COBRA continuation coverage cost.

U

unsane

Registered Users (C)
Anyone familiar with COBRA? I'm in the middle of changing jobs and would like to know the ballpark figure for the continuation of one month's coverage so that I can negotiate the sign-on.

Thanks!
 
You have to ask your current/old company's benefits area for that cost. There is no "ballpark" figure as it's the total cost for the health insurance - the employee and EMPLOYER portion combined. And those costs are solely dependent on the "deal" setup between your employer and their health insurance provider.

For example - at one company I might have paid $300 per month while my employer kicked in $500 per month. Therefore my COBRA would have been $800 per month. But at another company I might pay $600 per month and my employer might pay $700 per month - total COBRA would equal $1200 per month. It all depends on the negotiated price between your employer and the insurance carrier. Just like insurance costs and coverage vary greatly between employers - it's all dependent on your employer's deal with insurance.

Sorry that might not have been much help, but that is the way it works.
 
I appreciate your answer. That's pretty much what I expected (about 3 x the ee's premium).

Really missed the portability of heath care in Canada.....
 
TheRealCanadian said:
When I calculate how much I paid for it, I certainly don't.
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Although with the escalation in premiums over the past few years and reduction in actual coverage - it's not as large a gap as it once was. It certainly is not as big a difference (in what we pay in the US compared to what we paid in Canada via taxes, etc) as it was say 10-12 years ago. Especially if you ever find yourself unemployed or are force to go on COBRA because of a "pre-existing" clause at a new employer.

OP - as for the comment about 3 x the ee's premium. That might be a good ballpark for you, but at the last two places I worked at, I paid about 1/3 of the total cost at one, but had to pay 1/2 the cost at the other. So whether it's times 2 or 3 or even 4 is still very dependant on your individual case. But at least it does give you a ballpark.

AND BE VERY CAREFUL ABOUT PRE-EXISTING WAITING PERIODS - you may "need" COBRA during that time. Check out the new policy very carefully before your enrollment period for COBRA ends. Trust me! ;) :eek: :(
 
Blue Cross Blue Shield...I believe they offer a "Between Job" coverage.

I pay less than $100.00/month for BCBS of Florida....for catastrophic coverage.

(Major events...like car accidents, broken legs.....the expensive stuff)...too bad it does not cover divorces... :)
 
As TNguy pointed out, COBRA is most useful for pre-existing conditions. Some new employees face waiting times for covergae of these, so COBRA may even be useful when making an otherwise smooth transition.
 
nelsona said:
As TNguy pointed out, COBRA is most useful for pre-existing conditions. Some new employees face waiting times for covergae of these, so COBRA may even be useful when making an otherwise smooth transition.
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Thank you - I can't stress enough the pitfalls with the pre-existing condition waiting periods!

You cannot be denied COBRA and with COBRA your coverage cannot be reduced by your insurance carrier (except for routine changes at open enrollment time).
 
Don't most group insurances provided by employers cover pre-existing conditions? I haven't had the issue in any of my employer changes. I think the issue might be there if you go buy individual insurance by urselves.
 
Some group plans have a short waiting period before pre-existing conditions (especially for dependants) are covered.

This is to discourage some from taking a job for 2 months simply to get coverage for a 'planned' surgery, and then quitting.
 
Thank you all for your replies!

New employer suggested that I should have my last day with old er on 11/29 and start the new job on 11/30 so that I only need COBRA for one month (new group plan will kick in 01/01/2008).

Any issue with overlapping TNs? Say, if I apply at POE for the TN w/ new employer on 11/16 with starting date stated in the letter 11/30, the new TN would have an effective date of 11/16 eventhough I'm still employed by the old company from 11/16 to 11/29.
 
KMax said:
Don't most group insurances provided by employers cover pre-existing conditions? I haven't had the issue in any of my employer changes. I think the issue might be there if you go buy individual insurance by urselves.
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A job I took 1 1/2 years ago had group medical coverage with a 12 month waiting period for pre-existing medical conditions - and they never told me about it until after I made the job move (and they doubled my premiuns)! :mad: One of the worst moves I ever made! But I did learn from it. :eek:

So yes, there are some out that that still have it.

OP - Here is something you can use to your advantage. You normally have 45 days from the date you leave a job to elect COBRA coverage or not. And if you elect the coverage, it is retroactive to the date you left your previous employment. If in the first month you need medical coverage you will probably need to pay out of pocket or get them to bill you later, then after COBRA kicks in and processes the bill, you pay whatever is your normal out of pocket.

BUT - Say you go to the doctor and the bill would be $250. But your COBRA coverage for one month is $1000. It makes more sense to just pay the doctor yourself rather than pay COBRA. And the great thing for you is that you can wait until after 10/01/2008 to decide on COBRA - then decide if you "really" needed it for December after all. If yes, the pay for December’s COBRA and get the bills reimbursed, if no, then don’t worry about COBRA and carry on with your new coverage starting in January. And the 30 day gap with no coverage will not cause any issues with insurability either.
 
Great tip from TNG.

On multiple TN?, no issue. They *might* not give you the TN early (so don't put a start date on the letter, just say 'one year'). This will not impact your 1st TN, as you still work there (take a pay stub with you)
 
Great tips!!!

I think that's what I'm going to do. Say, if I get injured in a car accident, my can insurance should cover it anyway.

Thanks again.


TNguy78 said:
OP - Here is something you can use to your advantage. You normally have 45 days from the date you leave a job to elect COBRA coverage or not. And if you elect the coverage, it is retroactive to the date you left your previous employment. If in the first month you need medical coverage you will probably need to pay out of pocket or get them to bill you later, then after COBRA kicks in and processes the bill, you pay whatever is your normal out of pocket.

BUT - Say you go to the doctor and the bill would be $250. But your COBRA coverage for one month is $1000. It makes more sense to just pay the doctor yourself rather than pay COBRA. And the great thing for you is that you can wait until after 10/01/2008 to decide on COBRA - then decide if you "really" needed it for December after all. If yes, the pay for December’s COBRA and get the bills reimbursed, if no, then don’t worry about COBRA and carry on with your new coverage starting in January. And the 30 day gap with no coverage will not cause any issues with insurability either.
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How would I word it? Can I ask the employer state the following in the TN letter?

TERMS OF EMPLOYEMENT
.
.
.

Kindly issue a TN1 Visa for a period of time not to exceed one year.



Thanks

nelsona said:
Great tip from TNG.

On multiple TN?, no issue. They *might* not give you the TN early (so don't put a start date on the letter, just say 'one year'). This will not impact your 1st TN, as you still work there (take a pay stub with you)
Click to expand...
 
Exactly. just have a current date on the letterhead.
 
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