Employment and Personal Injury Attorney John Furstenthal

Employment & Personal Injury Lawyer

COBRA Overview: Continuing Health Coverage After you Leave a Job

When an employee loses his or her job, s/he may be entitled to continue health coverage. The former employee would have to pay what the employer was paying plus two percent. For example, if an employee was getting Kaiser insurance that costs $100/month, the former employee could continue the health insurance for $102. The insurance may or may not be a better deal, so a former employee should shop around for health plans. Qualified employers include most any with 2 or more employees; government and church employers are not required to provide this benefit. To qualify, an employee must have been fired without committing a serious wrong or have quit and not be eligible for Medicare. A reduction of hours may also trigger qualification. COBRA typically lasts 36 months. An employer must provide written notice to a former employee of the employee’s rights. There are more details, but the above provides a summary.

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