COBRA

COBRA stands for the Consolidated Omnibus Budget Reconciliation Act, a federal law that allows individuals to continue their employer-sponsored health insurance coverage for a limited time after losing their job or experiencing other qualifying events, like a reduction in work hours. It applies to employers with 20 or more employees and covers provisions for health benefits, but individuals must pay the full premium, often at a higher cost than what they previously paid. COBRA helps bridge the gap in healthcare coverage during periods of transition.