What Is COBRA?
The Consolidated Omnibus Budget Reconciliation Act (COBRA) allows many employees and their families to temporarily continue their group health plan coverage after certain serious life events that would otherwise have resulted in loss of coverage. Generally, COBRA covers group health plans sponsored by employers with 20 or more employees. COBRA continuation coverage may apply if you lose your health coverage because your employment was terminated, your hours were reduced, or you were on your spouse’s health plan and got a divorce, among other events. However, you may have to pay for COBRA coverage—and at a higher cost than you paid for health coverage as an employee. You don’t have to elect COBRA, and it is not automatically triggered by the qualifying events that cause a loss of coverage. You may have other better options, such as a spouse’s plan, the Health Insurance Marketplace, or Medicaid.What Are Your Rights and Responsibilities under COBRA?
COBRA contains a complex set of rules and timelines for both plans and beneficiaries. For example, plans have 44 days from the time you lose coverage to inform you about your COBRA rights. You then have 60 days to decide whether to elect COBRA coverage. COBRA also requires plans to maintain a certain type of health coverage and to maintain that coverage for a certain period of time.We Can Help with Your COBRA Issues
Hawks Quindel’s employee benefits attorneys can help you navigate COBRA and advise on your entitlement to COBRA continuation coverage. We can closely examine your plan documents and COBRA documents to ensure you received proper notice and that your plan complies with all of COBRA’s requirements. We can answer any questions you have about electing COBRA coverage or pursuing other alternatives that may be better for you and your family.Please call a Madison employee benefits attorney directly at (608) 257-0040 or a Milwaukee employee benefits attorney at (414) 271-8650, or email us via our Contact Page.