The Consolidated Omnibus Budget Reconciliation Act (COBRA) law is over 30 years old, yet its administration and compliance isn’t any easier today than when it was new. In fact, employee benefits are becoming more complicated and challenging every year. As an employer, you must maintain documentation, update required notices, track dates and keep up with legislative and regulatory changes to stay in compliance.
Now, we’ll do all of that for you. One partner. One price. One solution. SBS.
Your COBRA Administration Partner
By opting into our COBRA service, you reduce risk, simplify your process, and make COBRA compliance trouble free.
COBRA Administration Services
Our COBRA services include:
- Web-based or EDT reporting
- Web and call center support
- Online election and payment option for participants
- New Enrollee Notices
- Qualifying Event Notices
- Premium Collection
- COBRA Eligibility Management Services
Over 10,000,000 Notices Sent & Not a Single Penalty
Proper COBRA compliance entails many required notices and tracking numerous time frames. The notice requirements and the work related to them are endless. With the SBS Team as your benefits administration partner, you can spend your time managing your workforce, not administering COBRA and the timeframes and notices that go with it. We ensure COBRA, Open Enrollment, State Continuation, USERRA, and Eligibility are all handled properly.
How COBRA Works
Employees can elect COBRA for themselves and their family if they otherwise would lose coverage because:
- They quit
- They were fired, unless it was for “gross misconduct.”
- Their hours were reduced and they no longer qualify as a full-time employee for the workplace health plan
The law lets you continue coverage for up to 18 months if you quit, lose a job, or your hours are reduced, and up to three years if the coverage loss was due to other reasons.
In addition, health plan “dependents” (such as spouses and children) can elect COBRA if they lose eligibility for coverage because of:
- Death of the covered employee
- Age – an adult child turns 26 and can be kicked off a parent’s plan
- Divorce or legal separation from the covered spouse
- Eligibility by the covered employee for Medicare
Keep in mind that employees must be covered by the employer-sponsored plan at the time of the job loss or other event, or they aren’t eligible for COBRA.