Hello, I am in Virginia but work for a small employer. They are discussing letting me go. How do I know they are too small for federal cobra? What is the time frame? TY Anne Em

Anne:

It's much cheaper to get multiple competing quotes through the white green zip code box at the top. Then decide if you want to pay the hefty COBRA premiums (if you are ill).

Did your employer have less than 20 full time employees the preceding calender year? If so, you probably qualify for Virginia's mini COBRA continuation law which requires an employer to offer continuation coverage to an employee who has been continuously insured under the group policy during the entire three-month period prior to termination of coverage (Sec. 38.2-3541).

All employees and covered dependents whose group coverage is terminated for any reason are eligible for conversion coverage, unless they are eligible for replacement group coverage at the time of termination, or unless overinsurance would result (Sec. 38.2-3541).

The new Virginia Mini COBRA law imposes two changes upon all policies issued after July 1, 2010. First, the new law extends duration of the continuation option from 90 days to 12 months. Second, and more importantly to employers, the new law requires all employers to provide “each employee and other covered person under such a policy written notice of the availability of the option chosen and the procedure and time fame for obtaining continuation or conversion of the group policy.” The notice must be sent within 14 days of the date the employer becomes aware that the employee or other person is ineligible under the group health policy.

Small businesses must develop a standard, written notice which satisfies the requirements of the statute, and must develop a policy of issuing such a notice within 14 days of learning that a person covered under the health plan is no longer eligible for coverage.

Under Virginia's mini-COBRA, small businesses are required to make sure proper notice is provided to employees notice no later than 30 days after the date of the employee's termination from employment or benefits. The employee has 60 days to enroll.