COBRA or Consolidated Omnibus Budget Reconciliation Act (1985) guarantees, according to existing federal law that the health insurance of an employee who has left his job for a period that extends to eighteen months following termination of the employee’s services continues to remain in effect. Cobra health insurance coverage is mandatory for most companies that offer their employees group health insurance coverage and under certain circumstances the Cobra health insurance coverage can even be extended beyond the eighteen months to as many as twenty-nine and in some cases even thirty-six months.

Not Applicable For Each And Every Terminated Employee

Cobra health insurance coverage is of course of great use to those employees that have become unemployed since they are still protected against health costs for at least eighteen months during which time it should be possible for them to find new work. Unfortunately, Cobra health insurance coverage is not applicable for each and every employee whose services have been terminated by their employers.

Furthermore, it is necessary that employers also are clear about whether Cobra health insurance coverage exclusions apply for their companies as well as for their employees. For any employee that has recently been fired the law of the land protects them and gives them an opportunity to find suitable health insurance at group rates even when the person is still unemployed. However, such coverage is seldom cheap and there is also need for the employee to pay the entire premium along with another two percent surcharge.

Individuals that are unemployed on account of termination of services or who have been laid off or who have otherwise been forced to see a change in their employment status and who are still qualified for Cobra health insurance coverage need not worry because COBRA will still be able to protect them for that eighteen month period until such time as they are able to get new health insurance coverage.

Of course, it must be stressed that Cobra health insurance coverage is temporary though at the same time it performs a very useful function as it ensures that individuals continue to have health insurance coverage for another eighteen months following their loss of job.

In regard to health insurance maternity coverage it is surprising to learn that as many as an estimated thirteen percent of all pregnant American women have no maternity pregnancy coverage. This puts them at risk of not being able to pay for the necessary pre-natal care and they also must bear the expenses related to their pregnancy on their own.