Tweet

Should you Take C.O.B.R.A.?

Written by: Alston Balkcom

Article Overview: Should you leave a job, C.O.B.R.A. insurance might be the optimum choice to insure yourself. It may also be a very big error. Knowing if you should take your previous company's C.O.B.R.A.

Should you Take C.O.B.R.A.?

Should you leave a job, C.O.B.R.A. insurance might be the optimum choice to insure yourself. It may also be a very big error. Knowing if you should take your previous company's C.O.B.R.A. offer can help you save you thousands of dollars. C.O.B.R.A. may have a cost that is much more when compared to similar non-COBRA insurance choices that may offer nearly identical or sometimes better benefits.

COBRA could be the best option if:

Individual health coverage isn't available to you

Individual and family health care cover would cost significantly more

You are guaranteed acceptance into a health coverage plan when C.O.B.R.A. ends

If you or a family member has a pre-existing condition, accepting your COBRA option could be your best and only viable choice. Private health insurance can not be an option for you and your COBRA medical care assurance policy will probably cover the health condition.

Usually C.O.B.R.A. medical cover costs more than a plan available to those who buy their assurance directly. Since C.O.B.R.A. is an extension of your eligibility for your company's group medical care coverage plan and group healthcare coverage usually costs more than individual medical coverage.

However, in certain situations, C.O.B.R.A. will cost less than a plan that you may buy on your own. If that difference is great enough, you may want to consider the C.O.B.R.A. option.

If you are guaranteed approval from a reputable medical care insurance policy when your COBRA eligibility ends you avoid the biggest pitfall of COBRA medical insurance. Often people who are perfectly healthy when they sign up for C.O.B.R.A. won't be when their eligibility ends. This may mean that their home or other assets are used to pay for medical bills that are incurred after their C.O.B.R.A. plan ends.

C.O.B.R.A. could be a expensive mistake in many other scenarios. This is because:

Accepting C.O.B.R.A. now may mean that you won't qualify for other coverage when your COBRA ends

C.O.B.R.A. could cost you more than a private medical coverage policy

The biggest issue with accepting C.O.B.R.A. isn't the cost when compared to a similar private health assurance policy. The biggest problem is the tens of thousands of dollars you might have to pay out of your pocket for health care after your COBRA ends. COBRA will typically end 18 months after your job ends. If, for example, you will be eligible for Medicare when your C.O.B.R.A. ends, this issue shouldn't concern you. However, there is always the chance that you will develop a serious health care condition during the time that you are covered by C.O.B.R.A.. This might cause any new coverage company to reject your application.

If you can acquire a policy that you can keep until you're eligible for Medicare while you're healthy, you can avoid this potential disastrous event.

Many people fail to even check prices for other health care coverage options. C.O.B.R.A. healthcare coverage is often the most expensive option. COBRA can cost 2 times as much as a individual medical coverage policy!

be certain to shop around for prices and benefits. Very often your C.O.B.R.A. medical care policy insurer will have a similar policy non-C.O.B.R.A. policy that you're eligible for.

C.O.B.R.A. assurance can be a great option in certain situations. However you should investigate other available insurance options because purchasing C.O.B.R.A. when there are better insurance options an option for you might be a costly mistake.

Related Articles
  Alternatives to COBRA health insurance
  Is COBRA healthcare coverage the best deal?
  Changes to COBRA Require Employer Action
  COBRA Health Care insurance vs Family or Individual Medical Care Insurance
  Health Insurance: Medicare, Medicaid & Cobra? What Does It All Mean

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



Related Forum Posts


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Tweet

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

Ten Reasons to take Notes during Sales Meetings

Soda Vending Machine = Energy Hog

Setting Goals for your Home Based Business

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.