COBRA Coverage

Your medical, dental, and vision coverage ends on the last day of the payroll period, during which your employment with HBC ends. However, under the Consolidated Omnibus Budget Reconciliation Act (COBRA), you and your covered dependents can continue your medical, dental, and vision coverage, and your health care or limited purpose flexible spending accounts.

COBRA coverage allows you to enroll in the same medical, dental, and vision plans that you had as an HBC Associate. While you must enroll in the same plan you had previously, you are eligible to drop dependents from coverage. For example, if you had family coverage while active, you could choose to have Associate only COBRA coverage moving forward.

The biggest change with COBRA coverage is that you would now be required to pay the full cost of COBRA coverage yourself. This means that you will pay your current premium in addition to the premium amount HBC currently pays for you, plus a 2% administration fee.

Often, you can find more cost-effective coverage options through the health insurance marketplace. Learn more by visiting healthcare.gov.


What happens once I terminate?

• You will receive a letter in the mail after your termination of employment notifying you that your health coverage has ended.
• You have 60 days, from the date you lose coverage, to enroll in COBRA.
• You have 45 days, from the date you enroll in COBRA, to make your first payment.
• With COBRA elections, there is no gap in coverage. Your benefits will begin the first day you lose coverage and actively enroll into COBRA benefits.
• Generally, COBRA coverage is available for up to 18 months.