COBRA Insurance Lawsuits

Many employees have health insurance and healthcare through their job or employer. However, a qualifying life event or qualifying job event can cause the employee and his or her family to lose their health insurance. When this occurs, the employee is entitled to continued health insurance and/or health benefits under the Consolidated Omnibus Budget Reconciliation Act (COBRA). Companies with 20 or more employees are required to offer COBRA. COBRA was designed to protect employees. If an employee lost his or her job, they wouldn't also immediately lose their health insurance and/or healthcare benefits.

Some Qualifying Life Events or Job Events that Qualify for COBRA Insurance:

  • Resignation
  • Reduction of hours
  • Termination for reasons other than gross misconduct
  • Divorce
  • Loss of dependent status
  • Death of an employee
  • Employee qualifying for medicare

If your employer fails to notify you of this COBRA benefit or provides an improper notice, your employer could be subject to penalties and lawsuits. Violations and penalties of COBRA from a non-compliant employer can stack up quickly. If you left a job that provided you with health insurance within the last 4 years, Contact Us today by calling 314-833-4827 or by filling out an online contact form for a FREE Consultation. 

Companies with 20 or more employees are required to offer COBRA.

Typically, COBRA coverage is available for 18 months after the qualifying job event or qualifying life event. Also, COBRA coverage will end after the policyholder qualifies for a new health insurance plan.

Additionally, COBRA coverage may be available for up to 36 months after the qualifying job event or qualifying life event if the loss of insurance was due to one of the following:

  • Loss of dependent status
  • Divorce
  • Death of the primary policyholder
  • Primary policyholder qualifying for medicare

If you left a job that provided you with health insurance within the last 4 years, Contact the Employee Rights Lawyers at Peiffer Wolf Carr Kane & Conway for a FREE Consultation.

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What is COBRA? Who can receive COBRA?

The Consolidated Omnibus Budget Reconciliation Act (COBRA) was designed to protect employees when they lose their jobs. The primary purpose of COBRA is to ensure that an employee who loses their job didn't also immediately lose their healthcare. COBRA is a form of continuation coverage after leaving a job or losing employer health insurance. 

Companies with 20 or more employees that offer healthcare or health insurance are required by law to offer continuation coverage (healthcare benefits and/or health insurance benefits) benefits to employees who are fired, laid off, furloughed, terminated, or voluntarily resign. 

If you were part of a group healthcare or group insurance plan at work, you are eligible to receive COBRA as long as you were enrolled in the group insurance prior to the qualifying life or qualifying job event.  This is true, regardless of whether or not you were a part-time or a full-time employee. you’re on a group health plan and are covered the day before a qualifying event occurs — a layoff, firing, hour reduction, or other specified circumstance — you are eligible to receive COBRA. However, you are not guaranteed COBRA benefits if you weren't eligible to participate in the group healthcare or if you declined to participate in the group health insurance. 

No COBRA Letter or COBRA Notice Errors

If you work for a company with 20 or more employees and lose your job, it's highly likely that your employer is responsible for providing continuation coverage. Moreover, your employer is responsible for making sure you get COBRA notices and that those COBRA notices do not contain deficiencies or errors.  

Once you've left your job (qualifying job event or qualifying work event), it is your employer's responsibility to notify the insurance company within 30 days if the employee is eligible for COBRA. If you lose coverage due to a divorce or a death, you must notify the employer within 60 days. Regardless, the administrator of the group healthcare or health insurance plan should make employees aware of COBRA rights within 14 days.

Multiple issues may arise after one of these qualifying life events or qualifying work events. Where do errors happen? There may be complications with your COBRA notice that lead to your not getting the coverage to which you are entitled.

These issues include:

  • Never receiving your COBRA letter or COBRA notices
  • Employer failure to offer COBRA coverage to a qualified employee
  • Employer failing to provide COBRA notice in a timely manner
  • Employer providing incorrect COBRA information
  • Employer providing COBRA notice without all required information
  • Employer failure to provide clear, detailed COBRA information

Why Contact an Attorney about COBRA?

By filing a lawsuit, you can fight for compensation for the losses incurred as a result of not having COBRA health insurance. Also, the statutory penalties imposed on the employer can help make sure that they adhere to their COBRA obligations in the future.

FREE Consultation | 314-833-4827

If your employer fails to notify you of your COBRA benefits or provides an improper notice, your employer could be subject to penalties and lawsuits. If you left a job that provided you with health insurance within the last 4 years, Contact Us today by calling 314-833-4827 or by filling out an online contact form for a FREE Consultation.

If you left a job that provided you with health insurance within the last 4 years, Contact the Employee Rights Lawyers at Peiffer Wolf Carr Kane & Conway for a FREE Consultation.


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Practice Chair


Brandon Wise
Tel: 314-833-4825
E-mail: bwise@pwcklegal.com