If COBRA isn't an option, then what else??

[marcyinPA]

I'm looking for some BTDT advice...

DH was laid off a week ago Monday. Our health insurance will end Feb. 28. We have our boys on Blue Chip and had been paying for it (sliding scale based on income). Now we'll most likely qualify for the free program. However, COBRA just for DH and I will be $870/mo. There is NO WAY we can afford this. Our savings will be eaten up in no time. He is actively looking for another job, but we just don't know how long we'll be without coverage. We're looking into major medical at least to help with anything catastrophic if it should arise. Are there any other options out there?

 

[Arielle22]

Is the $870 after the federal subsidy(recently extended but originally in the ARR Act). The subsidy pays 65% of the cost of insurance for someone who lost their job through no fault of their own.

 

[happygirl]

870 OMG, Trying looking around getting price quotes I'm sure you guys can find something cheaper then that. Good luck to you all

 

[minniecarousel]

Whatever you do, DON'T be without some kind of coverage! Once new employment picks up with health insurance, you will need to prove "continuous coverage". We had continuous coverage (never went a day w/o health insurance) and the current health plan has questioned us several times about it.

Can you check with the current health plan to see if they have individual policies that are more "bare bones" at a lower cost? This wouldn't have anything to do with COBRA, but you could start by checking with that insurance.

It sucks getting laid off, then having to come up with big bucks just to CYA!

 

[marcyinPA]

Is the $870 after the federal subsidy(recently extended but originally in the ARR Act). The subsidy pays 65% of the cost of insurance for someone who lost their job through no fault of their own.

Was it extended??? Oh, gosh, THANK YOU for saying this! I tried looking and came up empty handed. The HR dept. for DH's former employer gave us info on it, but it said it expired in Dec. 2009.

Do you know where I can find the info on-line?

 

[dawson5]

I was talking with a mom at football practice a few years ago. Her husband had just been laid off/position eliminated. They looked into cobra, but it was more than they could afford. She did not want to be without insurance, tried it before and son broke his arm the week after. Anyways, she was in to make a payment at their insurance agents office and mentioned what was going on. I guess the insurance agent offered health at a reasonable rate. I would check your insurance agent. (I don't know for sure but State Farm keeps coming to mind.)

 

[Pakey]

Our plan, even on Cobra with the subsidy, would be more than $870 a month so that number is not surprising (doesn't make it any easier to deal with it).

I would call an independent insurance broker and see about a major medical plan. I know that Blue Cross has them and depending on what you want covered, the premiums are adjusted. You want to get it into place before your other one lapses due to the continuous coverage situation. Unfortunately, if you are wanting non emergency type of coverage, such a chiropractic, I wouldn't expect it to be really cheap.

 

[momrek06]

Yes, OP, do your research as best as you can. I believe the COBRA rate for laid off employees is much less than if your DH was to have quit his position.

Good Luck.

 

[mrsv98]

Here is an FAQ:

http://www.dol.gov/ebsa/faqs/faq_consumer_cobra.HTML

DH was laid off in Aug and found a contract position in Dec. The benefits are outrageously expensive so we are staying with COBRA as long as we can continue the subsidy.

 

[mamacatnv]

35% of $870 = $304.50
To the best of my knowledge the extension went thru February 2010 and it is still a 9 month option.


ETA: okay, per this article the option was extended thru Feb 2010 and is now good for 15 months of coverage at the reduced rate. Also remember it is the employer who gets the credit, all you are responsible for is the 35% payment.
http://www.dailyfinance.com/story/health-coverage-for-the-jobless-gets-a-life-extension/19290819/?sem=1&ncid=searchnew00000005&otim=1266436130&spid=35473866

 

[jen0610]

IN has a program called HIP. The bad thing is, no one tells you about it. Unless you go looking for assistance programs, most don't find out about it. We only found out about it while looking to see if the kids would qualify for reduced books and lunches.

 

[bumbershoot]

FYI, when we did COBRA, the subsidy wasn't in-your-face obvious, and it made me very nervous. But it was there, and we only paid the 35%, which was actually just about what we were paying in premiums to begin with (and that sure was eye-opening about how much the company pays for each employee, that's for sure!).

Beyond that, if you just go to just about any health insurer's website, you can find the link to private insurance. I checked that out while waiting for the layoff. And State Farm does have private health insurance, BUT not in all states. They don't in WA, as WA has a law stating that preexisting conditions cannot be excluded. Bunch of insurers stepped out of WA, after that was passed. State Farm included (health insurance, I mean...they still do car, home, etc).

But my former agent put me in touch with a woman whose business is finding insurers for people without job-provided insurance, and that was cool. Basically the same info I got from the various websites of major insurers, but also someone to ask questions of.

It's expensive, that's for sure! Especially if you've had an employer that was especially generous in what they were paying to begin with. I'd always thought DH's company was stingy with the insurance, but not anymore!

 

[wvjules]

Try ehealthinsurance.com

I got Blue Cross Blue Sheild through them at $110/month.

 

[M5ward]

My husband retired on Dec. 31, 2009. I was initially told that it would cost $510 monthly for COBRA coverage for me. After dealing with the benefits management company, I found that I had neglected to send in the ARRA Premium Reduction form. Doing this dropped my monthly premium to $210. This is for BCBS group insurance with my husband's former employer.
You should contact the insurance provider that your husband's former employer had group insurance with and find out what you need to do; if there is a benefits management company, call them. I found them very helpful (after I asked for a supervisor) and informative.

 

[clgwli]

Try ehealthinsurance.com

I got Blue Cross Blue Sheild through them at $110/month.

We used them as well. We also had an insurance agent look for us too. We have a very reasonable rate for above average coverage. I am much happier with private insurance vs group coverage in general.

 

[Amy&Dan]

Yes for sure check with a local agent, and compare that with what you can pay with the 35% of Cobra plan.

When dh was laid off we got a Blue Cross Blue Shield policy for the four of us for less than half of Cobra. This was about 7 years ago though so lots has changed. It covered major med but also had some benefits for doctor's visits and even some basic prescription coverage. I called my Shelter agent and he referred me to this guy, he couldn't help me himself but he knew who to refer me to. So your current auto/homeowner's agent is a good place to maybe find a referral.

But I agree, don't do without coverage if at all possible.

I hope it all works out.

 

[dchi]

I would call your insurance agent and ask if they have health insurance. Unless someone has a pre-existing condition, then I believe you should not let the current insurance go...they can call it a lapse in insurance.

 

[golfgal]

What ever insurance company you have now, Blue Cross or whatever, will sell individual health plans. Look on their website or call them and they will be more then happy to get you started on the application process. I would caution you against using a plan from a property and casualty insurance company. My experience with them is that it is REALLY difficult to get them to pay claims.

 

[Luv Bunnies]

One note about the government COBRA subsidy - if you have access to any other insurance, such as though a part time job, they won't give you the subsidy. When my DH was laid off, we looked into the subsidy and calculated the monthly cost that we would have to pay. We also looked at putting the family on the insurance my part time job offers. Keeping his insurance with the COBRA subsidy was less expensive per month than using mine and his coverage was better. However, we were told we couldn't use the subsidy if other insurance was available to us. We ended up going with mine which takes a 1/3 of my part time paycheck! But, our family has coverage and that's what's important.

 

[Barbossa]

The problem with choosing not to use COBRA is that you run the risk of being denied coverage. Health insurance companies have a phone book's worth of reasons to deny coverage based on pre-existing conditions. COBRA insures that you'll always be eligible for health insurance. After the 18 month COBRA period is up, people who may not otherwise qualify for insurance can get it through "HIPAA". Every health insurance company has to offer 2 of their better policies to people who are at the end of their COBRA period, regardless of pre-existing conditions. If you qualify for the COBRA government subsidy, I'd recommend taking it.