On June 10, 2009, The Pennsylvania mini COBRA law required plans with 2-19 to offer eligible individuals continuation of their group plan medical benefits
coverage (at their own cost) for up to nine months.
Pennsylvania COBRA Eligibility
To be eligible for continued coverage under Pennsylvania's Mini-COBRA law, a person must:
Have worked for an employer that normally employed between two and 19 employees on a typical business
day during the preceding year;
Have experienced a loss of group coverage due to a qualifying event (e.g., a termination of employment for
reasons other than gross misconduct, death, divorce, Medicare eligibility, loss of dependent status, and
certain situations where the employer files for bankruptcy);
Have been covered by the employer's group health plan for the full three months prior to the qualifying
event; and
Not be covered by or eligible to be covered by another private group health insurance plan or Medicare.
Within 30 days after a qualifying event, the employer must notify the plan administrator (if different than the
employer), the employee, the employee's eligible dependents, and the group health plan insurer of the qualifying
event and, in the case the employee and eligible dependents, of their right to elect continued group medical
coverage. The employee and eligible dependents can elect continuation coverage by completing the notice form and returning
it to the administrator (the employer or the person the employer hires to administer its health benefits) within 30
days. The administrator must notify the insurer of the election within 14 days. If an employee or dependent elects continued coverage but later ceases to be eligible, the employee or eligible
dependent must notify the administrator within 14 days.
Pennsylvania Continuation Coverage
Pennsylvania's Mini-COBRA law applies to a group policy that provides hospital, surgical or major medical
insurance coverage but does not apply to policies that provide only dental or only vision coverage. Eligible employees and dependents that elect continued coverage must pay for it. Except as discussed in the next
section, premiums for the coverage can be up to 105 percent of the employer's group rate for the coverage.
Pennsylvania COBRA Expiration
Continued coverage under the new Pennsylvania Mini-COBRA law expires at the earliest of the following events:
The beginning of the month for which the insured fails to timely pay a required premium;
The date on which the employer terminates the group policy; or
Nine months after the employee's regular coverage would have ended.
Converting Pennsylvania mini COBRA
Employers must offer conversion coverage to employees, surviving or divorced spouses, and dependents who have been continuously covered for 3 months before the termination of coverage. The effective date of the converted policy is the day following the termination of insurance under the group policy (Section 756.2).
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.
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