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When Does COBRA Continuation of Coverage Terminate?

COBRA, or the Consolidated Omnibus Budget Reconciliation Act, helps you keep your group health-insurance access even after you lose or leave your job. Although this program can be helpful while you're trying to find another job, it's only a temporary measure to assist you during this time. After a certain point, the benefits end.

  1. Time Limits

    • When you stop working at your job, you can elect to receive COBRA continuation coverage with your health insurance. At that point, you have 18 months to continue to receive coverage from your health insurance plan. During that time, you can look for another job without having to worry about picking up an individual health-insurance plan or going without insurance. Once you find a new job, you can then join that group health plan.

    Disability

    • Although the original COBRA plan lasts for 18 months for most people, you may actually receive coverage through this program for a longer period if you qualify. If you're disabled, you can receive benefits for another 11 months, bringing the grand total of COBRA coverage up to 29 months.The government tries to make the job search a little bit easier for disabled individuals by providing access to group health insurance longer.

    Paying the Premium

    • Although you may have access to COBRA when you leave your job or get fired, you then have to take over the premium. When you work for an employer, the employer might pay for a portion of the premium or all of it. When you leave your job, the employer no longer picks up the tab for the insurance premium. If you keep paying your premium, you can keep the coverage for the entire time you're eligible. If you stop making your payment, the coverage ceases.

    Dependent Coverage

    • With the COBRA program, not only you can receive benefits --- your dependents can also receive coverage. Although you can only receive benefits for 18 or 29 months, depending on your situation, your dependents can actually receive benefits for longer. Benefits can be covered through the COBRA program for a total of 36 months. This option becomes available when there is a status change, such as divorce or some other type of qualifying event.

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