Changing a company policy

[kris3186]

Hi everyone! It's been a long time and I had to go searching to find out where everyone landed. I'm a former HR Guru from the old AHI site, but I would use the term "guru" loosely since HR is not my main job.

So, here's my question...the company I work for has been paying 100% of the group health insurance premiums for all full-time employees and their dependents. As more and more of our twentysomethings are getting married, the company wants to look at having new hires pay 25% of the amount over the single rate to cover their dependents. However, they would like it to only apply to hew hires going forward and not the current employees. All current employees would continue to have their health insurance premiums fully paid. Are we on safe legal ground to make this new policy? I've tried googling this, but only stuff related to Obamacare comes up.

Thanks, everyone, and glad to find you!

Kris

 

[Betty3]

Hi. cbg currently works with employee benefits. Hold for her to come along - she most likely can answer your question. (unless someone else comes along who also knows employee benefit laws)

 

[cbg]

Hi Kris! Welcome back! Yes, you are able to grandfather existing employees onto the old premium plan and implement the new program on an ongoing basis. We did something similar (before I worked at my current job) for retirees; if they retired prior to 1996 they pay no premium, whereas anyone who retired in 1996 or later pays a sliding premium based on their years of service.

Talk to your insurance broker and/or legal counsel about what changes you may (or may not) have to make in your insurance plan documents - that I can't answer since I haven't read them. But the change itself is okay.