What is COBRA?
COBRA (Consolidated Omnibus Budget Reconciliation Act) is a federal law that allows eligible employees and their covered dependents to continue their group health insurance coverage for a limited period after losing coverage due to certain qualifying events.
You may be eligible for COBRA if you experience one of the following qualifying events:
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Voluntary or involuntary job loss (except for gross misconduct)
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Reduction in hours that results in loss of benefits
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Transition between jobs
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Death of the covered employee (for dependents)
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Divorce or legal separation (for dependents)
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Dependent child aging out of plan eligibility
Under COBRA, you can continue the same group benefits you had while employed, which may include:
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Medical insurance
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Dental insurance
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Vision insurance
You have 60 days from the date of your COBRA election notice to choose whether to continue your health coverage. Once you elect COBRA, you have 45 days to make your initial premium payment. After that, monthly payments must be made on time to maintain coverage, as late or missed payments may result in cancellation.
How long does COBRA coverage last?
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18 months – for most job loss or reduction in hours
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29 months – if the beneficiary is disabled (as determined by the SSA)
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36 months – for dependents due to divorce, death, or loss of dependent status
You are responsible for the full premium amount, plus a 2% administrative fee.
What does COBRA insurance cover?COBRA insurance coverage is generally identical to the coverage you had prior to the qualifying event.
How do I know if I'm eligible for COBRA?
Inquire with us to review your eligibility --> EOR@ideal.com