What COBRA Coverage Provides
The COBRA continuation coverage offered is identical to the current coverage the Plan provides for similarly situated Members or family members. If, during the period of COBRA continuation coverage, the Plan’s benefits change for active Members, the same changes will apply to COBRA participants. If, during a period of COBRA continuation coverage, a Qualified Beneficiary ceases to be an eligible dependent under the Plan, that Qualified Beneficiary may separately elect COBRA continuation coverage for himself/herself. However, the total of all periods of COBRA Continuation Coverage for any person, measured from the initial Qualifying Event, can be no longer than thirty-six (36) months.
Although the law requires that COBRA continuation be permitted only in the benefit plan in which a Qualified Beneficiary participated, the MILA Trustees have expanded your options. If a Qualified Beneficiary chooses not to elect COBRA continuation in the benefit plan in which he/she participated before the Qualifying event, he/she may elect COBRA continuation in a lower cost benefit plan.
For example, if the Qualified Beneficiary had been covered in the Premier Plan, he/she could elect continued coverage in the Premier Plan or he/she could reject Premier Plan continuation and instead elect COBRA continuation in the Basic or Core Plan. Each Qualified Beneficiary could make a separate benefit plan election. These alternate plans are “network coverage only” plans and require a larger copay than the Premier Plan but the monthly COBRA payment required is lower.
