Employers keep group health coverage going during FMLA leave.
During FMLA leave, employers must maintain group health coverage on the same terms as if the employee were working. Employees generally still pay their share of the premium.
What the FMLA requires for group health coverage
The Family and Medical Leave Act requires covered employers, generally those with 50 or more employees, to give eligible employees up to 12 weeks of job-protected leave in a year for certain family and medical reasons. During that leave the employer must maintain the employee’s group health coverage under the same conditions as if the employee had continued to work.
That means the same plan, the same employer contribution, and the same eligibility. The employee remains responsible for the employee share of the premium. If the employee does not pay, the employer may be permitted to end coverage after a grace period and written notice, and the employee may be offered COBRA.
The employee’s right to coverage ends when the leave ends. An employee who does not return may be asked to repay the employer’s share of premiums in some situations, though there are exceptions, including when the reason is a serious health condition.
We help employers build a leave procedure that covers notices, premium collection, and reinstatement when the employee returns. Because the rules turn on the facts, employment counsel should confirm the approach.
What to decide and where it connects
Plan Premium Payments
How employees pay their share while out.
Eligibility and Leave
Keep leave from changing eligibility.
Read the Parent Guide
FMLA rules for Michigan employers.
Questions about this topic
Do we have to keep health insurance during FMLA?
Yes, for eligible employees on FMLA leave, on the same terms as before.
Does the employee still pay premiums?
Generally yes, their normal share. The employer sets how it is collected.
What if the employee does not return?
There are rules about recovering premiums in some cases. Confirm with your employment attorney.
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