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    ACA / HealthConsolidated Omnibus Budget Reconciliation Act

    COBRA

    A federal law that allows workers and their families to continue employer-sponsored health insurance coverage for a limited period after losing a job or experiencing another qualifying event.

    Qualifying events include: job loss (not for gross misconduct), reduction in hours, divorce, death of covered employee, and dependent aging off plan.

    Coverage typically lasts 18 months (up to 36 months in some cases).

    COBRA is often expensive — you pay the full premium (employer + employee share) plus a 2% admin fee.

    → Alternatives such as ACA Marketplace plans, Medicaid, or short-term coverage may be less expensive.

    Also known as

    Consolidated Omnibus Budget Reconciliation Act

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    Frequently asked questions about COBRA

    What is Consolidated Omnibus Budget Reconciliation Act (COBRA)?+

    A federal law that allows workers and their families to continue employer-sponsored health insurance coverage for a limited period after losing a job or experiencing another qualifying event. Qualifying events include: job loss (not for gross misconduct), reduction in hours, divorce, death of covered employee, and dependent aging off plan.

    Who qualifies for COBRA?+

    Anyone without affordable job-based coverage, Medicaid, or Medicare can shop the Marketplace. Subsidies depend on household income.

    How do I apply for COBRA?+

    Apply during Open Enrollment (Nov–Jan) or after a qualifying life event at healthcare.gov, or through your state's Marketplace.

    Where can I get help?+

    Compare plans and check subsidies at healthcare.gov, or call a free local Navigator listed there. BenefitKarma's free Benefit Eligibility Screener can also tell you if you qualify for Medicaid instead.

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