Page 290

MRG

UPDATED: NOVEMBER 2009

716

OTHER ELIGIBILITY REQUIREMENTS

CONSOLIDATED OMNIBUS BUDGET RECONCILATION ACT (COBRA)

Policy: COBRA allows certain persons who lose their health insurance coverage, provided through an employer, to continue coverage by paying the entire premium himself or herself. The premium is paid at the group rate paid by the employer. Generally, COBRA continuation election must be made within 60 days of the date coverage ends or the date of notice of the coverage option from the plan administrator, whichever is later. The plan must allow no less than 45 days from the date of the initial election to pay for the premium for the period beginning the day coverage would otherwise have ended. Coverage can continue for 18 to 36 months depending on the circumstances.

References: SSL

104 367-a (1) (d)

Dept Reg

360-3.2

360-4.6(a)

360-4.7(b)

360-7.5(h)

ADMs

91 ADM-53

91 ADM-27

87 ADM-40

GISs

09 MA/024 97MA/001

Intrepretation: To be a COBRA Continuation Beneficiary (CCB), the individual must meet the following conditions:

1. Be an employee, spouse, or dependent child (ren) of the employee, or a retiree and/or his/her dependents or surviving spouse.

2. Have lost group health insurance coverage because of one of the following:

• Death of the covered employee • Termination of covered employee’s employment (except due to gross misconduct) or reduction in hours • Divorce or legal separation of covered employee from the employee’s spouse