quote:

Cobra is awfully expensive

Just so it's clear, there is no "COBRA" insurance company or plan.

COBRA is a law that allows you to keep your current insurance with your previous employer, prohibits that employer from dropping you to save the premiums like used to be the case, it gives you the option to stay on that plan, which is useful as in this case while you look for alternatives.

The reason your insurance rates with Hartford, Metlife, Humana or whomever are more when you "Elect Cobra" is that your employer is no longer contributing to the total premium cost of your health insurance plan as they did as a benefit when you were employed with them.

The higher price is reflective of the total monthly insurance premium for you, adding back in the amount your old employer paid, but no longer has to pay, plus your contribution.

So if you now pay $500 a month for family coverage on your company insurance plan, and you quit/fired whatever the cause, and decide to elect your COBRA option, your new premium may be $1500 a month.

That's comprised of your amount while employed of $500, plus the $1000 a month your employer was paying to the carrier as a benefit for each employee.


Link to What is COBRA

The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers and their families who lose their health benefits the right to choose to continue group health benefits provided by their group health plan for limited periods of time under certain circumstances such as voluntary or involuntary job loss, reduction in the hours worked, transition between jobs, death, divorce, and other life events. Qualified individuals may be required to pay the entire premium for coverage up to 102% of the cost to the plan.

COBRA generally requires that group health plans sponsored by employers with 20 or more employees in the prior year offer employees and their families the opportunity for a temporary extension of health coverage (called continuation coverage) in certain instances where coverage under the plan would otherwise end.

COBRA outlines how employees and family members may elect continuation coverage. It also requires employers and plans to provide notice.

If you don’t have any pre-existing condition(s), you can get a PPO plan through healthcare.gov for a decent price. Unfortunately, my pre-existing condition disqualifies me, so I got “stuck” buying a crappy HMO plan which my PCP doesn’t even take.

Medishare and other Christian-based plans might be the way to go long-term. Good luck!!

I had one of the Christian based health share plans for a couple years. It was called Liberty Health share I believe. Last time this subject came up a member on this board who was a insurance guru called me border line insane for having it. I had cataract surgery on both eyes under that plan and it was only a couple hundred out of my pocket. Worked for me.

Now I'm on Medicare with a Blue Cross Blue Shield supplement which I pay like $25 a month for and it's been great.