COBRA Continuation Health Coverage Alaska AK

Reader’s Question:

How exactly can COBRA help me secure health insurance coverage in Alaska? I don’t exactly understand what it’s for.

John

Anchorage, AK

Paying for individual health insurance coverage generally ends up being more expensive than getting one by groups. So, the premiums for job-based health insurance policies are lower than those of individual health insurance plans. If you have just retired or resigned from your job in Alaska, getting your own health insurance coverage could be a problem. The basic idea of COBRA or Consolidated Omnibus Budget Reconciliation Act is for former employees to get coverage continuously at group rates, which — prior to the enactment of this — would already have been terminated. At least temporarily, former employees, retirees and their families can continue to enjoy health insurance coverage at cheaper rates. Even though at this point, the employer will no longer share the expense, the fact that you are being charged group rates is still an advantage. Of course, not everybody is entitled to this. If your employment has been terminated due to gross misconduct, you are disqualified from availing yourself of continued health insurance coverage. So, be sure to enroll at your employer’s health insurance plan while you are still in active service. This applies to any company with 20 or more employees. I truly hope this helps. Try to ask your employer now for clarification.

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