Is COBRA Insurance Retroactive?

With the new health care reform laws, will COBRA insurance still be retroactive and how does this works?

Yes, COBRA Benefits Are Retroactive With No Lapse In Coverage

The Federal COBRA Health Insurance Act requires all businesses with 20 or more employees to offer a continuation of the health insurance after job loss.

When you elect COBRA coverage, the effective date begins the date after your work health insurance ended.  The insurance plan continues from where it left off. The coinsurance you pay toward your deductibles won’t change.

The former employer’s insurance plan administrator has 45 days  to notify you of your right to continue workplace insurance. If you do not choose this continuation of benefits, you will need to formerly waive your right to COBRA.

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COBRA Eligibility

Cost Of COBRA Insurance

If you elect to continue your workplace coverage, you will pay the full cost of the COBRA premium, including the portion the employer was subsidizing. A major medical policy may have a monthly premium of $400 – $800 per individual. This includes what your employer was paying. If the employer is using a third-party insurance administrator, they are allowed to add a 2% administration fee.

You Can Save Money With Short-Term Medical Insurance

We are COBRAinsurance.com — a private health insurance agency, established in 2001, that publishes online information on how the federal COBRA law works. We also provide an alternative to COBRA if it is unavailable or you simply can not afford it. You can remain insured and have health coverage for new illnesses or injuries with Short-Term Medical Insurance

Call For Advice: 1-877-262-7241

Get A Quote On Short-Term Medical Insurance

This Article Also Answers the Following Questions :

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