What To Do if You Lose Your Job and Insurance Coverage

Losing your job-based health insurance can add more stress to an already stressful situation. This usually happens when someone’s employment ends with their company. According to one poll, 70% of Americans say that they experience some level of stress due to health care. This is a big concern for workers and their families. 

Even if you are not working it is still essential to have some level of healthcare coverage. You’ll want to have that protection in case you are involved in an accident. Without health care insurance you could incur costly medical fees. For people who lose their job and their job-based health care, it may be difficult to figure out what to do next. You should know that you do have options for healthcare coverage.

Where To Begin With Looking for New Insurance

Healthcare experts have suggestions for people who require coverage after losing job-based health insurance. You can use the Health Insurance Marketplace to find new coverage or you can use COBRA coverage.

Health Insurance Marketplace

This is a federal resource to help people select and enroll in health insurance. Some states have their own version of Marketplace.

You have to sign up for Marketplace health insurance within 60 days of losing your job-based health insurance. Coverage will begin the first day of the month after you lose your job-based coverage. Signing up for Marketplace may come with savings based on your income and savings on your monthly premiums. You may also be eligible for free or inexpensive coverage from Medicaid or the Children’s Health Insurance Program.

COBRA Health Insurance

This is another option for people who lose their job-based insurance coverage. COBRA stands for Consolidated Omnibus Budget Reconciliation Act. It refers to a federal law that permits people to continue their job-based health care coverage after they are no longer employed at the job. People are also eligible for COBRA if they experience a serious life event like a death of a spouse or a divorce.

Typically, COBRA coverage can last up to 18 months. You may have to pay the full premium amount yourself.

To begin the process for COBRA, you need to reach out to your employer to find out what options you may have with COBRA.

Spouse’s Insurance

COBRA and Marketplace are the two most common options people seek about losing job-based health care coverage. Other options include spouse’s insurance. If you are married, you may be able to join your spouse’s insurance plan.

Talk to your spouse about whether this is an option through their job-based health insurance. Your spouse may have to speak with their HR department for confirmation.

This may come with more money being taken out of your spouse’s paycheck but it could be a less expensive option than purchasing self-purchased insurance through Marketplace.

Alltrust Insurance: Making Important Decisions Easier for You

Figuring out the right type of employee benefits to offer your employees includes health care. It is a major priority for job seekers and employees. It’s also important for businesses because it is one of the biggest expenses for most companies. 

With this in mind, Alltrust Insurance can help your company make these important decisions. Our team is accustomed to working with companies of any size, from as little as two employees to more than 1,000 employees. Let us help you organize an employee benefits system that benefits everyone involved. 

Contact Alltrust Insurance to find out more about what options are available to you. We look forward to hearing from you!


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