Can I switch from COBRA?
Asked by: Nash Murphy | Last update: October 10, 2025Score: 4.7/5 (25 votes)
Can you Unenroll from COBRA at any time?
You may voluntarily terminate your coverage prior to the last day of COBRA for any reason. There are three ways to do so: Terminate coverage on your online account. For instructions, see How to terminate coverage in your COBRA online account.
Can I switch from COBRA to private insurance?
You can only drop COBRA and sign up for a Marketplace plan and premium tax credits during Open Enrollment. You will have to drop your COBRA coverage effective on the date your new Marketplace plan coverage begins.
Can I decline COBRA?
There is a limited time period to enroll or decline Cobra. The date will be in writing in your separation packet but it is generally 45-60 days from the qualifying event. So to answer your question, no you can't wait until you have a medical need to enroll. You must enroll or decline during your window.
Is quitting COBRA a qualifying event?
However, you won't qualify if you decide to end COBRA early and are paying the full benefit cost yourself. You also don't qualify if you lose your COBRA coverage because you didn't pay your premiums. Remember, you don't need a special enrollment period if you voluntarily end COBRA during open enrollment.
COBRA Insurance | What You Need to Know
What is the COBRA loophole?
If you decide to enroll in COBRA health insurance, your coverage will be retroactive, meaning it will apply to any medical bills incurred during the 60-day decision period. This loophole can save you money by avoiding premium payments unless you actually need care during this time.
What happens if I elect COBRA but don't pay?
There is no grace period if you're late paying your initial COBRA premium payment. 3 If it isn't paid on time (ie, within 45 days of electing COBRA), you lose your right to have COBRA coverage; you'll have to find other health insurance options or you'll be uninsured.
Can you change your mind about COBRA?
It's also important to know that if you decide to drop or forgo COBRA and enroll in a Covered California plan, you cannot change your mind and go back to COBRA.
Why is COBRA so expensive?
COBRA coverage is not cheap.
Why? Because you're now responsible for paying your portion of your health insurance: The cost your employer contributed to your premium, in addition to the 2% service fee on the cost of your insurance.
Do you get a refund if you cancel COBRA?
Generally, there are no refunds when you cancel your plan early. You may contact your administrator or your past employer for specific insurance payment information.
What to do when a COBRA is too expensive?
If you decide COBRA is too expensive, consider a Marketplace health insurance plan for your coverage needs.
Can you keep your COBRA benefits instead of taking insurance thru a new employer?
Yes, you can keep COBRA coverage even when your new employer offers health insurance.
How does COBRA affect taxes?
Are my COBRA premiums deductible? Yes they are tax deductible as a medical expense. There isn't necessarily a “COBRA Tax Deduction”. You can only deduct the amount of COBRA medical expenses on your federal income tax in excess of 7.5% of your Adjusted Gross Income and then only if you itemize deductions.
Can I still use COBRA if I quit my job?
Cal-COBRA is a California Law that lets you keep your group health plan when your job ends or your hours are cut.
Can you go from COBRA to marketplace?
From January 16-October 31: You can switch from COBRA to a Marketplace plan if: Your COBRA coverage is running out. You have to pay the full cost of COBRA coverage because your former employer stops contributing, or you lose a government subsidy (like COBRA premium assistance).
When can COBRA be terminated?
If you fail to make any payment before the end of the initial 45-day period, the plan can terminate your COBRA rights. The plan should set due dates for any subsequent premium payments, but it must provide a minimum 30-day grace period for each payment.
What are the cons of COBRA?
- It's expensive. Your premiums will probably go up since your employer isn't contributing. ...
- You're subject to your employer's plan offerings. You might lose COBRA coverage if the employer changes its plan or goes out of business.
Is there a cheaper alternative to COBRA?
Not only are Marketplace health insurance plans typically less expensive than COBRA, most Marketplace applicants (91% in 2022) qualify for at least some government subsidy to help pay their premiums. The amount of the subsidy depends on your income, where you live and the size of your family.
Is COBRA cheaper than Obamacare?
COBRA costs an average of $599 per month. An Obamacare plan of similar quality costs $462 per month—but with the government subsidies available, the average cost of an Obamacare plan on HealthSherpa is less than $10 per month. But ultimately, it depends on your situation.
Can you opt out of COBRA?
Yes, you can cancel COBRA coverage at any time.
How do you escape a COBRA?
What to do if you spot a cobra. The experts are unanimous: Leave the snake alone. “Move deliberately and calmly away from the snake – while keeping an eye on its location if possible,” Gray said. “Move to an open area free of brush and rock outcrops if possible” if you're outdoors.
How much does COBRA typically cost per month?
The average monthly cost of COBRA Insurance premiums ranges from $400 to $700 per individual.
Can I cancel COBRA and get a refund?
COBRA is the law that requires your previous employer to offer coverage through their group health plan. You would need to contact your previous employer's COBRA Administrator (usually in the HR Department) or you may contact your provider directly to inquire about a refund for payments you've made after cancellation.
Can I pay for just one month of COBRA?
However, if you only need COBRA coverage for a short period of time, such as one or two months, you can pay only for those months from the coverage loss date.
Can I go to the doctor while waiting for a COBRA?
You will be reimbursed for any medical bills that you pay out-of-pocket during this period. Contact the plan administrator for more information on filing a claim for benefits. Complete plan rules are available from the employer's benefits offices.