Why you need to get off COBRA ASAP
The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers and their families who lose their health benefits the right to choose to continue group health benefits provided by their group health plan for limited periods of time under certain circumstances such as voluntary or involuntary job loss, reduction in the hours worked, transition between jobs, death, divorce, and other life events.
You will not want to be in COBRA Coverage for long durations of time. Following are some of the key reasons why you need to get off COBRA ASAP.
· Qualified individuals may be required to pay the entire premium for coverage up to 102 percent of the cost to the plan.
· Premium payments. After you elect COBRA, you have to pay the first premium within 45 days. And that first premium is likely to be high because it covers the period retroactive to the date coverage ended through your employer.
· Moving. If you relocate out of your COBRA health plan's coverage area, you will lose your COBRA benefits; the employer is not required to offer you a plan in your new area.
· Premium notices. Neither the health plan nor the employer are required to send you monthly premium notices, so make sure you pay attention to due dates.
· Conversion plans. If the health plan offers the option of converting from a group plan to an individual policy under COBRA, you must be given that option and allowed to convert within 180 days before COBRA ends. But you'll pay individual, not group, rates, and switching to individual coverage could weaken any HIPAA protections you have.
· Premium costs. Your premiums can be increased if the costs of the health plan increase for everyone at the workplace.
Eligibility isn't the only issue to consider when it comes to COBRA. Cost is another major factor. If you have no pre-existing conditions and decide against COBRA, you can still consider buying individual insurance or even a short-term major medical policy to tide you over until you land a new job with health benefits.
Florida Health Insurance For more health insurance information!
Lee Simanoff866-755-9009http://www.floridahealthinsurancecorp.com
Source: www.articlecity.com
