COBRA insurance benefit packages are meant to protect people who have gone through a major life event. There are many different eligibility requirements that you must meet in order to take full advantage of these benefits.
First, COBRA is defined as a health insurance supplement, meaning that you must have a primary health insurance plan that allows for COBRA continuation coverage. You must have a healthcare insurance program from a private sector employer with at least 20 employees in order to be eligible for COBRA coverage. Plans that are underwritten by the federal government or church organizations are not eligible. COBRA continuation will be offered to you if you have a health insurance plan that offers it and you meet the other criteria on the list.
Second, you must have had a major life-changing event that is eligible for COBRA coverage. In order to quit your other health insurance and be eligible for COBRA continuation, there is usually a large life event that causes the unemployment, like an accident on the job that disallows you from working would qualify as something that can get you COBRA continuation coverage.
However, you can also get COBRA continuation coverage whether you are fired or quit, depending on the circumstances. If you have been laid off because of gross behavioral problems on the job you will be disqualified from any sort of COBRA continuation service.
You can also receive COBRA continuation benefits if your hours are reduced through no fault of your own. Normally, your hours must be reduced so much that you are not able to stay on the primary health insurance plan of the company.
Third, you must be a qualified beneficiary of the health plan you have. The individual who is employed is not the only person who is eligible for COBRA benefits. Dependence and spouses of people who have qualifying eligible health insurance plans are also able to receive those benefits as well.
You can also receive COBRA continuation coverage if you are having a major life event with a person who is covered by an eligible COBRA plan. For instance, if you are divorcing a person who was employed under such a plan, then you are also eligible to receive COBRA continuation benefits. You can also be eligible for COBRA continuation if the employee under such a plan dies and you are married to that person during their tenure of employment.
