COBRA is an acronym for the Consolidated Omnibus Budget Reconciliation Act of 1985.
It allows certain employees and their dependents that would otherwise lose group coverage to temporarily continue coverage with the same plan.
PLEASE NOTE: The Consumer-Directed Health Plan (CDHP) will not be a plan option for 2018. As such,
the Health Reimbursement Account (HRA) will not roll over for use in 2018. HRA funds provide first dollar payments
for covered services and benefits to members and are not actual funds that can be reimbursed or paid to members.
The HRA funds will only be available for claims incurred in 2017 and submitted for processing before March 31, 2018.
Please plan accordingly for the remainder of the year regarding any unused HRA funds.
When members elect and pay to continue coverage, they are enrolled and billed to a current date. Subsequently, COBRA members are billed on a monthly basis, 20 days prior to the period for which premiums are due.
This explains COBRA continuation rights when health benefit plan coverage would otherwise end because of a life event known as a "qualifying" event.