If an eligible participant loses medical coverage due to certain qualifying events, he or she may be eligible to continue coverage under the same medical plan by electing COBRA continuation coverage. COBRA, which stands for the Consolidated Omnibus Budget Reconciliation Act, lets individuals make personal payments to continue under their same health plan due to:
- Voluntary or involuntary employment termination
- Reduction in work hours
- Divorce or separation
- Death of a primary plan participant or dependent
- Dependent child exceeding the maximum age limit
Eligible participants that elect COBRA continuation coverage must do so within sixty days after the date their prior coverage would otherwise end, or the date the participant receives a notice of the right to elect continuation coverage, whichever is later. Participants in COBRA continuation coverage must pay the full cost of the premiums, and an administrative fee.
For more information on COBRA continuation coverage, visit the Department of Labor website, or contact the Fund Office for specific information about how continuation of coverage rules applies to your plan.