diff --git a/components/benefit_sponsors/app/models/benefit_sponsors/benefit_sponsorships/benefit_sponsorship.rb b/components/benefit_sponsors/app/models/benefit_sponsors/benefit_sponsorships/benefit_sponsorship.rb
index 904c0665a22..091894a49f7 100644
--- a/components/benefit_sponsors/app/models/benefit_sponsors/benefit_sponsorships/benefit_sponsorship.rb
+++ b/components/benefit_sponsors/app/models/benefit_sponsors/benefit_sponsorships/benefit_sponsorship.rb
@@ -461,7 +461,7 @@ def overlapping_coverage_exists?(benefit_application)
     end
 
     def oe_extended_applications
-      benefit_applications.select do |application| 
+      benefit_applications.select do |application|
         application.enrollment_extended? && TimeKeeper.date_of_record > open_enrollment_period_for(application.effective_date).max
       end
     end
@@ -501,7 +501,7 @@ def dt_display_benefit_application
     end
 
     def off_cycle_benefit_application
-      recent_bas = benefit_applications.where(:aasm_state.ne => :canceled).order_by(:created_at.asc).to_a.last(3)
+      recent_bas = benefit_applications.where(:aasm_state.ne => :canceled).order_by(:created_at.asc).to_a.last(4)
       termed_or_ineligible_app = recent_bas.select(&:is_termed_or_ineligible?).max_by(&:start_on)
       return nil unless termed_or_ineligible_app
 
@@ -604,7 +604,7 @@ def carriers_dropped_for(product_kind)
       renewal_benefit_application.predecessor.issuers_offered_for(product_kind) - renewal_benefit_application.issuers_offered_for(product_kind) if renewal_benefit_application.present?
       late_renewal_benefit_application.predecessor.issuers_offered_for(product_kind) - late_renewal_benefit_application.issuers_offered_for(product_kind) if late_renewal_benefit_application.present?
     end
-    
+
     ####
 
     # Workflow for self service
@@ -624,7 +624,7 @@ def carriers_dropped_for(product_kind)
       state :suspended                        # Premium payment is 61-90 days past due and Sponsor's benefit coverage has lapsed
       state :terminated                       # Sponsor's ability to offer benefits under this BenefitSponsorship is permanently terminated
       state :ineligible                       # Sponsor is permanently banned from sponsoring benefits due to regulation or policy
-      
+
       # event :approve_initial_application do
       #   transitions from: [:applicant, :initial_application_under_review], to: :initial_application_approved
       # end
diff --git a/components/benefit_sponsors/spec/models/benefit_sponsors/benefit_sponsorships/benefit_sponsorship_spec.rb b/components/benefit_sponsors/spec/models/benefit_sponsors/benefit_sponsorships/benefit_sponsorship_spec.rb
index 81679da17af..9a6badd8b9f 100644
--- a/components/benefit_sponsors/spec/models/benefit_sponsors/benefit_sponsorships/benefit_sponsorship_spec.rb
+++ b/components/benefit_sponsors/spec/models/benefit_sponsors/benefit_sponsorships/benefit_sponsorship_spec.rb
@@ -1286,6 +1286,20 @@ module BenefitSponsors
       it_behaves_like "for off-cycle employer", "active", "enrollment_ineligible", nil, false
       it_behaves_like "for off-cycle employer", "active", "terminated", "draft", true
       it_behaves_like "for off-cycle employer", "active", "termination_pending", "draft", true
+
+      context 'employer has 1 draft and 2 expired applications after terminated application' do
+        let(:start_on)                    { TimeKeeper.date_of_record.beginning_of_month.prev_month }
+        let(:termination_date)            { TimeKeeper.date_of_record.next_month.end_of_month }
+        let!(:renewal_effective_period)   { termination_date.next_day..termination_date.next_day.next_year.prev_day }
+        let!(:effective_period)           { start_on..termination_date }
+        let!(:term_application)           { create(:benefit_sponsors_benefit_application, aasm_state: :termination_pending, effective_period: effective_period, benefit_sponsorship: active_benefit_sponsorship) }
+        let!(:canceled_app1)              { create(:benefit_sponsors_benefit_application, aasm_state: :expired, effective_period: renewal_effective_period, benefit_sponsorship: active_benefit_sponsorship) }
+        let!(:canceled_app2)              { create(:benefit_sponsors_benefit_application, aasm_state: :expired, effective_period: renewal_effective_period, benefit_sponsorship: active_benefit_sponsorship) }
+        let!(:draft_app)                  { create(:benefit_sponsors_benefit_application, aasm_state: :draft, effective_period: renewal_effective_period, benefit_sponsorship: active_benefit_sponsorship) }
+
+
+        it { expect(active_benefit_sponsorship.off_cycle_benefit_application).to eq draft_app }
+      end
     end
   end
 end