What exactly does COBRA health insurance continuation coverage do?
COBRA Continuation Health Coverage provides certain former employees, retirees, spouses, former spouses, and dependent children the right to the temporary continuation of health coverage at group rates. This coverage, however, is only available when coverage is lost due to certain specific events. Group health coverage for COBRA medical insurance participants is usually more expensive than health coverage for active employees, since usually the employer pays a part of the premium for active employees while COBRA participants generally pay the entire premium themselves. It is ordinarily less expensive, though, than permanent individual health coverage, which can be too expensive for an individual looking for a temporary health insurance solution or more affordable health coverage option when health coverage is lost under certain circumstances, such as voluntary or involuntary job loss, reduction in the number of hours worked, transition between jobs, death, divorce, and other life event
