Dependent Audit Responses
A Plan participant’s response to the Dependent Audit will result in a specific ‘status’. Below are the definitions of each status.
Complete
A Plan participant who responds to the audit and provides all required documentation will be marked as ‘complete’. A complete response can include the validation of all dependents, the removal of all dependents, and/or the removal of some, dependents.
Insufficient Response
A response which includes some, but not all, documentation to validate dependents is considered an insufficient or incomplete response. A response may include the instance of some dependents being verified and another remaining in an open or partial status.
Voluntary Termination
When a Plan participant elects to remove a dependent from coverage at any point in the audit process, he/she does not have to provide further documentation. Voluntarily removal of dependents may occur during the Verification Phase. Depending on the reason and date the dependent became ineligible the individual may be entitled to receive COBRA benefits.
Involuntary Termination
When a plan participant submits documentation in an attempt to validate a dependent but the documentation actually indicates a dependent is ineligible that dependent will be dropped from coverage. For example, an employee who indicates he or she cannot provide a marriage certificate because the couple is considered to be “common law married” would fall into this category. Depending on the reason and date on which the dependent became ineligible, the individual may be eligible to receive COBRA benefits.
No Response
Employees who do not respond to the audit will have their dependents removed from coverage at the conclusion of the audit process.
