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. Please click on the link below for more FAQs about COBRA Continuation Health Coverage. For more detailed information, reference Board Policy GCBC or GDBC.