It is not uncommon for a terminated employee to be rehired at a later date. If that happens in the same year, first document the termination, and then add the rehire details:

 
  • Term Date & Hire Date: Make sure there are no overlaps. The Term Date in the first line must be earlier than the Hire Date in the second line.
  • Coverage Type Dates: Make sure there are no overlaps. The Coverage End Date in the first line must be earlier than the Coverage Begin Date in the second line.
    • End Date: The initial Coverage End Date (first line) will vary depending on whether benefits are extended through the end of the month or end immediately.
    • Begin Date: The new Coverage Begin Date (second line) will vary depending on whether your company requires a waiting period in rehire scenarios.

 

 

If your company is self-insured, and the employee elected COBRA after the Termination, you also need to capture that information:

 
  • Term Date & Hire Date: The Term and Hire Dates in the first two lines should match, since they refer to the same period of employment. The third line refers to their new employment, so the Hire Date should be later than the previous Term Date.
    • NOTE: If there are additional lines from the original employment period (ex. Employee moved from FT to VH), the Term Date should be included in ALL lines prior to the rehire.
  • Coverage Type Dates: Make sure there are no overlaps. The Coverage Begin Date for each new line should be later than the Coverage End Date in each preceding line.
    • End Date: The initial Coverage End Date (first line) will vary depending on whether benefits are extended through the end of the month or end immediately.
    • Begin Date: The rehire Coverage Begin Date (third line) will vary depending on whether your company requires a waiting period in rehire scenarios.

Note: In this example, the employee continued COBRA until the end of their rehire waiting period, so there was no gap in coverage. If they ended COBRA before then, the Line 2 Coverage End Date should be updated to reflect their gap in coverage. 

 

Next Step: The Scenario Spreadsheet



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