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Q: Our insurance is through a union. My husband is required to work 250 hours in a quarter to qualify for insurance. For each hour that he works he pays a certain amount towards the next quarters insurance. For March, April, & May he paid in towards 198 hours. Since he did not meet the 250 we will have to go on cobra but his insurance is telling us we have to repay the premium for the 198 hours that we already paid for June, July, & August. Are there any laws to make them credit or refund our money? We don't feel we should have to pay twice.
A: If you now qualify for COBRA, you are responsible for paying the entire cost of the insurance. It is a continuation of the same group health plan that you were on. Since, you no longer work for that employer but still have their coverage; you will be responsible for 100% of the monthly premiums. Plus, the employer can add a 2% administrative fee to that cost. You would have to contact the employer to find out what your premium would be. It’s possible that the premium they are asking you to pay is going to be applied to your COBRA continuation.
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