Free Cobra Health Insurance Coverage: How Laid-Off Workers Can Get Treatment
On Thursday 3/11/21, President Biden passed the American Rescue Plan, the latest relief package for COVID-19 which, among other things, can help Americans who have recently lost their employer health insurance pay for medical expenses. The way it works has to do with COBRA (Consolidated Omnibus Budget Reconciliation Act).
Eligibility for Free Cobra Insurance:
Starting April 2021, you can qualify for free Cobra if:
- You had health insurance with your former employer
- Your employer’s health plan is still active. If the business shut down or discontinued its medical benefits, you will not be eligible for Cobra.
- The company had 20 or more employees. Full-time employees count as one, part-time employees count as half.
- You were let go, fired, or had your hours reduced. The reason for this does not have to be Covid-related.
- The reason for your termination, suspension, or hour reduction is not “gross misconduct”
- You are also not eligible if you left your job voluntarily.
If you meet these five requirements, you are eligible for fully subsidized Cobra Coverage starting April 2021. However, according to the Department of Labor, if you get a new employee health plan before September 30 2021, you become ineligible for the no-cost-coverage.
When Does Cobra Coverage Start?
According to the Department of Labor’s website, if you elect Cobra coverage within 60 days of your qualifying event (being terminated, laid off, getting reduced hours), then coverage begins immediately.
Will Coverage Be Retroactive?
No. In the past, there was an additional-optional cost to make coverage retroactive, which would subsidize any health care costs between your qualifying event and electing cobra. This option is not available for no-cost coverage.
What Will I Pay?:
According to the relief bill, all your premiums for Cobra, which would ordinarily be up to 100% of your employer-provided-healthcare premiums, are fully covered. However, you will still need to pay your coinsurance and copay for medical visits.
What Is Free:
- All Costs for Premiums.
- Copay, coinsurance, or costs not covered by your former employer's plan.
Are You ready to get help?Call (855) 202-2138
Types of Rehab that Cobra May Cover:
Cobra allows you to use your former employer's health care policy to help pay for treatment expenses. This can include:
Detox: Helps you deal with physical withdrawal symptoms in a safe medically supervised space.
Partial Hospitalization Program: Programming to help treat the cause and effects of addiction. At Tree House, this means 5-6 hours of treatment for five days a week, including:
- 1 on 1 counseling
- Writing therapy for trauma resolution
- Exercises specifically chose to help curb cravings
- Group counseling to connect you with support resources and community activities
- Spartan races, mud runs, or other fun events that prove how far you’ve come.
- Team-building exercises that build sober friendships after rehab
Intensive Outpatient: Helps cement what you learned in PHP until it becomes second nature. IOP is 3-5 hours per day, 5 days per week.
Standard Outpatient: Weekly evening therapy sessions meant for mild addiction problems or recent rehab graduates.