A major life change can affect your healthcare coverage. From marriages and divorces, to a job losses, to the birth of a child, there are many life events and changes that can happen.
However, when experiencing a major life event, there are often ways to ensure you are still receiving the appropriate healthcare coverage for your needs.
Consolidated Omnibus Budget Reconciliation Act (COBRA)
Did you just recently lose your job? If so, and you had group health coverage with your employer, then you may be eligible for the Consolidated Omnibus Budget Reconciliation Act (COBRA). COBRA allows you to purchase your health coverage after a life change, like a job loss, through your former employer’s group health insurance for up to eighteen months after your job ends.
Unfortunately, with COBRA, you will have to pay a higher rate, making it critical that you consider alternative healthcare coverage before going that route.
Affordable Care Act (ACA)
You are eligible to enroll in healthcare coverage under the Affordable Care Act (ACA) if you are within sixty days of post-employment, or after a major life change, such as a divorce. This option may be less expensive than COBRA, however your coverage options will likely change. It may be a good idea to ensure you are checking to see if your healthcare professionals, as well as your medications are covered under the healthcare plan you are considering.
In the event that you think you may be back to work soon, and your new company offers group healthcare coverage, then a short-term plan may be ideal for you. Effectively, it can be a stopgap solution as you await a longer-term option, and can be a less expensive option.
Talk To Your Insurance Agent
Determining which healthcare option is best for you can be difficult. That is why it can be extremely helpful to speak with your insurance agent before making a decision. They may even be able to offer alternatives that you are not aware of, or haven’t considered.