But employers covered 83% of the costs for individuals and 74% for families on average. With COBRA insurance, you’re on the hook for the whole thing. That means you could be paying average monthly premiums of $623 to continue your individual coverage or $1,778 for family coverage—maybe more!

Why is COBRA health insurance so expensive?

The cost of COBRA coverage is usually high because the newly unemployed individual pays the entire cost of the insurance (employers usually pay a significant portion of healthcare premiums for employees).

Does COBRA have to start immediately?

Regardless when in the enrollment period you complete the form and pay your premiums, COBRA coverage always begins the day after your standard coverage ends. In most cases, employer-sponsored coverage ends the last day of the final month of your employment, meaning COBRA begins the first day of the following month.

How do I start Cobra insurance?

You may be eligible to apply for individual coverage through Covered California, the State’s Health Benefit Exchange. You can reach Covered California at (800) 300-1506 or online at You can apply for individual coverage directly through some health plans off the exchange.

How much does it cost to have COBRA insurance?

The monthly COBRA costs will depend on the cost of the health insurance plans. Kaiser Family Foundation estimated that the average annual premium for employer-sponsored health insurance family coverage was more than $20,000 in 2019. Employees paid on average about $6,000 for that coverage.

What happens if your employer changes your Cobra coverage?

But if for instance, your employer changes the coverage of your health insurance, then the COBRA coverage will change as well. According to Investopedia, a health insurance coverage includes dental care, vision care, and prescription drugs. However, it does not cover life and disability policies.

Do you pay out of pocket for Cobra in Chicago?

However, you pay 100% of your health costs, plus up to 2% administrative costs. An employer doesn’t help you pay for premiums or out-of-pocket costs. Instead, the company allows you the opportunity to keep the benefit and coverage. Chicago residents can save thousands per year with these discounted rates.

How many employees are required to have Cobra?

Qualifying events to avail COBRA: Employers with at least 20 employees and operating at least 50% of the fiscal year are required to comply to provide COBRA coverage. Group health plans are mandatory as benefits of full time and part-time employees as health maintenance including family members.