COBRA – What to Know
Q: Exactly what IS Cobra?
A: Cobra is an employee or covered dependent’s right to continue their health insurance after a qualifying event that would otherwise cause them to lose their coverage.
Q: So, give me an example?!
A: You son is covered on your insurance at work but is turning 26 so he will no longer be eligible to be covered as your dependent. This is a qualifying event that allows him to continue his current coverage at his expense for a specified period of time.
Q: What are some other instances?
A: Qualifying events would include the termination of employment, a reduction of hours, divorce or legal separation, becoming eligible for Medicare or the death of the employee.
Q: So, I currently cover my family for health insurance at my work. If I were to pass, are you telling me that my family would be able to continue this health insurance after I am gone?
A: Yes, at their expense and for up to 36 months!
Q: That’s comforting to know that they could continue to be covered.
A: That is the purpose of Cobra – to provide that protection! If you have more questions, just give us a call at 815-932-3700.