When you lose your job, it seems like a bunch of stress can build up from there. Not only do you have to apply and interview for more employment, but you no longer have a source of income that can help you pay for the various needs of your family. This can be especially dangerous if you need medical aid. Thankfully, some people who lose their jobs are still eligible for health insurance under the Consolidated Omnibus Budget Reconciliation Act of 1985, or COBRA.

COBRA was passed under Ronald Reagan, and it deals with a wide variety of topics. Besides continuing health insurance, COBRA also includes amendments to the Employee Retirement Income Security Act of 1974 as well as regulation for tobacco price supports, railroads, disability insurance, and even the postal service. One of the most important parts of this bill is Title X.

Title X of COBRA helps protect those who lose their jobs for specific reasons, such as those who are terminated involuntarily, resign, discharge, layoff, strike, or medical leave. Additionally, it can cover family members of employees who die, as well as those who become separated or divorced from a covered employee or a child of said employee. One thing to note, however, is that COBRA will not cover you if you are fired for gross misconduct.

In order to force employers to cover the ex-employees who qualify for COBRA, the act states that employers who do not offer coverage under COBRA are not eligible to claim health insurance benefits as a tax deduction. For the health insurance benefits to be counted as a tax deduction, the employer must offer aid under COBRA for the following amounts of time:
Up to 18 months for employees and their spouses and dependents when the employee loses benefits due to involuntary decrease in hours or termination Up to 29 months for those who become disabled during the first 60 days of COBRA coverage, as well as their non-disabled dependents Up to 36 months for spouses and dependents who may lose coverage due to death of the worker, separation or divorce, and other various reasons

Sometimes, despite the helpfulness of COBRA, it can be tricky to rely on health insurance through your place of employment. Because health insurance is such an important aspect in helping you stay healthy, you should always make sure that you have this coverage.

A health insurance policy protects an individual in case of unexpected health problems. Most states make it mandatory for the citizens to have some form of health insurance cover. The insurance market in California has a myriad of health insurance companies providing health insurance plans to individuals belonging to all age groups. However, some insurance companies are quite apprehensive while extending health insurance coverage to self-employed individuals.

Many self-employed individuals often seek health insurance under their spouse?s company insurance plan. If the spouse of a self-employed individual is working for a company offering a group health insurance plan, the individual is automatically covered in the plan.

COBRA (Consolidated Omnibus Budget Reconciliation Act) is a very useful option for the initial period of self-employment. When an individual leaves a job, the employer is compelled by law to offer the individual the choice of retaining their membership in the health insurance plan. However, the individual has to pay the entire premium amount.

Several organizations of self-employed people come together to unite their buying power to obtain inexpensive health insurance by means of a group policy.

This is a viable option for small business owners and self-employed individuals.

Some health insurance companies offer group policies at reasonable prices. This form of policy has many advantages. Apart from being inexpensive, they cover every individual in the group irrespective of their state of health. This option is extremely beneficial for individuals who have been ineligible for individual health plans owing to their health conditions. Many business owners, who are likely to expand their businesses in the near future, usually opt for short-term health insurance policies.

It is advisable to conduct a good research to get the best health insurance plan. However, it is important that the insurance company has a good standing in the insurance market. Individuals can obtain free quotes of various health insurance providers to compare the prices and different types of coverage offered. Individuals who do not have adequate knowledge about health insurance policies can consult a health insurance broker for guidance.

Houston, Texas provides many things to many people. Museums, fairs, marathons, festivals – you name it, and Houston, Texas has it. Not only can you find fun, but you can also find safety. How? Residents are able to find affordable health insurance in Houston, Texas, too.

Fortunately, Texans have several options when searching for affordable health insurance in Houston, Texas. Try following these steps.

Continue your health insurance with COBRA. If you are a Houston, Texas resident who has lost his job, COBRA (otherwise known as the Consolidated Omnibus Budget Reconciliation Act of 1986) should be the first alternative you consider. Under COBRA, Houston, Texas residents can remain covered by their former employer-sponsored health insurance for up to 18 months after they have lost their jobs.

Not covered under COBRA? Texas has certain health insurance continuation rights for those residents who are either not eligible for COBRA, or who have maxed out their time being covered under COBRA. The health insurance continuation rights allow you to stay covered under the same health insurance policy for another six months.

Exhausted your COBRA benefits and state continuation rights? Perhaps it is time to look at the Texas Health Insurance Risk Pool. If you have reached your limit of COBRA benefits as well as your health insurance state continuation rights, you may be eligible for the Texas Health Insurance Risk Pool. Of course, you must have maintained some form of health insurance for the previous 18 months, and no break in coverage can be longer than periods of 63 days.

Feeling too financially stressed for any of the above options? Look into the TexCare Partnership, which offers affordable health insurance to Texans based on family size and income.

For more information about these ways to obtain affordable health insurance in Houston, Texas, contact the Texas Department of Insurance. You may even find that you are eligible for other means of affordable health insurance, too.

Employer based health insurance provides coverage for tens of millions of Americans. Unfortunately, many employees will be without coverage if they lose their job, quit, retire or if their company goes out of business. In most cases, an employee can elect COBRA upon losing employment. The Consolidated Omnibus Budget Reconciliation Act will provide 18 months of additional coverage so long as the group consisted of 20 or more employees. In Ohio, if the group is under 20 employees COBRA allows for up to six months of coverage. This law is sometimes referred to as “Baby COBRA.”

There are certain rules regarding who is eligible to elect COBRA and what the cost will be, but in all cases COBRA is temporary insurance for the insured. In addition, the expense to the former employee can be significant. Ultimately, the cost will be determined by the premiums for the former plan plus a 2% administrative fee. Former employees are often surprised to discover how much it will cost to elect their company insurance through COBRA.

Individual Health Policies for Healthy Consumers

Once their COBRA benefits have run out, individuals and families will need to search the individual health market. If you are in good health, usually there are few problems obtaining an individual or family policy. However, if the former insured is in poor health – finding a comprehensive policy can be very difficult. There are providers who will insure high risk individuals, but typically the benefits to the insured are far less than their employer sponsored plan. When possible, an individual in poor health may only be able to find adequate coverage in another employer sponsored plan. The state of Ohio does offer an HMO plan providing open enrollment with select companies. The coverage offered will vary by county and the enrollment window will differ from company to company. However, you can expect these plans to be very expensive.

Purchasing Permanent Coverage

Thus, it is advisable to explore your options as soon as you lose your employer sponsored coverage. COBRA can be helpful, but because it is not permanent, new coverage will usually be needed at some point. One potentially difficult scenario can be easily avoided by shopping for insurance early. Electing COBRA while in good health and waiting to apply for permanent coverage until the allotted 18 months expires is a risky proposition. What if your health changed for the worse during that period of time? You may have difficulty finding coverage in the individual market. However, you would have been insurable had you applied for a plan immediately after becoming unemployed. In many cases, the permanent individual coverage would be less expensive as well.

In summary it is always advisable to obtain permanent health insurance coverage while you are in good health. Once accepted, you can keep this coverage for as long as you need it. If you rejoin a group plan later, you may elect to drop the coverage or maintain it if you feel that you have a superior plan.