COBRA Insurance Rights & Dependents

When you are enrolled in an employer-sponsored group health insurance plan as a dependent of a parent or legal guardian, your ability to receive medical care is based on that person maintaining eligibility to participate in the health plan. The Consolidated Omnibus Budget Reconciliation Act, better known as COBRA, gives you the right to continue receiving medical coverage under an employer's group plan should a "qualifying event" occur that results in your parent losing eligibility to participate in the plan.

Qualifying Events

• COBRA allows you to maintain your health benefits when a reduced work schedule, resignation or retirement makes your parent ineligible to continue as a member of an employee group health plan. Other qualifying events include your parent becoming eligible for Medicare, divorce, legal separation or the death of a parent. When you reach an age, marital or educational status that causes you to lose "dependent child" status under the health plan rules, COBRA gives you the right to continue receiving benefits under the health plan.

Medical Coverage

• As a COBRA participant, you are entitled to the same health coverage as that of an active employee's dependent under similar circumstances. The health care you receive as a COBRA participant should include the same access to physicians and services you received while you were enrolled in the plan as your parent or guardian's dependent. In general, group health care plans cover inpatient and outpatient hospital care, doctor visits, surgery and prescription drugs, as well as trips to the dentist and the optometrist.

Election Period

• COBRA gives you 60 days to elect to continue your health care coverage. As a dependent, your parent and his employer paid the premium for your health care policy. As a COBRA participant, you or your parent will be responsible for the entire premium. The group health plan must give you at least 45 days after you choose coverage to make your first premium payment. However, if you miss that deadline, the plan can cancel your policy. The plan also can cancel your policy if you fail to make subsequent premium payments in full and on time.

Length of Coverage

• The event that causes a dependent to initially lose eligibility to remain in a group health plan determines the length of time he can remain a COBRA participant. If you elect COBRA after your parent or guardian receives a reduced work schedule, resigns, retires, or is terminated, you are entitled to 18 months of COBRA continuation coverage. If you lose coverage as the result of a your parent enrolling in Medicare, divorce, legal separation, upon your parent's death or upon losing "dependent child" status, COBRA entitles you to 36 months of continuation coverage.