Who must be offered continuation coverage when a qualifying event occurs?
Continuation coverage must be offered to any covered employee to whom a qualifying event occurs. A covered employee is any individual who is (or was) covered under a group health plan by virtue of that individuals employment or previous employment with the employer. Continuation coverage must also be offered to any qualified beneficiary. A qualified beneficiary is any individual who is (or was) a beneficiary under the plan as the spouse or dependent child of the covered employee. In addition, with the passage of the Health Insurance Portability and Accountability Act of 1996, a child born to or placed for adoption with a covered employee during COBRA coverage is also a qualified beneficiary. In addition, when the qualifying event is the termination of employment or reduction of hours, a covered employee is considered a qualified beneficiary. Although an employer need not pay health insurance costs for employees while they are on strike, strikers do not forfeit their COBRA rights. They
