Health Insurance Between Jobs

When you leave a job, you may also leave behind the health insurance plan that came with it. This can leave you and your family without coverage for medical expenses until you find new employment. However, there are options available to you to bridge the gap between jobs and ensure you are still covered in case of illness or injury.

Cobra Coverage

One option for continuing your health insurance coverage after leaving a job is through COBRA. This stands for Consolidated Omnibus Budget Reconciliation Act and allows you to continue your previous employer’s health insurance plan for a period of time after leaving your job.

COBRA coverage is not free, however. You will be responsible for paying the full cost of the premiums, which can be expensive. You will also have a limited window of time to enroll, usually 60 days after leaving your job.

It’s important to understand the costs and limitations of COBRA coverage before deciding if it is the right choice for you.

FAQ

Question
Answer
How long can I keep my COBRA coverage?
You can keep your coverage for up to 18 months.
Will I still have to pay my deductible and copays?
Yes, you will still be responsible for all out-of-pocket costs.
What happens if I miss the enrollment window?
You will not be able to enroll in COBRA coverage and will need to find another option for health insurance.

Marketplace Coverage

If you are unable or unwilling to pay for COBRA coverage, you can also look for health insurance through the marketplace. This is a government-run website where you can compare and purchase health insurance plans.

The marketplace offers a variety of plans from different insurance companies, with varying levels of coverage and premiums. You can also see if you qualify for subsidies to help lower the cost of your premiums.

FAQ

Question
Answer
What is the marketplace?
The marketplace is a government-run website where you can compare and purchase health insurance plans.
What kind of plans are offered on the marketplace?
There are a variety of plans available, with different levels of coverage and premiums.
Do I qualify for subsidies to help pay for my premiums?
You may qualify for subsidies based on your income and family size.

Short-term Health Insurance

Another option for temporary health insurance coverage between jobs is short-term health insurance. These plans are designed to provide coverage for a limited period of time, usually up to 12 months.

Short-term health insurance plans typically have lower premiums than other options, but they may also have limited coverage and pre-existing conditions may not be covered.

FAQ

Question
Answer
What is short-term health insurance?
Short-term health insurance is designed to provide temporary health insurance coverage.
How long can I keep my short-term health insurance plan?
Plans are typically available for up to 12 months.
Are pre-existing conditions covered?
Pre-existing conditions may not be covered under short-term health insurance plans.

Conclusion

Leaving a job can be stressful, especially when it comes to losing your health insurance coverage. Fortunately, there are options available to ensure you and your family are still covered during the transition period between jobs.

COBRA coverage, marketplace plans, and short-term health insurance are all viable options. Consider the costs, coverage levels, and limitations of each before making a decision.