COBRA can be issued under which conditions?

COBRA can be issued under which conditions?

• A. COBRA can be issued only to part-time employees.
• B. COBRA can be issued when an employee is terminated or leaves voluntarily and applies to medical, dental, vision, and health FSA.
• C. COBRA covers life insurance and disability benefits.
• D. COBRA is available only for retirees.

Answer: (B)

COBRA continuation coverage lets an employee and their dependents keep their employer-provided health coverage after a loss of that coverage due to a qualifying event, by paying the full premium (often plus a small admin fee). The event described—termination of employment or leaving voluntarily—counts as one of those qualifying events that starts the right to elect COBRA. This continuation can apply to medical, dental, and vision plans, and it can extend to health flexible spending accounts in many employer plans, but it does not cover life insurance or disability benefits. It’s not limited to retirees; any employee who loses coverage under a qualifying event can elect COBRA.

COBRA continuation coverage lets an employee and their dependents keep their employer-provided health coverage after a loss of that coverage due to a qualifying event, by paying the full premium (often plus a small admin fee). The event described—termination of employment or leaving voluntarily—counts as one of those qualifying events that starts the right to elect COBRA. This continuation can apply to medical, dental, and vision plans, and it can extend to health flexible spending accounts in many employer plans, but it does not cover life insurance or disability benefits. It’s not limited to retirees; any employee who loses coverage under a qualifying event can elect COBRA.