COBRA and Continuation Coverage Flashcards
6 cards from real CES practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 COBRA and Continuation Coverage flashcards as text
What does COBRA stand for?
Answer: Consolidated Omnibus Budget Reconciliation Act
COBRA stands for Consolidated Omnibus Budget Reconciliation Act, the 1985 law requiring employers to offer continuation of group health coverage.
Which employers are required to offer COBRA continuation coverage?
Answer: Employers with 20 or more employees in the prior year
COBRA applies to group health plans sponsored by employers with 20 or more employees on more than 50% of typical business days in the prior calendar year.
How many days does a qualified beneficiary have to elect COBRA after receiving notice of the right to continuation coverage?
Answer: 60 days
Qualified beneficiaries have 60 days from the later of coverage loss or notice of COBRA rights to elect continuation coverage.
What is the maximum premium that a COBRA enrollee can be charged?
Answer: 102% of the group rate
COBRA enrollees can be charged up to 102% of the group health plan premium — 100% of the actual cost plus 2% for administrative fees.
Voluntary termination of employment is considered a qualifying event for COBRA for how long?
Answer: 18 months
Voluntary or involuntary termination of employment (other than gross misconduct) triggers a COBRA continuation period of 18 months.
Divorce or legal separation from the covered employee triggers COBRA continuation for how long?
Answer: 36 months
Divorce or legal separation is a qualifying event that allows a spouse up to 36 months of COBRA continuation coverage.