• LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

Must small businesses provide COBRA-Like continuation health coverage?

by on
in Employee Benefits Program,Firing,Human Resources

Q. My company has fewer than 20 employees. Must my group health insurance policy still provide COBRA-like continuation coverage to terminated employees?

A. Yes, although COBRA does not apply. The North Carolina Group Health Insurance Continuation and Conversion Privileges Act, which has provisions similar to the federal COBRA Act, does include small employers. Like COBRA, it:

  • Provides continuation coverage under a group health insurance plan for up to 18 months.
  • Requires that employees be allowed no fewer than 60 days to elect continuation coverage.
  • Allows for the charging of up to 102% of premiums to electing participants.

The North Carolina act, however, does not include dental, vision care, prescription drug benefits “or any other benefits provided under the group policy in addition to its hospital, surgical, or major medical benefits.”

Like what you've read? ...Republish it and share great business tips!

Attention: Readers, Publishers, Editors, Bloggers, Media, Webmasters and more...

We believe great content should be read and passed around. After all, knowledge IS power. And good business can become great with the right information at their fingertips. If you'd like to share any of the insightful articles on BusinessManagementDaily.com, you may republish or syndicate it without charge.

The only thing we ask is that you keep the article exactly as it was written and formatted. You also need to include an attribution statement and link to the article.

" This information is proudly provided by Business Management Daily.com: http://www.businessmanagementdaily.com/3777/must-small-businesses-provide-cobra-like-continuation-health-coverage "

Leave a Comment