Who started COBRA insurance?

OWL chapters in Oakland, California and St. Louis, Missouri approached their Congressmen, Representatives Pete Stark and Bill Clay, who drafted the continuing coverage legislation that became COBRA.

When did COBRA health insurance start?

1985
Congress passed the landmark Consolidated Omnibus Budget Reconciliation Act (COBRA) health benefit provisions in 1985.

Is COBRA insurance run by the government?

Federal COBRA is a federal law that lets you keep your group health plan when your job ends or your hours are cut. Federal COBRA requires continuation coverage be offered to covered employees, their spouses, former spouses, and dependent children.

Why do they call it COBRA insurance?

COBRA stands for the Consolidated Omnibus Budget Reconciliation Act. It gives employees in certain situations the right to pay premiums for and keep the group health insurance that they would otherwise lose after they: Reduce their work hours. Quit their jobs.

When did the federal government create COBRA insurance?

It’s a federal law that was created in 1985 that gives individuals who experience a job loss or other qualifying event the option to continue their current health insurance coverage for a limited amount of time. Employers outside the federal government with more than 20 employees are required to offer COBRA coverage to those who qualify.

When does Cobra coverage end for an employee?

The Consolidated Omnibus Budget Reconciliation Act of 1985 allows workers and their qualified dependents the right to continue their employer-sponsored health insurance for a short period of time, if that insurance would stop due termination of employment, reduction in hours or changes within their immediate family. Is COBRA Right For You?

How much does it cost to have health insurance under Cobra?

How much your health insurance will cost under COBRA depends on how much that same health plan cost prior to switching to COBRA coverage. Your monthly COBRA premiums will be the total cost of your health plan premium plus a 2 percent service charge.

When was the Consolidated Omnibus Budget Reconciliation Act ( Cobra ) enacted?

The Consolidated Omnibus Budget Reconciliation Act (COBRA), first enacted in 1985 and revised in 1999, is a federal law that requires most employers to provide continuing health insurance coverage to employees and their dependents who are no longer eligible for the company’s health insurance program.