What is COBRA?
On April 7, 1986, The Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) was enacted (also known as Public Law 99-22, Title X) requiring employers with 20 or more employees to offer certain employees and their families the opportunity to elect a temporary extension of health coverage at group rates where coverage under the plan would otherwise end. This coverage, however, is only available when coverage is lost due to certain specific events.
Qualified employees are entitled to continuation of benefits without evidence of good health. This coverage must provide continuous coverage identical to other similarly covered individuals who have not lost coverage. If a plan has dental, vision or other health benefits, these benefits are subject to continuation coverage. Continuation coverage does not include short-term or long-term disability and life insurance benefits. If the individual does not elect continuation coverage, coverage will end.
Qualified employees are entitled to continuation of benefits without evidence of good health. This coverage must provide continuous coverage identical to other similarly covered individuals who have not lost coverage. If a plan has dental, vision or other health benefits, these benefits are subject to continuation coverage. Continuation coverage does not include short-term or long-term disability and life insurance benefits. If the individual does not elect continuation coverage, coverage will end.
