Can you have COBRA and another insurance?

Asked by: Miss Thelma Sporer  |  Last update: February 11, 2022
Score: 4.6/5 (64 votes)

You may not have COBRA continuation and another insurance at the same time. ... You may stay on COBRA as long as you do not obtain other insurance or become covered under your new employer's health insurance. The federal government's COBRA law allows workers to continue on the same plan they had when they working.

Does COBRA end when I get new insurance?

1) You enroll under another group health plan

COBRA is commonly used to provide continuous group health coverage between employment. You got the new job! ... Be sure to specify the date your new group coverage begins and COBRA coverage ends. Any overpayment of premiums is returned to you.

Is there a gap in coverage with COBRA?

If elected within 60 days, Cobra coverage begins on the date of the qualifying event (such as a layoff), meaning that there won't be a gap in coverage. If you lost your job, you're generally entitled to 18 months of continuous coverage. Cobra coverage is retroactive to the date you would have otherwise lost coverage.

Is COBRA a continuation of your current insurance?

Continuation coverage allows someone who recently lost their employer-based health coverage to continue their current insurance policy as long as they pay the full monthly premiums. Continuation coverage falls into four categories: COBRA, Cal-COBRA, Conversion, and HIPAA.

Are COBRA payments tax deductible?

Premiums for COBRA insurance are tax deductible, as they are paid entirely by you on an after-tax basis. If you buy medical coverage through an insurance marketplace, then premiums would be tax deductible as a medical expense.

Everything you need to know about COBRA

22 related questions found

Do deductibles start over when you go on COBRA?

Your Insurance Deductible Will Rollover When COBRA Insurance Is Elected. ... Because it is the same insurance policy, if you've met your deductible already, you will not have rollback to $0 out-of-pocket after you've started COBRA. You will need to make timely premium payments or your insurance may be cancelled.

Is COBRA extended due to Covid?

Soon after the COVID-19 pandemic shut down the nation, the federal government extended the deadlines for electing COBRA and paying COBRA premiums for continuation of health insurance coverage. ... The first COBRA premium is due 45 days after the initial election is made.

How do I continue COBRA coverage?

If you decide to keep COBRA without premium assistance, you can qualify for a Special Enrollment Period based on the end date of your COBRA coverage, which is usually 18 to 36 months after it started.

Can I get COBRA for one month?

Although COBRA is temporary, you'll have time to find another plan. Federal coverage lasts 18 months, starting when your previous benefits end. ... Each time you enroll, you're entitled to the same benefits for the same period of time.

Can COBRA be reinstated once Cancelled?

Once COBRA coverage is canceled, there is no option for reinstatement. Note that waiting until the end of the grace period to make payment may not allow enough time within the grace period to reconcile payment if your check is lost in the mail or is rejected by your bank.

Does COBRA end mid month?

Continuation coverage must generally be available for a maximum period (18, 29, or 36 months). The group health plan may terminate continuation coverage early, however, for any number of specific reasons.

Can I continue COBRA after 18 months?

When Federal COBRA ends, eligible employees can buy 18 months additional health coverage under Cal-COBRA. All qualified beneficiaries are generally eligible for continuation coverage for 36 months after the date the qualified beneficiary's benefits would otherwise have terminated.

Does health insurance end the day you quit?

Although there are no set requirements, most employer-sponsored health insurance ends on the day you stop working or at the end of the month in which you work your last day. Employers set the guidelines for when employer-sponsored health coverage ends once you resign or are terminated.

Is it better to use COBRA or Obamacare?

So which one is better? Typically ACA insurance is more affordable than COBRA insurance because you can be eligible for federal ACA subsidies, depending on your income. COBRA costs an average of $599 per month.

Is COBRA cheaper than individual insurance?

Is COBRA cheaper than individual insurance? COBRA health insurance is usually more expensive than individual insurance, especially if you qualify for ACA plan subsidies. ACA subsidies reduce the cost of ACA plans. The subsidies are only eligible for ACA plans.

How long do COBRA benefits last?

Q11: How long does COBRA coverage last? COBRA requires that continuation coverage extend from the date of the qualifying event for a limited period of 18 or 36 months.

How does Cobra insurance work if I retire at 62?

Retirees can use COBRA Insurance For 18 Months

When a qualified beneficiary retires from their job, the retired worker is entitled for up to 18 months health insurance continuation, which is the maximum amount of time an employee can keep COBRA continuation.

Is it worth it to get Cobra insurance?

COBRA provides a good option for keeping your employer-sponsored health plan for a while after you leave your job, but the cost can be high. Make an informed choice by looking at all your options during the 60-day enrollment period, and don't focus on the premium alone.

What happens when COBRA ends?

When your COBRA health insurance runs out, you can be eligible for a Special Enrollment Period that will allow you to enroll in an Obamacare health plan. ... Then you have 60 days from the end of your COBRA coverage to enroll in a plan from the Marketplace.

How does Cobra insurance work if I quit my job?

Electing COBRA means you can keep your health insurance after quitting or being fired from a job. You are responsible for paying your premium and the employer's premium, plus a 2% admin fee. Coverage is available for up to 18 months, but an extension may be possible.

What is Cal-COBRA extension?

Duration of Coverage Continuation

Federal COBRA generally extends health coverage for 18 months. Individuals with certain qualifying events may be eligible for a longer extension (e.g., 29 or 36 months). Cal-COBRA allows individuals to continue their group health coverage for up to 36 months.

Can you change plans when electing COBRA?

Yes. Once COBRA continuation coverage is elected and the 60 day election period has passed, you can drop a plan at any time. But, to change between plans or add new plans, you may need to wait until open enrollment. If you acquire a new dependent, you have the same rights as an active employee to add new dependents.

How much is COBRA coverage per month?

On Average, The Monthly COBRA Premium Cost Is $400 – 700 Per Person. Continuing on an employer's major medical health plan with COBRA is expensive. You are now responsible for the entire insurance premium, whereas your previous employer subsidized a portion of that as a work benefit.

When can COBRA be extended to 36 months?

Up to 36 months of coverage, when there is a second qualifying event during continuation coverage (the death of the covered employee; the divorce or separation of the employee and spouse; the covered employee becoming entitled to Medicare or loss of dependent-child status under the plan), where the 36 months is ...

Can you get COBRA for two weeks?

It's 60 days (not 45) from the qualifying event (e.g. job loss) or the date the COBRA notice is provided, whichever is later. As @user102008 said, the 45-day period is the grace period after election before you have to pay.