in good faith, but the plan cannot be used as a subterfuge to evade the ADA. When coverage ends for any reason, COBRA may be offered, so the notice process needs to be ready.
Where this shows up in your plan.
FMLA Premium Rules
During FMLA leave the employee pays the share they paid before, and the employer can recover its share only in limited cases.
Coverage When Leave Continues
After FMLA, the plan eligibility rules decide. The employer should check the plan and carrier terms before the leave begins.
COBRA At The End
If coverage ends because the leave runs out or employment ends, COBRA notices may be due.
Setting it up.
Identify whether the leave is covered by FMLA, state sick time law, the ADA or more than one.
Confirm in writing the leave dates and what happens to coverage and premiums.
Check the plan document and carrier for the maximum leave allowed for eligibility.
Consider extended leave as an accommodation before ending employment.
Get COBRA notices ready in case coverage lapses.
Mistakes to avoid.
Applying a fixed maximum leave policy with no review for accommodation.
Cancelling coverage without checking plan terms or notice duties.
Treating employees with disabilities differently from others on comparable leave.
Failing to coordinate FMLA and ADA leave dates.
Other rules employers work with.
Accommodation Duties Overview: ADA and Religion
Back to the main accommodation guide.
FMLA Rules for Michigan Employers
Eligibility and benefits during leave.
Michigan Employer COBRA Guide
Deadlines, notices and common errors.
Laws and Rules Referenced
Prohibited discrimination under 42 U.S.C. 12112 (ADA) — Duty to accommodate and the standard of undue hardship.
Insurance and benefit plans, 42 U.S.C. 12201 — ADA treatment of insurance risk classification and bona fide benefit plans.
Health benefits maintenance, 29 U.S.C. 2614 — The FMLA rule that group health coverage continues during leave.
EEOC reasonable accommodation enforcement guidance — Leave as an accommodation and no-fault policies.
Quick answers.
Brief replies about accommodation leave and health coverage, each linked to the full guide.
Is extra leave beyond FMLA required?
It can be, as a reasonable accommodation, unless it causes undue hardship.
Do we keep paying for health coverage during ADA leave?
The plan terms and the employer’s leave policy decide, applied exactly as for comparable leaves. During its 12 weeks FMLA brings its own coverage rule.
Can we end employment when leave runs out?
Not automatically. Consider whether more leave or another accommodation is reasonable before ending employment.
When does COBRA apply?
When coverage ends because of termination or reduction in hours, subject to the plan and employer size.
More guides in this series.
Reasonable Disability Accommodation Under the ADA for Michigan Employers
A companion guide in the same series.
Religious Accommodation Under Title VII and Michigan Law
A companion guide in the same series.
The ADA Interactive Process for Michigan Employers
A companion guide in the same series.
ADA, GINA and Wellness Program Rules for Michigan Employers
A companion guide in the same series.
Reassignment, Modified Schedules and Reduced Hours as ADA Accommodations
A companion guide in the same series.
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