What Is COBRA?
COBRA insurance may be an option for health care coverage if you have been laid off.
If your former employer has 20 or more employees, the company is required by a 1986 federal law to offer you the option to pay for an extension of your health insurance coverage for at least 18 months. This law is known as COBRA, which stands for Consolidated Omnibus Budget Reconciliation Act.At the time you are laid off, your employer must inform you in writing about your rights under COBRA. You then have 60 days from the date of the notice or the date your health insurance ended to enroll, or sign up for coverage under COBRA. If your company went out of business or went bankrupt, COBRA will not be available.
How Much Does COBRA Cost?
When you sign up for COBRA, you will continue to have similar health insurance and the same health plan benefits that you had while employed. However, you must pay the health insurance premium that you paid before you were laid off plus the amount your former employer was paying for you. The employer may also add a 2% administrative fee.
Depending on your individual circumstances, COBRA can be very expensive. If you are getting coverage for yourself, you may have to pay up to $400 per month; family coverage may be more than $1000 per month!!! These amounts will vary depending on the benefits provided by your employer's health plan.
What If I Can't Afford the Monthly COBRA Premium?
$1,000 every month is a lot of money and probably more than you expected to pay, especially if you also lost your income and are collecting unemployment insurance. For some workers, the COBRA payments can amount to more than 60% to 70% of their monthly unemployment check. Many laid-off workers who are eligible to continue their health insurance coverage through COBRA cannot afford to do so.
What Ir I can't afford the Monthly COBRA Premium?
If you cannot afford COBRA, Select Insurance Group offers Individual health insurance options that will provide the health coverage benefits at an affordable Price.
Select Insurance Group is located in multiple states and we specialize in working with families and individuals in-between-jobs. We offer a wide SELECTion of companies we work with to get you that desirable price you are looking for. Why spend hours shopping from company to company when you can hire us at no additional cost to shop all the competition and answer all your insurance questions.
Quotes are free. CLICK HERE to shop online or call us at 1-855-GET-SELECT
Steve Ludwig
Select Insurance Group
President/CEO
636-410-6219 Ext 1
www.selectinsuranceteam.com
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