Have you been searching for cobra insurance Alabama? If so, you must know about the three things to consider when purchasing cobra. Cobra is a federal law passed in 1986. It provides an option for workers who had previously lost their jobs and received health coverage from their employer to continue receiving medical benefits. This article will discuss the three main points that need to be considered before buying cobra insurance Alabama or any other type of cobra plan.
#1: Do I have enough money saved up?
If you consider cobra insurance in Alabama, it is essential to know that the premiums for cobra payments will not be deducted from your paycheck. This means there is a need to have enough money saved up to pay for these monthly costs.
#2: Am I eligible for cobra?
To be eligible, the person must have lost their job through no fault of their own, and they had been covered by group health insurance with that employer. They also need to meet a few other requirements, such as being in business less than 25 hours per week or working fewer than 12 months before losing coverage.
#3: How much does cobra insurance cost?
The monthly premiums for cobras are the same whether you have one or two families.
For example, if the cobra premium is $150 per month, it would be $300 in a two-person household. The total amount due annually can vary depending on what your income level might be.
The cobra premium is a required fee, just like your monthly rent or mortgage payment. It’s not something you can spend money on and then deduct it from taxes at the end of the year for that reason.