Consider COBRA Medical Insurance If You Lose Your Job
In 1986, the COBRA medical insurance provisions were voted into law in the U.S. This law changed several federal laws, including the Internal Revenue code and the Employment Retirement Income Security Act, among others. These changes required certain companies to continue employer-sponsored group health insurance that would otherwise be terminated by layoff or similar circumstances. The COBRA medical insurance law enables employees to retain medical insurance between jobs at the rate and benefits available to their former employer.
COBRA medical insurance generally applies to companies employing 20 or more employees that have a company sponsored group insurance plan. The law does not apply to any government agency of the District of Columbia, or any U.S. territory or possession. Certain church-related organizations are not subject to the COBRA medical insurance laws. Strangely enough, COBRA medical insurance laws do not apply to the federal government! Instead of COBRA, the U.S. federal government offers a similar insurance continuation program under the Federal Employees Health Benefit Program.
