3 ms·

For non-US readers (like myself), COBRA is probably a reference to Consolidated Omnibus Budget Reconciliation Act of 1985 (http://en.wikipedia.org/wiki/Consolid

by unwind 16y ago

For non-US readers (like myself), COBRA is probably a reference to Consolidated Omnibus Budget Reconciliation Act of 1985 (http://en.wikipedia.org/wiki/Consolidated_Omnibus_Budget_Reconciliation_Act_of_1985 http://en.wikipedia.org/wiki/Consolidated_Omnibus_Budget_Rec...). This seems to be a law that (among other things) gives employees a right to keep health insurance coverage after leaving employment.

tptacek 16y ago
For a limited period of time, they have the right to purchase health coverage at their employer's cost, which is invariably higher than what the employees themselves Were accustomed to paying.
- gcheong 16y ago
  And I would encourage everyone on an employer plan to find out how much your employer is paying and then plan your savings accordingly. Edit: For example, under my last employer plan I was paying 168.00 for my wife and I. If I elected COBRA that would have jumped to 660.88.
  - tptacek 16y ago
    This is usually pretty easy: if you are paying anything, chances are your employer's cost basis is 2x what you're paying.
    - jleyank 16y ago
      In my experience for a spouse+me plan, I'd say it was closer to 4-5x what I was paying while employed (cobra, that is).
- cma 16y ago
  Plus their employers get to write that extra amount off as an expense, and the employee doesn't have to record it as compensation. This means corporations are subsidized over individuals. This is one of the things the Obama health plan does a good job of fixing.