The Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 requires employers of 20 or more full time equivalent employees to offer their employees the opportunity to continue their group healthcare coverage under the employer’s plan, if the coverage would end due to employee termination, layoff, or certain other employment status changes, called “qualifying events.” The continuation of coverage applies to surviving spouses, ex-spouses, and dependents of employees as well.

Basic COBRA Services

COBRA Setup and Takeover

• Work with former administrators to migrate QB information to TCO, or provide a migration spreadsheet or individual forms to employers.
• Mail COBRA information to current qualified beneficiaries, including premium payment coupons.

Qualifying Event Administration

• Prepare and mail the election package and enrollment form to each new qualified beneficiary.
• Send separate election packages and enrollment forms to dependents, if necessary.
• Track COBRA election timelines and election payments.
• Provide participants with premium payment coupons upon election of COBRA.

Ongoing Administration

• Receive and track all COBRA premiums in accordance with applicable grace periods.
• Notify qualified beneficiaries of partial payments, returned checks, etc.
• Mail Notice of Termination of COBRA continuation coverage to qualified beneficiaries upon voluntary or involuntary termination of COBRA.
• Send the General COBRA Notice to new participants.
• Provide online account access to qualified beneficiaries, allowing them to check the status of their payments and due dates.
• Forward one check to the plan sponsor on a monthly basis representing all premiums received for the applicable month of coverage.

Optional Carrier Notification 
Communicate the Notification of COBRA Election Notice to carriers on behalf of the plan.

Optional Open Enrollment Support

• Work with the plan sponsor to obtain new plan information, pricing, election periods, enrollment forms, and other information given to active employees.
• Communicate new plan information, pricing, and election periods to qualified beneficiaries.
• Track open enrollment election periods.
• Communicate open enrollment changes to the plan sponsor and/or carrier, if service is selected.

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