Cobra health insurance alternatives are widely sought after as millions find themselves unemployed. Regardless of the current pandemic, losing your job at any time can be stressful and there is always a worry over health care costs. COBRA is increasingly popular, but for some, it is an expensive option to consider and that’s why alternatives are being sought. Unfortunately, it won’t be everyone who can find a suitable health insurance alternative to COBRA. So, what should you know if you must opt for COBRA?
What COBRA Actually Is
Unfortunately, a lot of people rush into COBRA without fully knowing what it is and that’s an issue, to say the least. So, what is it? COBRA is a federal law program that ensure employers offer health insurance coverage if they’re fired. Usually, this is a program for businesses with twenty employees or more. However, eligibility depends on whether you personally qualify for Medicare or social assistance. While there are many Cobra health insurance alternatives available, this remains the popular choice for most.
The Type of Coverage Available
While supplement insurance isn’t available, you will receive the same coverage you had previously. This does mean life insurance and disability coverage aren’t included; however, independent private policies can be activated, nonetheless. Fortunately, you’re able to visit the same doctors as before and continue with the plan you had. There won’t be any gaps either as coverage starts on the day you left employment. While Cobra health insurance alternatives are available, this does offer a viable solution to millions, nonetheless.
State Rules May Vary
Generally, companies with fewer than twenty employees won’t be eligible for COBRA. However, this may not remain the same in every state in the U.S. Some states may incorporate a mini law that states even if a company has fewer employees, they’re be able to apply for COBRA. Again, this is something you need to research as it can vary. If it isn’t available in your area – because there are fewer than twenty employees – then Cobra health insurance alternatives may be necessary. More details!
The unfortunate truth is that COBRA isn’t cheap. This is an expensive program because you have to pay the full premiums, along with a small 2% admin fee. That, unfortunately, does cause a host of issues for thousands. Cobra health insurance alternatives are wildly sought after because of the costs associated with it. Monthly payments are likely to be considerably higher than through the employer, so that is something to take into consideration. Of course, if you can afford the monthly costs and you can’t find an alternative, it’s useful.
Understand What COBRA Entails
COBRA doesn’t work for everyone. While it does offer a great solution for millions who’ve recently been terminated or laid off, it mightn’t be right for you personally. Sometimes it will be down to money and how expensive it is, compared to the costs via your employer. It’s important to look at Cobra health insurance alternatives as well as exploring COBRA too, so that you find the right solution for you. Click here for more information: https://www.marrettcounseling.com/are-you-making-these-7-cobra-mistakes/