Is COBRA the Right Insurance for You?

Funny notes from the choir.

At the evening service tonight, the sermon topic will be ‘What Is Hell?’ Come early and listen to our choir practice.

Eight new choir robes are currently needed due to the addition of several new members and to the deterioration of some older ones.

Miss Charlene Mason sang ‘I will not pass this way again,’ giving obvious pleasure to the congregation.

A bean supper will be held on Tuesday evening in the church hall. Music will follow.

Is COBRA the Right Insurance For You?

Every month Rebecca Bloomfield, partner in Jerry S, Pearlstein Insurance Ltd., gives “COBRA and Alternatives” seminars to the clients of outplacement services. Download more info COBRA_10ThingsYouShouldKnow_JerrySPearlsteinInsuranceLtd.

If you are let go from a company with 50 employees or more, the federal government requires them to keep you in the company’s group health insurance plan for 18 months. This program is called COBRA.

Why do people want to choose their own health insurance instead of taking COBRA?
•The employee must now pay the whole premium for their group plan plus a 2% administration fee. This might be costlier than individual health insurance.
•The government offers assistance to pay premiums and out-of-pocket costs like deductibles for people whose incomes are within certain ranges when they buy an
Affordable Care Act approved private health insurance plan. We are very successful in getting this help for people suddenly without an income,

Why may it be better to take COBRA?
•You may have met your annual deductible and out-of-pocket maximum in your group plan. You will have to meet them again with individual health insurance.
•You can use the money in a Health Savings Account (HSA) to pay COBRA premiums. You cannot use HSA funds to pay premiums for private health insurance.
•Private health insurance might not cover the doctors and hospitals you use.

When do you have to decide between COBRA and alternative major medical health insurance?
•You have 60 days from the end of your benefits as an employee to make your choice.
•You can leave COBRA when the Affordable Care Act offers Open Enrollment November 1 – December 15.
•COBRA is not extendable. You must put an alternative major medical health insurance policy in place to begin when COBRA ends.

Call us if you’re in transition. We’ll be happy to use our expertise to explain your options and get you the health insurance you need.
Free. No obligation. 847.362.8888.