Sally just got laid off from her job at a large corporation. She has diabetes and is concerned about healthcare costs while unemployed. Her monthly premiums were $325 and her former employer's share of the plan accounted for the same amount. What would be her maximum monthly premium to continue coverage?

Question

Quizplus · Accepted Answer

Under COBRA, individuals who lose their job can continue their employer's group health benefits for a limited period. They are responsible for paying up to 102% of the cost of the plan. Sally's total monthly premium was $650 ($325 from her plus $325 from her employer). Therefore, her maximum monthly premium to continue coverage under COBRA would be 102% of $650, which is $663.

Sally Just Got Laid Off from Her Job at a Large