Question
What is the name of your state? I recently started work at a small company in Oregon. While I was filling out the necessary paperwork, the HR director informed me that $125 a month would be deducted from my pay for health insurance. The provider being a large health insurance company. She went on to say that this was mandatory unless I had insurance already, that the plan the corporation was using required all employees to sign up or show proof of continued coverage. Is this even legal?
Answer
Yes, this is legal. It is not unusual with small companies for it to be written into the contract that all employees will be covered unless they can produce proof of other coverage. This is a protection against an employee failing to sign up for coverage until they have a major claim and thus driving up the risk pool.