COBRA Administration - Who Needs COBRA?

Am I legally required to offer COBRA to my employees?

Employers with 20 or more employees are usually required to offer COBRA coverage and to notify their employees of the availability of such coverage.

Which individuals are eligible for COBRA?

For COBRA purposes, any individual who is covered by a plan that is subject to COBRA is eligible to receive COBRA coverage if the individual loses coverage as a result of a specific COBRA event. There is no limit to how long the individual would have needed to be covered under the plan to be eligible for COBRA; as little as 1 day is sufficient.

Individuals who lose coverage because of a specific COBRA event are called qualified beneficiaries. A qualified beneficiary could refer to:

.

• An employee
• A former employee
• A retired employee
• The dependent children of any of the above (including adopted and placed for adoption children)
• The spouse of any of the above
• Children covered by the plan pursuant to qualified medical child support orders
• Individuals who are covered by the plan who are self employed persons, agents, or independent contractors (and their employees, agents and independent contractors)
• Corporate directors

Note: The right to elect this continued coverage may not be conditioned on the qualified beneficiaries insurability.

For more information, please contact:
Sheakley Pension Administration, Inc.
COBRA Benefits Division
1-800-877-6630
email: cobra@sheakley.com