HR Fast Facts: Can Employees Decline Health Insurance and Enroll Later?

Employees who want to decline health insurance coverage may do so, but must be absolutely sure of their decision before choosing to decline. Those who choose to decline coverage during initial enrollment will not be covered under their employer's insurance plans or pay any premium deductions. They can only enroll in coverage outside of their eligibility window during a company's open enrollment period or in the event of a qualifying life event (QLE).

Making changes outside of open enrollment

Changes can only be made to insurance status if employees have undergone a QLE. Examples of QLEs include getting married, giving birth, adopting a child, or a change in your spouse’s insurance coverage status. After having a qualifying life event, employees can enroll or make changes to their insurance within 30 days.