June 5, 2017
If your agency offers group health benefits, you will have some responsibilities under COBRA.
COBRA is a federal law that requires employers of a certain size to continue to offer coverage to individuals who would otherwise lose their benefits. This most often happens due to termination of employment or a reduction in hours.
Let’s see how well you know your COBRA – take this short quiz to test your knowledge:
- Federal COBRA applies to employers with 20 or more employees enrolled in health benefits.
- TRUE
- FALSE
- California nonprofits have the option of participating in Cal-COBRA if they don’t qualify for Federal COBRA.
- TRUE
- FALSE
- The maximum number of months someone can stay on COBRA or Cal-COBRA is:
- 12
- 18
- 29
- 36
- COBRA and/or Cal-COBRA may also apply to other health benefits (e.g. dental, vision, etc.).
- TRUE
- FALSE
- COBRA and/or Cal-COBRA premiums are exactly the same as a regular employee’s premium.
- TRUE
- FALSE
How do you think you did? Check below for the answers to the quiz.
- FALSE
Whether your organization is subject to Federal COBRA is determined by the number of employees on staff the preceding year. It doesn’t matter if they are enrolled in a health plan for this determination. However; someone who is not enrolled in your group health plan will not be eligible for COBRA benefits. - FALSE
It’s not an “option”. If the employer only has 2-19 employees and offers group health coverage, they are covered by Cal-COBRA. - 36 months
Federal COBRA = 18 months for some events (then eligible for another 18 months of Cal-COBRA)
= 36 months for some events
Cal-COBRA = 36 months - True
The most common types of plans COBRA and Cal-COBRA apply to are medical, dental, vision, Flexible Spending Accounts (FSA), and Health Reimbursement Accounts (HRA). - FALSE
COBRA premiums can be up to 102% of the regular premium
Cal-COBRA premiums can be up to 110% of the regular premium
Disability extension COBRA or Cal-COBRA premiums can be up to 150% of the regular premium
To find out more about COBRA or Cal-COBRA, see California Department of Managed Health Care – Keep Your Health Coverage (COBRA). Your Employee Benefits Account Manager is also happy to answer any questions you may have.