Legal Cobra

If the eligible event is the death of the insured employee, the divorce or separation of the insured employee from the spouse of the insured employee, or if the insured employee is eligible for health insurance, COBRA lasts for 36 months for the spouse or dependent child. Cobra Legal Solutions was founded more than a decade ago by lawyers who knew they could improve the efficiency of legal services. Cobra`s diverse team of like-minded professionals combines extensive experience in eDiscovery, contracts and due diligence, document review, legal research, and technology to deliver consistent and measurable results to companies` legal departments and their external advisors. Through a value sourcing approach and prudent use of technology support, we can significantly reduce the costs and risks associated with legal transactions. Headquartered in Austin, TX, Cobra Legal Solutions prides itself on being 89% diverse and 63% female globally. Cobra offers unique opportunities for exceptional talent and offers a safe working environment that promotes performance and professional growth. Named to the 2022 Inc 5000 list of America`s Fastest-Growing Private Companies, Cobra Legal Solutions is trusted daily by thousands of lawyers at some of the world`s largest corporations and law firms. If you divorce or are legally separated from the insured employee, or if a dependent child no longer meets the requirement to be an insured dependent employee (usually upon reaching a certain age), the insured employee or eligible beneficiary will be responsible for notifying the plan administrator of the eligible event within 60 days of the date of the eligible event. to inform. The following eligible events are: the death of the insured employee; the termination of the employment relationship of an insured employee or the reduction of working hours; the insured employee who is eligible for health insurance; divorce or legal separation from the insured employee; or a dependent child who is no longer dependent under the general requirements of the plan.

Cobra is a diverse team of talented, like-minded professionals who come together with a common goal: to improve the efficiency of legal services. An employer must inform an eligible employee of their right to continue coverage, and that employee has 60 days after notification to decide whether or not to waive COBRA coverage. Ongoing coverage under COBRA lasts for 18 months, but may be extended to 36 months in certain circumstances. Q12: What is the next step in the process once the health plan administrator is properly notified of an eligible event? Although COBRA requires employers to offer qualified members the opportunity to maintain their insurance coverage in the workplace, the employee is responsible for all payments up to 102% of the plan premium associated with that coverage, including the former employer`s contribution. However, because they have to pay the employer-negotiated group rate, the coverage provided by COBRA is often cheaper than the coverage a person would find on the open market. However, if they wish, former employees can choose other options, such as Medicaid or the health insurance market, if they are eligible, instead of taking out employee-provided health insurance. Normally, the beneficiary must pay the full cost of COBRA coverage, although some employers choose to subsidize COBRA. However, in the probable event that the employer chooses not to subsidize COBRA, the COBRA premium cannot exceed 100% of the cost of the group health plan for persons in a similar situation who have not experienced an eligible event, including the portion paid by employees and the portion paid by the employer prior to the eligible event.

plus an additional 2% for administrative costs. Please note that the employer may charge up to 150% for an 11-month extension of COBRA coverage. Title XXII of the Public Health Service Act (PHS), 42 U.S.C. §§ 300bb-1 through 300bb-8, applies COBRA requirements to group health plans sponsored by state or local employers. It is sometimes referred to as the «public sector» COBRA to distinguish it from the ERISA and Internal Revenue Code requirements that apply to private employers. Q3: Who is responsible for COBRA in the public sector? For «insured employees», the only eligible event is termination of employment (whether voluntary or involuntary), including retirement or reduced period of employment. In this case, COBRA lasts eighteen months. In certain circumstances, if a person with a disability and non-disabled family members are qualified beneficiaries, they are entitled to an extension of COBRA continuation coverage for up to 11 months for a total of 29 months. The criteria for this 11-month extension of disability are a complex area of COBRA law.

We provide general information below, but if you have any questions about your disability and public sector COBRA, we encourage you to email us at phig@cms.hhs.gov. COBRA generally requires employer-sponsored group health plans with 20 or more employees in the previous year to offer employees and their families the option of a temporary extension of health insurance (called continuation coverage) in certain cases where coverage under the plan would otherwise end. Note: For more information on assisting the COBRA allocation under the American Rescue Plan Act of 2021, see www.dol.gov/COBRA-subsidy If the plan administrator is aware that there are eligible beneficiaries who do not live at the same address and knows their addresses, separate election notices must be sent to those eligible beneficiaries. A notice sent to the spouse will be treated as notice to all eligible dependent children residing with the spouse at the time of notification of the spouse by the plan administrator. Notices must be made in person or by first class mail. COBRA`s goal is to ensure that employees who lose their jobs receive health insurance benefits. COBRA only applies to group health plans offered by private employers with more than 20 employees, as well as state and local governments. COBRA does not apply to the federal government. Q16: How long do I have before I have to submit my first COBRA payment? COBRA describes how employees and family members can choose continuation coverage. It also requires employers and plans to provide notice. Note that the group health plan may charge up to 150% of the applicable premium for the 11-month extension.

Without initial premium payments, all other premium payments must be made within 30 days of maturity (due date is determined by the group health care plan). To exercise this right, the employee must have participated in a qualified group plan. The employee must also have experienced an eligible event such as a voluntary or involuntary loss of employment, reduced hours of work, or divorce resulting in the loss of coverage. Q10: What are the notification requirements for a qualifying event? Plan administrators who receive notification of an eligible event must inform eligible beneficiaries of their right to elect COBRA coverage.