COBRA-Related Terms And Definitions

The Consolidated Omnibus Budget Reconciliation Act (COBRA) is a U.S. federal law that allows eligible employees and their dependents to temporarily continue employer-sponsored health insurance after a qualifying event that would otherwise cause coverage to end.

Below is a glossary of COBRA terms, as well as a list of recommended training courses to help with your COBRA compliance requirements.

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• 12-Month Determination Period

  
  The period in which a "fixed" COBRA premium for each level of coverage is charged to all QBs, regardless of the date of their QEs, throughout a specific 12-month period.

• 14-Day Notification Period

  
  The period for sending QE Notices to affected QBs.

• 30-Day Grace Period

  
  The period in which QBs can make regular payments for continued COBRA coverage.

• 45-Day Retroactive Premium Payment Period

  
  The period in which a QB, after making his or her COBRA election, has to pay the first COBRA premium.

• 60-Day Election Period

  
  The period during which QBs can elect (but not pay for) COBRA coverage.

• A QB's "Rights"

  
  Circumstances allowing QBs to elect, change, add to, or continue COBRA coverage.

• Affirmative Rejection

  
  Administrative tool used to reject certain health care claims incurred during the COBRA Election Period.

• Certified COBRA Administrator

  
  An HR professional who has completed the COBRA Training & Certification Program and passed the accompanying certification exam.

• Cessation Of Dependency Status

  
  An event that precludes a child from continued coverage as a dependent under the group health plan.

• COBRA

  
  Stands for Consolidated Omnibus Budget Reconciliaton Act.

• COBRA Election

  
  The act of choosing to continue group health coverage under COBRA.

• COBRA Election Notice

  
  The written notice provided to qualified beneficiaries explaining their right to elect COBRA coverage and how to do so.

• COBRA Extension

  
  An extension of coverage beyond the standard period. These include a disability extension (up to 29 months total and a second qualifying event extension (up to 36 months)

• COBRA Premium

  
  The amount paid to maintain COBRA coverage. This can be up to 102% of the full premium cost (including the employer share).

• COBRA Timeline

  
  The specific time and performance requirements necessary to notify, elect, pay, and manage the ongoing processes of COBRA administration.

• COBRA-listed Event

  
  Items that, coupled with a loss of coverage, would cause a Qualifying Event.

• Conversion Coverage Rules

  
  Certain rules that require Plans to offer individuals who lose insured group health plan coverage to continue some form of that coverage on an individual, non-group, basis.

• Covered Employer

  
  A private-sector or state/local government employer with 20 or more employees on more than 50% of its typical business days in the previous calendar year.

• Disability Determination

  
  A determination by the Social Security Administration that a qualified beneficiary was disabled during the first 60 days of COBRA coverage.

• Election Period

  
  A 60-day period during which a qualified beneficiary can choose whether to enroll in COBRA coverage.

• Grace Period

  
  A 30-day period after a premium due date during which COBRA coverage remains in effect if payment is late.

• Group Health Plan

  
  An employer-sponsored health plan, including medical, dental, and vision coverage, that is subject to COBRA.

• In Anticipation

  
  Term used to describe a company's or an individual's attempt to drop health plan coverage before a COBRA QE in order to avoid having to provide or pay for COBRA.

• Initial COBRA Notice

  
  Notice provided to individuals when they first become covered under a group health plan subject to COBRA.

• Initial Premium Payment

  
  The first COBRA payment, which may be due after coverage begins and can be retroactive.

• Insignificant Amount

  
  A partial payment that is nearly a full payment and thus require special operating rules.

• Loss of Coverage

  
  The date when group health coverage ends or would end due to a qualifying event.

• Maximum Coverage Period

  
  The longest amount of time COBRA coverage can last.

• Mini-COBRA

  
  State continuation laws that apply to smaller employers not covered by federal COBRA. Rules vary by state.

• Multiple QE

  
  COBRA event occurring during the initial 18-month COBRA coverage period that extends COBRA coverage to a maximum of 36 months.

• Partial Payment

  
  Any payment that is not a full payment.

• QB

  
  Short for Qualified Beneficiary. Title for any individual who has COBRA "Rights".

• QE

  
  Short for Qualified Event or Qualifying Event. A COBRA-listed Event that causes loss of coverage under a group health plan subject to COBRA.

• QE Notice

  
  Notice sent to QBs notifying them that a COBRA Qualifying Event has occurred.

• Qualified Beneficiary

  
  Title for any individual who has COBRA "Rights". Abbreviated as QB.

• Qualified Event

  
  A COBRA-listed Event that causes loss of coverage under a group health plan subject to COBRA. Abbreviated as QE.

• Use Equals Election

  
  Requirement that use of certain health care services will be treated constructively as a COBRA election.

• Waive

  
  To give up certain rights.

For More Information About the COBRA:

For details and suggested training courses about COBRA, go to https://hrtrainingcenter.com/cobra-training-certification-program/online-training.

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