Following is an overview of the standard COBRA procedures that occur when an employee experiences a loss of coverage in one or more eligible group health plans.
- Terminated employee will receive an individualized COBRA election letter stating the election options, premium costs, and all applicable dates within 44 days of termination or loss of coverage, whichever is later. Participants can expect to receive this letter in the mail in approximately 2 weeks.
- Eligible participants have 60 days to decide and respond to the COBRA election letter.
- Participants have 45 days after COBRA continuation coverage is elected to make the first premium payment. However, coverage will be suspended from the last day of the month of termination until the first COBRA payment is received by TAG.
- COBRA election options are based on the coverage you have in place at the time of termination. Your covered spouse and/or children can each elect COBRA separately. In other words, if you now have family coverage, you do not need to continue family coverage but may elect separately for yourself and/or any person who is currently covered on the date of termination.
- Medical, dental, and/or vision coverage will be terminated pending reinstatement on the last day of the month following termination. If COBRA is elected, coverage will be reinstated with no gap in service as soon as TAG receives the first premium payment.
- If participating in a Health Care Flexible Spending Account, COBRA may also apply. Participants will receive more information concerning this with the COBRA Election Letter.
- Generally, Federal COBRA coverage is for a maximum of 18 months. COBRA coverage for a Medical Flexible Spending Account (if applicable) is only available through the end of the current Plan Year.
- California Participants Only: Cal-COBRA extends coverage for any participants who have exhausted their Federal COBRA benefit for up to an additional 18 months (maximum possible COBRA coverage is 36 months).