Can I be on my company’s insurance if work without pay?

UPDATED: May 31, 2012

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Can I be on my company’s insurance if work without pay?

I am a 33% owner in an LLC, taxed as an S-Corp. Our group health insurance requires that I work 17.5 hours/week to qualify for benefits. Can I work those hours but not take a payment for them while my other 2 partners continue to pay themselves?

Asked on May 31, 2012 under Business Law, District of Columbia


FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

From what you have written, I see no reason why you as an owner of the limited liability company cannot be on your company's health insurance plan if you work the required hours but do not receive compensation at this time due to cash flow issues.

I suggest that you work the hours you normally work and end up with vouchers for future payment for your services and get paid when the cash flow gets better for the business. Getting health insurance benefits should be the least benefit that you get since you are not being paid for your services.

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