Departmental Human Resources Managers & Generalists: Leave of Absence Premium Overpayment

Timely action is required to formally put the employee on leave. If an employee is showing as active at the time of the monthly payroll deadline, the department will be charged for the following month’s premiums. Once charged, premiums are not refundable unless they are refunded automatically through the consolidated billing process. If UC is refunded the premium by the insurance company, then the department is also refunded.

To avoid this problem, departments must

  1. Place the employee on leave in HCM in a timely manner
  2. Take an active role in assuring that employees going on leave take the appropriate measures to continue or cancel coverage during the leave.

If the leave is Family and Medical Leave (FMLA), the department must notify Payroll Benefits so that the University premium can be maintained during the FMLA period.