Any COBRA experts out there?

[rbmrtn]

Quote:

Originally Posted by bingybear This would mean I was given the wrong information from the ACA help line

I think it depends what you asked. From your comment They provided paid cobra for a few months. , they may have given you the correct info. I'm not sure I know what paid COBRA is.

COBRA lasts for 18 months, regardless of who pays for it. Once you accept it you are on it. Your COBRA would be exhausted 18 months from when it started, not when they stopped paying for it.

[bingybear]

Quote:

Originally Posted by rbmrtn I'm not sure I know what paid COBRA is.

There really is not a requirement that the employee has to pay for COBRA themselves. My company decided to pay for COBRA directly which makes the the COBRA free (tax free too) for the time covered by the company payments.

And you may be right that the answer may have been right.

With the company in bankruptcy... one can not be sure they will have a health plan for those remaining even as long as they offered to cover cobra... thus it could disappear at any time.

[jim584672]

I thought a person has to elect COBRA coverage. I would double check to make sure the coverage is in place and not take the companies word for it.

[Bestwifeever]

Quote:

Originally Posted by rbmrtn I... COBRA lasts for 18 months, regardless of who pays for it.

Interestingly, my COBRA would last for 36 months--our lightly subsidized retiree health care ended when DH aged into medicare at the end of 2013 and I was offered COBRA for 36 months ("COBRA requires that continuation coverage extend from the date of the qualifying event for a limited period of 18 or 36 months. The length of time depends on the type of qualifying event that gave rise to the COBRA rights...."). I have a 19-month gap to cover before I qualify for medicare myself so this was good news for me. I wanted to stay on the same plan even though it is expensive imo at just over $1000/month (thanks to its low deductible, low OOP) for only my coverage as I have eye and other issues being monitored and was worried that ACA, which was just starting, might be vulnerable to screwups (imagine that) before it got rolling.

Quote:

Once you accept it you are on it. Your COBRA would be exhausted 18 months from when it started, not when they stopped paying for it.

I did not have to stay on COBRA--I could have switched to other insurance during the open enrollment period that ended mid-December 2014. In fact the megacorp letter advising of the premium increase for 2015 gave subtle hints that the ACA might offer more palatable rates....

[bingybear]

Quote:

Originally Posted by jim584672 I thought a person has to elect COBRA coverage. I would double check to make sure the coverage is in place and not take the companies word for it.

I did elect it, the company was just paying the premiums for a few months

[jim584672]

Quote:

Originally Posted by bingybear I did elect it, the company was just paying the premiums for a few months

Good to hear.

[rbmrtn]

Quote:

Originally Posted by Bestwifeever I did not have to stay on COBRA--I could have switched to other insurance during the open enrollment period that ended mid-December 2014. In fact the megacorp letter advising of the premium increase for 2015 gave subtle hints that the ACA might offer more palatable rates....

You can always switch during open enrollment, what I was referring to is you can not just drop COBRA outside of open enrollment and get an exchange plan. Dropping COBRA is not a qualifying event, exhausting ( using it up ) is.

[rbmrtn]

Quote:

Originally Posted by bingybear There really is not a requirement that the employee has to pay for COBRA themselves. My company decided to pay for COBRA directly which makes the the COBRA free (tax free too) for the time covered by the company payments. And you may be right that the answer may have been right. With the company in bankruptcy... one can not be sure they will have a health plan for those remaining even as long as they offered to cover cobra... thus it could disappear at any time.

Yes the premiums can be paid by anyone, only requirement is they are restricted to charging you no more than 102% of the cost.

You may be in a different situation with a bankrupt company. They would probably terminate their health plan which then terminates the COBRA offering but you won't know until they tell you. Once they terminate then you are back to a qualifying event ( loss of coverage ) for SEP

http://www.dol.gov/ebsa/newsroom/fsbankruptcy.html