Cobra Insurance PA: What You Need to Know

If you’re leaving your job, you may be wondering what will happen to your health insurance. Fortunately, you may be eligible for COBRA insurance, which allows you to continue your employer-sponsored health insurance for a limited time. In this article, we’ll explore COBRA insurance in Pennsylvania and answer some frequently asked questions.

What is COBRA Insurance?

COBRA stands for Consolidated Omnibus Budget Reconciliation Act, which was passed by Congress in 1985. This law requires employers with 20 or more employees to offer continuation of health insurance coverage to certain employees and their dependents who would otherwise lose coverage due to a qualifying event such as job loss, reduction in hours, or divorce.

COBRA insurance allows you to keep the same health insurance policy you had while you were employed. However, you’ll be responsible for paying the full premium, including the portion that your employer used to pay. This can be expensive, but may be cheaper than buying individual health insurance.

Who is Eligible for COBRA Insurance?

You may be eligible for COBRA insurance if you were covered under your employer’s health insurance plan when you experienced a qualifying event. Your employer must offer COBRA insurance if they have 20 or more employees and you worked at least 50% of the employer’s standard work schedule.

Qualifying events include:

If you’re eligible for COBRA insurance, you’ll need to sign up within 60 days of receiving notice from your employer. If you miss this deadline, you won’t be able to enroll in COBRA insurance.

How Much Does COBRA Insurance Cost?

COBRA insurance can be expensive because you’ll be responsible for paying the full premium, including the portion that your employer used to pay. Additionally, your employer may charge you an administrative fee.

In Pennsylvania, the average cost of individual health insurance is $598 per month, while the average cost of family health insurance is $1,706 per month. Your COBRA insurance premium will depend on the cost of your employer’s health insurance policy.

Can I Change to a Different Health Insurance Plan?

While you can’t change to a different health insurance plan under COBRA insurance, you may be able to switch to a different plan if you’re eligible for a special enrollment period. This may occur if you experience another qualifying event such as marriage, birth or adoption of a child, or a permanent move.

Conclusion

COBRA insurance can be a valuable option if you’ve lost your job and need to continue your health insurance coverage. While it can be expensive, it may be cheaper than buying individual health insurance. If you’re eligible for COBRA insurance, be sure to sign up within 60 days of receiving notice from your employer.

FAQ

What is COBRA insurance?

COBRA insurance allows you to continue your employer-sponsored health insurance for a limited time if you experience a qualifying event such as job loss, reduction in hours, or divorce.

Who is eligible for COBRA insurance?

You may be eligible for COBRA insurance if you were covered under your employer’s health insurance plan when you experienced a qualifying event.

How much does COBRA insurance cost?

COBRA insurance can be expensive because you’ll be responsible for paying the full premium, including the portion that your employer used to pay. Additionally, your employer may charge you an administrative fee.

Can I change to a different health insurance plan?

While you can’t change to a different health insurance plan under COBRA insurance, you may be able to switch to a different plan if you’re eligible for a special enrollment period.

How long does COBRA insurance last?

The maximum coverage period for COBRA insurance depends on the qualifying event. For job loss or reduction in hours, it’s typically 18 months, while for divorce or legal separation, it’s 36 months.