Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) - ASI
Enrollment During the Plan Year
COBRA gives workers and their families who lose their group health benefits the right to choose to continue health benefits provided by their group health plan for limited periods of time following a qualifying event.
Below are qualifying events for a covered employee if they cause coverage loss.
- Termination of employment for any reason other than “gross misconduct”
- Reduction in hours of employment
Below are qualifying events for a spouse and dependent child of a covered employee if they cause the spouse or dependent child to lose coverage.
- Termination of the employee’s employment for any reason other than “gross misconduct”
- Reduction in hours worked by the employee
- Employee becomes entitled to Medicare
- Divorce or legal separation from the employee*
- Death of the employee
Below is a qualifying event for a dependent child of a covered employee if it causes the child to lose coverage.
- Loss of “dependent child” status under the plan rules*
It is the employee’s responsibility to notify their Human Resources (HR)/ Benefits Office of a qualifying event within 30 days* of the event date. COBRA notices are mailed by ASI, the State’s COBRA administrator the week following the date the qualifying event is processed by HR in the State’s database. NOTE: If a qualifying event is not reported promptly, it may cause a delay in a COBRA notice being issued.
Employees or qualifying spouses or dependents who want to enroll in COBRA coverage must do so within 60 days of their qualifying event notice being provided by ASI. Completed election forms and premium payments should be submitted directly to ASI.
COBRA Participants must make their initial premium payment within 45 days after electing COBRA coverage. After the initial premium payment is made, monthly premiums are due by the first of the month.
IMPORTANT: A lack of timely enrollment in COBRA coverage or payment of premiums will result in a loss of COBRA benefits. A reinstatement of COBRA coverage due to a missed enrollment or payment deadline is not permissible.