If you have recently lost a job that gave you group health insurance benefits, you may be able to keep your plan! The Consolidated Omnibus Budget Reconciliation Act (COBRA) allows some insured employees to keep their insurance coverage after they have experienced a qualifying event, such as:
Employees must choose to have COBRA continuation coverage. If you are eligible, your employer will send you a notice about your COBRA insurance options, along with details about signing up for COBRA.
The amount of time you can spend on COBRA health insurance is limited. But it could be a good option to keep you covered until you find another plan. Your spouse and dependent children may also be eligible for COBRA.
Keep in mind that the COBRA coverage cost may be higher than your coverage cost while you were employed. This is because your employer may no longer pay a portion of your health insurance. For this reason, you may want to compare your COBRA insurance cost to other health insurance plans. Alternatives to COBRA include a spouse’s plan, Medicare or plans from the Health Insurance Marketplace.