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Alternatives to COBRA health insurance

Guest post by: Alston Balkcom

Article Overview: If your employment ends, your employer will probably offer you COBRA health insurance. COBRA health insurance allows you to keep the group medical insurance contract that you had when you were employed.

Alternatives to COBRA health insurance

If your employment ends, your employer will probably offer you COBRA health insurance. COBRA health insurance allows you to keep the group medical insurance contract that you had when you were employed.

COBRA medical coverage has its advantages. However there are many situations where one can find better-priced coverage through an individual or family medical insurance coverage that is not connected with COBRA Insurance.

COBRA Insurance allows you to have health insurance without any investigation of your health history. So long as you accept COBRA during the election period and pay the monthly premiums on time you will be able to keep your insurance regardless of your medical history.

COBRA medical coverage is only offered if you were enrolled in the group medical insurance contract at the time of your termination. If you were terminated for gross misconduct, your employer does not have to offer COBRA health insurance to you. If your employer has fewer than 20 employees COBRA Insurance is not mandatory.

COBRA medical coverage is short-term insurance. In most circumstances a former employee can only keep coverage for 18 months. In certain circumstances, you can keep COBRA medical coverage for up to three years.

There are several circumstances that can cause you to lose your right to COBRA before you would lose your eligibility to COBRA Insurance. Not paying your premiums on time will result in your being dropped from COBRA Insurance. You can also be dropped if your former employer no longer offers a group health insurance plan to its current employees. You will lose the coverage if you accept a group medical insurance policy that covers your any pre-existing conditions you may have. If you become eligible for Medicare your COBRA will end.

One of the shortcomings of COBRA is the fact that it is a temporary plan. When your eligibility ends you will have to apply for coverage through another policy. There is no guarantee that you will qualify then. Taking your COBRA Insurance option can mean that you cannot qualify for health insurance at some point.

If you have a year and a half of eligibility for COBRA health insurance, you have a year and a half where a sickness or an accident can render you medically uninsurable for your next health insurance contract. For this reason it may be advisable to apply for a insurance plan that you can keep long term as soon as your employment ends.

COBRA health insurance is often more expensive than individually underwritten medical insurance plans. Insurance companies often base the rates they charge to groups largely on the claims that receive for that group. When you buy an individual or family plan, the rate will be based on the claims they expect to receive for you or you family.

This can result in a your being charged a much lower premium. If you and your family are in good medical you will probably pay as little as half the price you would have paid for COBRA medical coverage.

You may find that the same health insurance company that provides group insurance to your employer will also insure you on a non-group basis. This can mean that you can tap into the same network health care providers and hospitals if you switch to one of their individual or family policies.

You should explore your options with alternatives to COBRA medical coverage whether even if are already insured by a COBRA Insurance plan. You do not have to wait until your eligibility ends to switch. If get a coverage from another insurer, you can drop your COBRA at the end of the month.

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Article Tags: cobra health insurance, group medical insurance, health insurance
Referred by: http://www.searchengineworkshops.com



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