Washington COBRA Health Insurance Continuation

The state of Washington follows the federal COBRA law, which gives eligible employees and their dependents the right to continue their employer-sponsored health insurance coverage for a limited time after a qualifying event. This may include job loss, reduction in work hours, or other circumstances that would normally result in the termination of coverage.

While COBRA can serve as a critical bridge during periods of transition, it’s important to understand that the cost of coverage may be high. Individuals who elect COBRA coverage are typically responsible for the entire premium amount—both the employee and employer portions—plus a 2% administrative fee.

COBRA Health Insurance Options in Washington

In Washington, continuation of health insurance coverage is governed by federal COBRA law. This law allows eligible individuals to temporarily maintain their group health plan after employment ends or work hours are reduced, provided the employer has 20 or more employees. COBRA applies to most private-sector group health plans, including those provided by employers in Washington.

• Employer Size: Applies to employers with 20 or more employees offering group health coverage.
• Eligibility: Employees and their dependents who were covered by the group health plan on the day before the qualifying event.
• Qualifying Events: Involuntary job loss, reduction in work hours, divorce or legal separation, death of the covered employee, or a dependent aging out of coverage.
• Coverage Duration: Typically 18 months, with potential extensions up to 36 months in certain situations.
• Premium Payment: Individuals must pay 100% of the premium plus a 2% administrative fee.
• Election Period: Eligible individuals have 60 days to elect continuation coverage after receiving the COBRA notice.
• How to Apply: Individuals should follow the steps provided in the employer’s or insurer’s COBRA election notice to enroll and submit payment on time.

Washington residents have other health coverage options beyond COBRA, especially if cost is a concern or if COBRA eligibility is not available:

• Medicaid: Provides no- or low-cost health coverage to individuals and families with limited income. Eligibility is based on household income and size, and applications are processed through Washington Apple Health.
• Health Insurance Marketplace: Under the Affordable Care Act, marketplace plans cover essential health benefits and pre-existing conditions. Many applicants qualify for premium subsidies or cost-sharing reductions based on income. Enrollment is available through Washington Healthplanfinder.
• Private Short-Term or Gap Health Plans: These plans offer temporary coverage for individuals who are between jobs or waiting for other insurance to begin. While they are not ACA-compliant and may not cover pre-existing conditions, they can help cover basic medical needs during gaps in employer coverage.

Alternative Low Cost Medical Plans in Washington

Continuing an employer plan in Washington with Mini-COBRA is around $761/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.