COBRA Information

Is COBRA your best option for health insurance?

COBRA is one of many options for insureds who lose their group health insurance coverage.  COBRA offers terminated employees the same health plan an employer offers to its currently employed employees.  Most employers do not pay any portion of the insurance premium for terminated employees.  Therefore a person accepting COBRA, will pay the full cost of the health insurance without any subsidy from the employer.

COBRA is available from employers with more than 20 employees.

State Continuation is available from employers with 20 or fewer employees.

There are two preferable options instead of selecting COBRA:

• Short Term Health Insurance
  • Easily issued policy
  • Low cost
  • Short term coverage
    
• Individual Health Insurance
• Low cost
• Permanent coverage
• Flexibility and choice in plan design

	Month 1	Month 2	Month 3	Month 4	Month 5-18
Qualifying event occurs. Employer must send out the COBRA QE notification within 14 days of being notified.	(Notification) 14 Days
COBRA beneficiary has 60 days to elect COBRA.	(Decision) 60 Days
COBRA beneficiary has 45 days to pay the COBRA initial premium.			(Payment) 45 Days
COBRA beneficiary has 30 day grace period to pay the monthly COBRA premium.					(Mo. Premiums) 30 Days