COBRA
A federal law requiring employers with 20+ employees to offer continuation of group health insurance coverage to employees who lose coverage due to qualifying events.
FAQs
How long do employees have to elect COBRA coverage?
Qualified beneficiaries have 60 days from the date of the COBRA election notice (or the date coverage is lost, whichever is later) to elect COBRA continuation coverage. Coverage is retroactive to the date it would have ended, so there's no gap even if election is made on day 59.
Are part-time employees eligible for COBRA?
COBRA applies to any employee covered under the group health plan, regardless of full-time or part-time status. If a part-time employee was enrolled in the employer's group health plan, they are entitled to COBRA continuation upon a qualifying event, for the same duration as full-time employees.
What is mini-COBRA?
Many states have enacted 'mini-COBRA' laws that extend similar continuation coverage rights to employees of smaller employers (typically 2–19 employees) who are not covered by federal COBRA. Mini-COBRA requirements vary by state in terms of duration, qualifying events, and notice requirements.
Related Terms
Benefits Administration
The management of employee benefits programs including health insurance, retirement plans, PTO, and other compensation components.
W-2 Employee
A traditional full-time or part-time employee whose taxes are withheld by the employer, documented annually on IRS Form W-2.
Payroll Tax
Taxes levied on wages and salaries, split between employee withholding and employer contributions, funding social programs like Social Security and Medicare.