What Happens To Your Health Insurance If You Get Laid Off?

By Robert Fredricks Posted in Health Insurance News

Being laid off from work has many problems attached to it besides the obvious one, of not having a job. If you carried health insurance through your employer you will need to act fast to keep coverage until you return to work or find new employment. Currently, by law, if you have lost employment due to a lay off you may be entitled to COBRA health insurance.

What Is COBRA Health Insurance

COBRA is a plan that offers employees extended health insurance coverage once they leave employment. Most companies qualify for COBRA extensions, but not all of them. COBRA will allow you to keep your current coverage for a short period of time if you pay for health coverage yourself. The plan allows you to stay covered under your current plan, with the only changes being the cost for the plan.

How Much Does COBRA Cost

COBRA plans are generally more expensive than your typical coverage. This is due to the fact that the employer generally covers a portion of your premiums each month. Once you enter into a COBRA plan you are responsible for the entire amount of the premium.

Private Plans Versus COBRA

Often, a person will be able to find comparable personal insurance plans that are less expensive than a COBRA plan. You should always search for the best plan available for the amount you wish to pay. You are not required to take COBRA, but a lapse in coverage may make it more difficult to get new coverage if you are purchasing on your own. Many times it is the best bet to accept the COBRA coverage for at least one month while you are inquiring about private insurance.

Related posts:

  1. What Does COBRA Insurance Mean?
  2. How Does Temporary Medical Health Insurance Coverage Work?
  3. I Had Health Insurance From My Employer And Left My Job, What Happens?
  4. What Are Low Cost Health Insurance Riders?
  5. How Long Can A Dependent Child Remain On Group Health Insurance?

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