COBRA applies to companies with 20 or more employees and is a federally mandated extension of an employer's health insurance when the employee's employment is terminated. The terminated employee, at the cost of the health insurance premium plus 2%, may purchase COBRA coverage from the employer. COBRA coverage can be extended for 18 months - longer in some situations. Employees who are terminated for gross misconduct are not entitled to COBRA continuation coverage.

There are now 32 different notices of COBRA!   The first notice is to be delivered when an employee is offered health insurance from a COBRA-eligible company. COBRA is where we see million dollar lawsuits when a person is denied COBRA who should have been allowed to maintain their coverage. Because COBRA is such a big part of today's health insurance practice for our clients, BBSI has decided to take a very pro-active stance in our knowledge and handling of COBRA for our COBRA affected clients.

Braden Benefits will consult with you on your COBRA process and procedures for clients obtaining their health insurance through a carrier who does not provide COBRA coverage. BBSI will provide the service through Ceridian. Ceridian not only handles the details, they also assume compliance liability. Ceridian's services include administration of and communication with COBRA continuants, adjudication of eligibility, and billing and collecting premiums. Braden Benefits includes the initial COBRA notice in our enrollment packet.