Understand important information about COBRA health insurance
If you were recently laid off, quit your job, retired from your job, or had your hours reduced, it is very important that you fully understand what COBRA insurance is. At it’s core, COBRA insurance allows you to maintain your health insurance after job loss for up to 18 months if you choose to sign up for it. With that said, many people are confused about what COBRA insurance really is, how it works, and what it means for them. Arming yourself with that information will be your first step to making a smart health insurance decision for you and your family. Use the information below, including common COBRA insurance myth, to deepen your understanding of COBRA coverage.
Many people believe that COBRA health insurance is a brand new health insurance plan offered through the government. However, COBRA isn’t an insurance policy at all. It is a law that allows a person and their family to continue to keep their health insurance coverage after being terminated or quitting from a job. With COBRA, you have the option to keep the exact same health insurance plan for 18 months in most circumstances at full cost. So although it is common for people to refer to their insurance as COBRA insurance, it is actually just a continuation of their previous policy. And because of that, with COBRA, your insurance policy will remain exactly the same. Learn more about COBRA insurance plans and coverage.
The truth is COBRA Insurance is a law That allows you to continue coverage
COBRA insurance continuation coverage is not only an option for the employee. COBRA insurance extends to any qualifying beneficiaries, which normally includes spouses and dependent children. That means that any person covered under the employee’s plan can choose to keep their exact same plan with COBRA, even if the employee chooses not to elect COBRA coverage. Learn more about COBRA insurance eligibility.
The truth is COBRA Insurance continuation applies to all qualified beneficiaries
Although COBRA insurance can be very expensive for many people, it isn’t always the most expensive health insurance option. In fact, for people with serious health needs and preexisting conditions, many times COBRA health insurance is actually the best option. Learn more about COBRA insurance costs.
The truth is COBRA Insurance may be the most affordable option for some
Many people think that once you sign up for COBRA insurance, you have to keep it for the entire 18 months for which you are eligible. Luckily, you can drop COBRA insurance at anytime. That means if you get another job, find alternate health insurance, or it just becomes too expensive, you can drop your coverage. Just let your insurance company know.
The truth is COBRA Insurance can be dropped at anytime
In fact, the COBRA insurance law was written so that most people would be eligible for coverage. Under the federal law, most people who work at a company with at least 20 full time employees, or their part time equivalent, will be eligible. Additionally, people are eligible if they lose their job voluntarily or involuntarily. That means if you quit your job or retire you are still eligible for COBRA. Learn more about COBRA health insurance eligibility.
The truth is most people are eligible for COBRA Insurance