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When Does COBRA Terminate?

A group health plan may terminate continuation coverage earlier than the end of the maximum period for any of the following reasons:

  • Premiums are not fully paid within time limits
  • The qualified beneficiary becomes entitled to Medicare benefits after electing COBRA
  • The qualified beneficiary start coverage under another group health plan after electing COBRA
  • Employer Ceases to maintain any group health plan

When a group health plan decides to terminate continuation coverage early for any of the above reasons, the plan must give the qualified beneficiary a notice of early termination.  The notice must describe the date the coverage will/has terminated, the reason for termination and any rights the qualified beneficiary may have under the plan.
 

Last update on September, 10 2013 by Elizabeth Bonney.

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