About Carolyn S. Magura Expertise Expert advice on Group Medical plans; ADA; short and long term disability plans; COBRA, OBRA (11 month extension of COBRA due to disability); HIPAA; and Medicare.
Experience 30+ years as a Human Resources Professional, with Benefit expertise. 35+ years Multiple Sclerosis survivor. Currently on long term disability. I also on SSDI (Social Security Disability Insurance). I was one of the few to receive approval the first time around, in about 30 days!
Question My job was recently elimintated effective 8/30/04. I am starting a new position on 9/15/04. My brother says that I do not need to take COBRA insurance for a break in insurance coverage that is less than 90 days. Is he correct? Thank you for your help, Jo
Answer Dear Jo: First of all, great news that you start a new job on 9-15-04! The answer to your question is more complicated than yes or no. See if this helps:
1) The primary reason to get COBRA for a short break in coverage, is that if you have a pre-existing medical condition, and you have what is called a "break in service" of greater than 30 days between Employer Group Health Insurance Plans, you might jeapordize coverage.
2) Often times, when jobs end, health insurance continues for the next month. You might want to see if yours does.
3) You need to check out the START, or eligibility date for coverage of health insurance with your new position. In some cases, coverage begins the FIRST DAY OF THE MONTH, 30 DAYS AFTER THE EMPLOYMENT MONTH. In otherwords, in this case, you wouldn't be eligible for coverage until 11-1-04, since you begin your job in the middle of the 9th month!
4) Finally, if you find out that you do need a short coverage, before selecting expensive COBRA, find an insurance company locally, and ask for what is called "interim insurance". This insurance is usually less expensive than COBRA; it just covers catistrophic events. You do need to ask your new employeer to check whether, if needed, and you go from covered employer's insurance to interim insurance to covered employer's insurance that your pre-existing insurance condition is still covered.
Hope that this information helps more than it confuses you! If you need further clarification, please ask another question, and I'll respond immediately.
