Utah Mini-COBRA: Health Insurance Continuation for Small Employers

Utah’s Mini-COBRA law provides a continuation of group health insurance coverage for employees of small businesses who lose their job or experience a reduction in hours. This law applies to employers with fewer than 20 employees and helps ensure that individuals and their families can maintain health coverage during a transition in employment.

Authorized by Utah Code § 31A-22-722, this continuation option functions similarly to federal COBRA but with key differences, including eligibility criteria and coverage duration. Individuals who qualify may continue their group health insurance plan for up to 12 months and are responsible for paying the full premium cost.

Utah's Mini-COBRA Law

Utah’s continuation coverage law allows employees and their dependents to maintain group health insurance for a limited time after experiencing a qualifying event. The law applies to employers with 2 to 19 employees and provides coverage for those not eligible under federal COBRA.

• Employer Size: Applies to employers with 2–19 employees offering group health insurance plans.
• Eligibility: Employees and their dependents who were covered under the group health plan prior to the qualifying event and are not eligible for federal COBRA.
• Qualifying Events: Termination of employment (not for gross misconduct), reduction in work hours, death of the covered employee, divorce, or legal separation.
• Coverage Duration: Up to 12 months of continuation coverage; extended coverage may apply to certain dependents under qualifying circumstances.
• Premium Payment: The individual must pay the full premium amount, including any administrative fees, directly to the insurer or plan administrator.
• Election Period: Employers are required to provide written notice of continuation rights. Employees generally have 60 days to elect coverage.
• How to Apply: Eligible individuals must follow the instructions provided in the continuation notice to elect coverage and submit premium payments within the required timeframe.

Alternative Low Cost Medical Plans in Utah

Continuing an employer plan in Utah with Mini-COBRA is around $821/mo, per individual. If COBRA is unavailable or is outside of your budget, you do have affordable other options for health coverage. See below.

The cost of health insurance is determined by your age and state of residency.