When and how must a notice of termination of Cobra?

When and how must a notice of termination of Cobra?

Most notably, plan administrators must provide a written notice of termination if a qualified beneficiary’s COBRA coverage terminates before the end of the maximum coverage period. As a reminder, the COBRA maximum coverage period is generally 18 or 36 months,…

What are the qualifying events for COBRA continuation?

For “covered employees,” the only qualifying event is termination of employment (whether the termination is voluntary or involuntary) including by retirement, or reduction of employment hours. In that case, COBRA lasts for eighteen months.

Can a company require an employee to sign a Cobra release?

As you are likely aware, employers with 20 or more employees are generally required to offer COBRA coverage to departing staff members. Therefore, an employer cannot require a terminated employee to sign a release of employment claims to receive COBRA coverage. You can, however, offer something additional to induce the employee to sign a release.

How long does it take to elect Cobra coverage?

Qualified beneficiaries must be given an election period of at least 60 days during which each qualified beneficiary may choose whether to elect COBRA coverage.  This period is measured from the later of the date of the qualifying event or the date the COBRA election notice is provided.

Can a terminated employee be required to sign a Cobra release?

Therefore, an employer cannot require a terminated employee to sign a release of employment claims to receive COBRA coverage. You can, however, offer something additional to induce the employee to sign a release.

Is there a waiting period for Cobra to kick in?

The only problem, you have a waiting period before you are eligible to enroll. So you enroll in COBRA to avoid a gap in coverage. Your benefits finally kick-in and you no longer need COBRA. You will need to notify the plan sponsor (or designated COBRA administrator) to terminate your COBRA coverage.

Do you have to notify your Cobra sponsor when your coverage ends?

So you enroll in COBRA to avoid a gap in coverage. Your benefits finally kick-in and you no longer need COBRA. You will need to notify the plan sponsor (or designated COBRA administrator) to terminate your COBRA coverage. Be sure to specify the date your new group coverage begins and COBRA coverage ends.

What happens when a group plan stops offering Cobra?

If a group plan no longer exists for any active employees, there is no longer an opportunity for you to maintain coverage through COBRA. A group’s decision to stop offering a particular plan doesn’t lead to a loss in COBRA coverage eligibility.