What does cobra insurance stand for

what does cobra insurance stand for

It allows you to keep insurance from your old company at full cost (not subsided by an employer) while you look for another job with insurance. You have. show more It allows you to keep insurance from your old company at full cost (not subsided by an employer) while you look for another job with insurance. You have just a short time to accept it at the higher cost, and obtain individual or group insurance.

It is a very high-priced stop gap, so look for insurance or another job before leaving one with insurance coverage.

The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers and their families who lose their health benefits the right to choose to continue group health benefits provided by their group health

plan for limited periods of time under certain circumstances such as voluntary or involuntary job loss, reduction in the hours worked, transition between jobs, death, divorce, and other life events. Qualified individuals may be required to pay the entire premium for coverage up to 102 percent of the cost to the plan.

COBRA generally requires that group health plans sponsored by employers with 20 or more employees in the prior year offer employees and their families the opportunity for a temporary extension of health coverage (called continuation coverage) in certain instances where coverage under the plan would otherwise end.

COBRA outlines how employees and family members may elect continuation coverage. It also requires employers and plans to provide notice.

Ginger · 8 years ago

Source: answers.yahoo.com

Category: Insurance

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