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Employers Reminded of Responsibilities to Reservists. (Short Takes News at Deadline).

As members of America's military reserves are called to active duty, employers around America are being reminded of their obligation to continue to provide group health insurance for those servicemen and women and their families serving our nation.

Under the Uniformed Services Employment and Reemployment Rights Act (USERRA) of 1994, a group health plan must provide up to 18 months of continuous health coverage to employees on uniformed service leave.

This coverage also applies to any of their dependents that were covered under the plan at the commencement of the employee's leave. In contrast to COBRA and CalCOBRA, USERRA applies to all employers regardless of their size.

USERRA states that if the period of military service does not exceed 31 days, the employer may charge the employee for coverage only to the extent that the employee would have been charged if employed.

If the leave period exceeds 31 days, the employer may charge up to 102 percent of the full premium for coverage under COBRA and 110 percent of the full premium under CalCOBRA.
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Author:Hawkins, James A.
Publication:Physician Executive
Article Type:Brief Article
Date:Nov 1, 2001
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