Federal COBRA is a U.S. law that applies to employers and group health plans that cover 20 or more employees. It lets you keep your group health insurance when your job ends or your hours are cut. You have to pay the premium but you can keep your insurance for at least 18 months.

Find out about The American Recovery and Reinvestment Act of 2009 (ARRA) which reduces COBRA premiums up to 65% for up to 15 months for certain individuals terminated between September 1, 2008 and May 31, 2010, and their qualified dependents. Also, eligible individuals may be able to change to less costly coverage, if the employer allows. There is also a special election period for people who did not sign up for COBRA when they first became eligible.

Cal-COBRA is a California law that is like Federal COBRA. Cal-COBRA applies to employers and group health plans that cover from 2 to 19 employees. It lets you keep your insurance for up to a total of 36 months.

A reduction in premium is also available to people eligible for Cal-COBRA under the ARRA. Eligible individuals may be able to change to less costly coverage, if the employer allows. At this time, there is no special election period for people who did not sign up for Cal-COBRA when they first became eligible. Contact your health plan for more information.

Cal-COBRA is also for people who use up their Federal COBRA. When your 18 months of Federal COBRA ends, you can buy 18 more months of health insurance under Cal-COBRA.

Meet the Deadlines

• You have 60 days after being notified of your Federal COBRA/Cal-COBRA rights to sign up.
• If you do not get notification in the mail, call your last employer or health plan.
• Call the Help Center if you are having problems getting the forms you need.
• If you miss the deadline, you may lose the chance to sign up for Federal COBRA/Cal-COBRA.

Questions and Answers

• Who can enroll in Federal COBRA or Cal-COBRA?
• How do I sign up for Federal COBRA or Cal-COBRA?
• Can I get Cal-COBRA after I use up my Federal COBRA?
• What are my benefits under Federal COBRA and Cal-COBRA?
• When do Federal COBRA and Cal-COBRA end?
• Who cannot enroll in Federal COBRA or Cal-COBRA?
• Can I continue my insurance after Federal COBRA or Cal-COBRA ends?

Who can enroll in Federal COBRA or Cal-COBRA?

• You may be able to get Federal COBRA if you have health insurance through an employer who has 20 or more employees and there is a qualifying event described below.
• You may be able to get Cal-COBRA if you have health insurance through an employer who has 2 to 19 employees and there is a qualifying event described below.

A qualifying event means that you lose your health insurance because:

• The employee's job ends.
• The employee's hours are cut.
• You divorce or legally separate from the employee.
• You are no longer a dependent of the employee.
• The employee enrolls in Medicare.
• The employee dies.

How do I sign up for Federal COBRA or Cal-COBRA?

• If you leave your job or your hours are cut, you should receive a notice that says you can enroll in Federal COBRA or Cal-COBRA. Within 60 days of the date of the notice, you must tell the health plan in writing that you want to sign up.
• If you divorce, legally separate, or you can no longer be considered a dependent, you should tell the employer and the health plan to send you the forms you need. Within 60 days of being notified of your right to Federal COBRA or Cal-COBRA, you must tell the health plan in writing that you want to sign up.
• The health plan must then send you a notice that tells you how much the premium is and how to sign up.
• Make sure you:
• Send in the application form before the deadline.
• Send it to the right place.
• Send the right premium amount.
• Meet the deadline for paying your premium.

Can I get Cal-COBRA after I use up my Federal COBRA?

You may be able to. If your Federal COBRA lasted 18 months, you may be able to keep your health insurance under Cal-COBRA for 18 more months, for a total of 36 months. If your Federal COBRA lasted 36 months, you cannot get more Cal-COBRA.

What are my benefits under Federal COBRA and Cal-COBRA?

• You have the same benefits as other employees in the same plan.
• If other employees have open enrollment periods when they can change from one plan to another, you can too.
• If the employer changes the employees from one plan to another, you change too.
• You have no restrictions because of pre-existing conditions.
• If the group plan offers specialized plans, such as dental or vision plans, they must be offered to you also. However, if you change to Cal-COBRA from Federal COBRA, these specialized plans do not have to be offered to you.

When do Federal COBRA and Cal-COBRA end?

They end when:

• The time period ends (up to 18 months of Federal COBRA followed by up to 18 months of Cal-COBRA (36 months total), or 36 months if you only have Cal-COBRA).
• You do not pay your premiums on time.
• The employer no longer offers any health insurance.
• You move outside the health plan's service area.
• You enroll in, or become eligible to enroll in Medicare.
• You enroll in another health plan.

Who cannot enroll in Federal COBRA or Cal-COBRA?

You cannot enroll in Federal COBRA or Cal-COBRA if you:

• Are enrolled in, or become eligible to enroll in Medicare.
• Are fired for gross misconduct.
• Did not enroll within 60 days of being notified of your right to Federal COBRA or Cal-COBRA.
• Do not pay your premiums on time.
• Are covered or become covered by another health plan.
• Are covered by a Self-Funded plan or an out-of-state plan (for Cal-COBRA).

Can I continue my insurance after Federal COBRA or Cal-COBRA ends?

Yes. You have several choices, including:

• Enrolling in a HIPAA plan
  
• Converting your group coverage to individual coverage HIPAA and Conversion Coverage.
• Buying Individual Health Insurance.
• Enrolling in California's high-risk health insurance pool, known as MRMIP.

Resources

California Department of Insurance (CDI)
State agency with information on COBRA
1-800-927-4357 (many languages)
1-800-482-4833 (TTY)
www.insurance.ca.gov (Spanish)

U.S. Department of Labor COBRA
Information on the Federal COBRA program to help you keep group health insurance if you lose your job or your hours are cut
1-866-444-3272 (Spanish, Chinese)
1-877-889-5627 (TTY)
www.dol.gov/dol/topic/health-plans/cobra.htm (Spanish)
www.dol.gov/ebsa

Major Risk Medical Insurance Program (MRMIP)
Provides Health insurance if you are unable to get coverage because of your pre-existing conditions. To get a program handbook or application
1-800-289-6574
www.mrmib.ca.gov/MRMIB/MRMIP.html