Plans with 2-19 employees can qualify for 18 months. (G.L. c. 176J, ยง 9) was enacted in August 1996 and amended the Massachusetts small group health insurance law to require small group health carriers to provide continuation of coverage benefits which are similar to federal COBRA.
Massachusetts Mini COBRA Law notice
Once the small group carrier is aware that a Qualifying Event has occurred, it must provide notice to the Qualified Beneficiary of his/her rights under Mini-COBRA. This notice must be provided within 14 days of the date the small group carrier becomes aware of the Qualifying Event.
Small group carriers may require small employers/intermediaries to help with the administration of Mini-COBRA in the provision of certain notices and in collecting premiums
Massachusetts Mini COBRA Election Period
Qualified Beneficiaries have 60 days to make a written request for the coverage. The Election Period runs 60 days from the later of:
the date on which coverage terminates under the small group health benefit plan because of the qualifying event; or
the date the Mini-COBRA notice is sent.
At any time during the 60 day election time frame, the Qualified Beneficiary may decide to waive their right to continue coverage under MA mini COBRA. If the Qualified Beneficiary changes their mind, the waiver may be revoked before the end of the election period. If the waiver is revoked, the small group carrier is only required to provide coverage beginning on the date the waiver is revoked.
Under COBRA, a terminated employee is entitled to continue his or her group health insurance for 18-36 months. The employee is entitled to the same coverage as current employees, since it is a seamless continuation of the current plan.
Cobra Insurance Notice
Most problems and confusion regarding COBRA Insurance involve misinformed employers who aren't aware they're supposed to offer employees COBRA. Read our Sample COBRA Notice. Also some employees thinking they should get their COBRA upon termination. Read about COBRA notification time requirements.
COBRA Insurance Cost
The 65% COBRA subsidy was for employees losing their health insurance from
Sept. 1, 2008 to after May 31st, 2010. That was part of the stimulus bill. Now the employee will be required to pay the full cost of health insurance, including any portion formerly paid by the employer. In addition, the employer can charge a 2% COBRA administration fee, bringing the total payment to 102% of the premium.
Who Qualifies for COBRA?
Employers with over 20 full time employers usually have to offer COBRA to an employee within 45-60 days of the qualifying event. Qualifying events include the employee losing their health insurance for a variety of reasons including a reduction in hours or termination. Dependents who lose insurance for other reasons, such as divorce, also qualify for COBRA. Exceptions include employees terminated for willful gross misconduct, employers with less than 20 total employees, non profits or churches organizations.
No Mini Cobra Coverage
47 of the 50 U.S. states have COBRA laws that cover smaller employers, generally called state mini-cobra laws. States that have not passed a mini-cobra law include Alabama, Alaska, and Delaware.
Among States that have mini-cobra laws, the lengths of coverage vary from 30 days to 36 months. Please refer to our Mini State COBRA Law Directory.
Written by Craig J. Casey
Craig Casey is an Writer, Coach, Blogger, Husband, and Former Health Insurance Agent helping people on the web since 1999 with their health insurance problems.
blog comments powered by Disqus
About COBRA
Employers who offer group health care plans to a minimum of 20 employees must comply with ERISA (the Employee Retirement Income Security Act of 1974). The Federal version or the Consolidated Omnibus Budget Reconciliation Act of 1986 (COBRA), requires that most group health plans provide 18-36 months of continuing health insurance.
