COBRA (the Consolidated Omnibus Budget Reconciliation Act) is a federal law that allows employees and their families to continue their health insurance coverage when they lose their job or if their hours are reduced. COBRA coverage is temporary and usually lasts for up to 18 months.

Who is eligible for COBRA?

You may be eligible for COBRA if you lose your job or have your hours reduced involuntarily. You must also have been covered by an employer-sponsored group health plan for at least 18 months before losing your job or having your hours reduced.

What does COBRA cover?

COBRA coverage is identical to the health insurance coverage you had before you lost your job or had your hours reduced. This means that COBRA will cover the same services, have the same deductibles and copayments, and have the same network of providers.

How much does COBRA cost?

The cost of COBRA coverage varies depending on the plan. However, you will typically be responsible for paying the full cost of the premium, plus an administrative fee. The cost of COBRA coverage can be significant, but it may be your only option if you want to keep your health insurance coverage.

How do I get COBRA coverage?

If you are eligible for COBRA, your employer must send you a notice within 44 days of losing your job or having your hours reduced. The notice will explain your COBRA rights and how to enroll in coverage. You have 60 days from the date you receive the notice to enroll in COBRA coverage.

What are the benefits of COBRA?

COBRA provides temporary health insurance coverage for people who have lost their job or had their hours reduced. COBRA coverage is important because it can help you to avoid a gap in your health insurance coverage. A gap in coverage could mean that you have to pay for medical expenses out of pocket, which can be financially devastating.

What are the drawbacks of COBRA?

The cost of COBRA coverage can be significant. Additionally, COBRA coverage is only temporary and will end after 18 months. If you are eligible for another type of health insurance coverage, such as Medicaid or Medicare, you may want to consider switching to that coverage instead of COBRA.

If you have any questions about COBRA, you should contact your employer or a health insurance agent.