Monday, 11 October 2010

Cobra Medical

Are you familiar with Cobra medical coverage? Most people do not know what it is; however you need to understand what it can do for you. Here is the information you need about Cobra.
Cobra stands for the Consolidated Omnibus Budget Reconciliation Act and is a program put into law by the U. S. congress in 1985. It basically covers insurance offered by employers and which employees are eligible for continuing coverage after they have left the company. Of course employees leave a company for different reasons, including on their own and by being fired. When you leave a job for whatever reason, the company is required by law to inform you within fourteen days that you are eligible for Cobra coverage. You will be able to continue receiving the same medical insurance coverage you had before leaving for up to 18 months after you leave. The biggest down side is you will probably be required to pay more for it than you were paying while still employed. This law only covers companies that have 20 or more employees.
You will be required to pay the full cost of the continuing insurance coverage plus a 2% administration fee. While this may seem like a lot, you are still probably going to be paying less than you would if you had to buy it on your own. This is because you are paying the same bulk rate as your former employer was. Understand that the more employees a company has, generally the less they have to pay per employee for insurance coverage. You are allowed to take advantage of these discounts. However it is not a bad idea to check with your own insurance agent or on the Internet to see if you are able to find a better deal. You are in no way required to accept coverage from your former employer.
Here are the rules covering whether you are covered under Cobra. When you are terminated for any reason or leave on your own you are covered. When your work hours are reduced for any reason you are also eligible for coverage. If you die your family, including your spouse and dependents, are eligible for coverage. When you are involved in a divorce, your ex spouse can receive coverage for up to 18 months. Finally, if one of your dependents reaches an age where he or she is no longer a dependent, his or her coverage is extended 18 months.

40 comments:

  1. Ahhh okay now we all know alittle bit more

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  2. My uncle lives in the states, i'll send it to him, he'll prob get more use out of it than me with living in canada in all.

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  3. cobra is such shit. all it is is a way fro a state such as mine, we have tenncare, is to be able to say you had a chance to get insuurance and turned it down so you can not appliy for tenncare. i was offered cobra when i was laid off once adn i was making 800 bucks a month working and they want 900 a month for cobra? how the the hell did i refuse insurance?

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  4. Cobra is terrible from what I've been told. Aunt's bf is on it and pays an arm and a leg. Hope I never have to use it.

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  5. Ugh, Cobra. Don't even get me started on that.

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  6. Cobra health coverage? Sounds like a scam to me. But that's just my 2 cents. informative post! :D

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  7. Cobra Medical? sounds like an nike advert or something :P

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  8. Nice info, I'll keep this in mind =D

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  9. Interesting. I wasn't aware of all of this. Thanks for sharing, broski!

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  10. After reading this I was disappointed... I was thinking it was a spoof on G.I. Joe. Instead you taught me about health insurance. :(

    donotseethepoint.blogspot.com

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  11. nice info here if i ever decide to leave my job

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  12. wait I dont see what he did there...

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  13. American healthcare is crazy

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  14. How do you know all this? background in law?

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  15. I've just about given up on health insurance in the states. Luckily, I wont be living here for much longer.

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  16. I need insurance on my pet cobra...

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  17. I wasn't aware about this insurance, and it seems favorable, thanks for sharing.

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  18. Dude you just saved my ass, I lost health insurance when I left my job but now that I know about this... hell yeah!

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  19. Hey, thanks for the info man, good to know!

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  20. will look into this if i need to get health insurance

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  21. never heard of it. might check it out.

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