Do Small Business Owners Qualify For COBRA?
We are a small business and were just dropped by Horizon Blue Cross Blue Shield of New Jersey. The reason is that we spend more than 50% of our time outside of the state. Can we qualify for COBRA coverage?
Unfortunately, you will are not eligible for COBRA because the federal law specifies that the insurance provided be a continuation of an employer’s group health policy. You will need to find new individual health coverage through a private marketplace or healthcare.gov.
Eligible Events For COBRA
These are the events that would qualify an employee for COBRA coverage.
Qualifying Events For Employees
- Voluntary or involuntary termination of employment (unless due to gross misconduct)
- Your working hours have been reduced
Qualifying Events For Dependents
- Death of employee
- Divorce or legal separation
- Loss of dependent status (turning age 26)
- Employee is entitled to Medicare benefits