Terms of Use 
 

COBRA: Continuation of Benefits

COBRA ensures that a job loss doesn't immediately lead to a loss of healthcare. However, the process is governed by strict federal clocks that you must monitor closely.

The 30-Day Employer Clock Your employer must notify the plan administrator within 30 days of your last day of work or reduction in hours.
The 14-Day Administrator Clock The plan administrator then has 14 days to mail your COBRA election packet.
The 60-Day Election Clock You have 60 days to elect coverage. This starts from the date the notice was mailed or the date your coverage ended, whichever is later.

Don't Wait Until Day 60

COBRA is retroactive. If you elect coverage on day 59, you must pay all premiums back to the date your original coverage ended. This often results in a very large "catch-up" bill for the first month.

Independent Rights for Family

Qualified beneficiaries (spouses and children) have an independent right to choose COBRA. If a child has an ongoing medical treatment but the parent finds cheaper insurance elsewhere, that child can remain on the COBRA plan alone.

Pro-Tip: Before committing to COBRA, compare the cost against the Health Insurance Marketplace. Losing your job is a "Qualifying Life Event," and you may be eligible for subsidies that make Marketplace plans significantly cheaper than the full-price COBRA premiums.