Latest news with #ConsolidatedOmnibusBudgetReconciliationAct
Miami Herald
27-05-2025
- Health
- Miami Herald
7 health insurance options to consider before leaving a job and coverage expires
7 health insurance options to consider before leaving a job and coverage expires Employment-based health insurance is the most common type of coverage in the U.S., so quitting a job is likely to affect your insurance status. It's a good idea to explore your insurance options before you quit your job and your coverage expires. If you don't plan properly, you could have a gap in coverage. You could also face high out-of-pocket costs for doctor visits, prescriptions, and emergency care-or delayed care or the lack of healthcare-during the time you don't have insurance. Proper planning could save you money and lead you to a health plan that's a good fit for you, GoodRx notes. It's important to know that you have options. If you intend to quit your job, keep reading to find out what you need to know to ensure that you continue to have access to health insurance. Key takeaways: If you have an employment-based insurance plan, coverage typically ends on your last day of work or the last day of the month in which you leave your may be able to retain coverage through your employer's health plan for 18 months or longer with COBRA, but this option is often on your age, income, and other factors, you may be eligible for an Affordable Care Act plan, Medicaid, or Medicare, or you may be able to join a relative's health plan. When you quit a job, what happens to your health insurance? In most cases, employment-based health insurance ends when you quit your job, but this depends on the type of coverage. For example, if your employer had 20 or more workers and offered group health insurance, you may be eligible to enroll in COBRA. COBRA (the Consolidated Omnibus Budget Reconciliation Act) is a federal law that protects workers and families from losing health coverage because of certain job and family changes. GoodRx discusses the details of COBRA below. Employment-based health insurance is the most common kind of coverage in the U.S. About 60% of U.S. residents under age 65 were covered by employment-based health insurance in 2023, according to KFF. That means these individuals had private health insurance provided by an employer or a union. How long does health insurance last after quitting a job? If you have job-based insurance, your coverage usually ends on your last day of work or at the end of that month. The exact date depends on your health plan. Sometimes, you will have extended coverage if you leave as a retiree. It's important to plan ahead for health insurance coverage before your last day at work. If you're eligible for COBRA, you may be able to continue coverage under your employee health plan for 18 months or longer. 7 health insurance options to consider if you quit your job If you're quitting your job, you have many options for health insurance coverage. Your choices may include: 1. COBRA This federal law lets you extend your employee insurance up to 18 months (or longer in some states and under certain conditions) after quitting your job. COBRA can be costly because you have to pay your employer's portion of your premium in addition to what you were already paying. Some states also let your employer charge a 2% administrative fee. Typically, you can continue coverage under COBRA if you worked for a company with 20 or more employees (but not the federal government or a religious organization). Your spouse or partner and children covered by the plan also will be eligible for COBRA continuation coverage, even if you don't sign up. Your former employer must give you at least 60 days from the date of your "election notice" (which alerts you to your options under COBRA) or from the date you would lose coverage, whichever is later, to enroll in COBRA. 2. Affordable Care Act plans The Affordable Care Act (ACA) marketplace offers a special enrollment period for people who have a qualifying life event, such as the loss of job-based health insurance. The special enrollment period usually begins 60 days before you expect to lose coverage and ends 60 days after your insurance stops. Marketplace plans may be less costly than COBRA. Coverage will vary, so shop around. 3. Medicare If you are at least age 65 or have a long-term disability, you may qualify for Medicare. Your special enrollment period lasts 8 months from the day you end employment or lose your insurance, whichever happens first. 4. Medicaid Did you have a low income while working? Did quitting your job reduce your family's income? Depending on your financial status, you may qualify for low-cost health insurance from Medicaid. Medicaid has 56 distinct programs administered by states, territories, and Washington, D.C., so eligibility varies depending on where you live. 5. Partner's plan You may be able to join the health insurance plan of a spouse or partner when your coverage stops. If your spouse or partner has employer-based health insurance, their plan will have its own rules for enrollment. For details, check with the insurance plan or the human resources contact at your significant other's employer. 6. Parent's plan If you are under age 26 and lose your job-based health insurance, a parent may be able to add you to their insurance plan as a dependent. If your parent has a job-based plan, you may be required to wait until the annual open enrollment period. If your parent has an ACA marketplace plan, you may qualify for a special enrollment period. Some plans even allow dependent coverage through or beyond the end of the year you turn 26. 7. Special plans Short-term insurance with limited benefits can be a good solution while you're between jobs. You may also consider alternative coverage options, such as fixed-indemnity, accident, high-deductible, and catastrophic insurance plans. If you're enrolled in college, you may have access to a campus-based health insurance plan. How do I choose a new health insurance plan after leaving a job? When selecting a new health plan, check the summary of benefits and coverage. You should consider the three D's: Doctors: If you want to continue seeing the same healthcare professionals, make sure they're in your new plan's If you take medications, check the plan's formulary to make sure those prescriptions are If there are tests you'll need to manage a chronic condition, check to see that those services are included in your new plan. How can I find out which insurance options cover my medications and health conditions? You can check a plan's summary of benefits and coverage for information about: DeductiblesOut-of-pocket limitsCopays and coinsurance for covered servicesCovered medicationsPrescription copays by medication tierPricing for visiting in-network and out-of-network providers What happens if I miss my ACA special enrollment period? If you miss your ACA special enrollment period-which lasts from 60 days before to 60 days after a qualifying life event, such as leaving a job-you will have to wait until the annual open enrollment period to buy a marketplace plan. ACA open enrollment is Nov. 1 to Jan. 15 in most states. Where you live will determine the ACA open enrollment period. The website is the national platform for Affordable Care Act health insurance information, and it's the enrollment portal for people in 31 states. The District of Columbia and 19 states have their own marketplaces and deadlines for ACA enrollment. If you miss your ACA special enrollment period, you may be able to sign up for one of the other insurance options mentioned above. Is there a difference in my insurance options if I'm fired, as opposed to quitting? Whether you quit your job or get fired, there typically isn't a difference in your insurance options. But you may be denied COBRA if you're terminated for gross misconduct. Your options may be slightly different if you retire from a job because some employers and unions have special insurance coverage for retirees. Medicare offers some guidance on questions you should ask if you qualify for this kind of coverage, which could provide you with supplemental insurance that functions, like a Medigap plan. Is an ACA plan less expensive than COBRA? ACA marketplace plans often cost less than COBRA for similar coverage, but not always. Depending on your income, you may qualify for a premium subsidy that will decrease the monthly cost of your ACA insurance, or you may opt for a premium tax credit on your annual tax return. In fact, the Centers for Medicare & Medicaid Services reports that 4 out of 5 people will be able to find a plan for $10 or less per month in 2025, though your options at that price may cover far less than your employer plan. COBRA requires you to pay the full cost of your coverage. With COBRA, you continue to pay the monthly premium as you did while you were employed, and you also pay the amount your employer was contributing. According to the KFF Employer Health Benefits 2024 Annual Survey, the average annual premiums for employer-sponsored health insurance were $8,951 for an individual employee and $25,572 for family coverage. Those premiums would come to about $746 monthly for a single employee and $2,131 a month for a family-and you would be responsible for the full cost under COBRA. Cost, however, may not be your only consideration. If you have met your deductible for the coverage year and have ongoing health issues, you may be better off paying for COBRA than switching to a new plan and having to meet a new deductible. That way, you can keep your doctors and may pay little out of pocket for your care, aside from your increased premium. Switching to another plan will reset all of your deductibles and may force you to find different healthcare professionals, which may be detrimental to your physical and financial health. Can I cancel COBRA mid-month? COBRA is month-to-month coverage that can be canceled anytime. If you decide to cancel, it's best to do so in writing. Once you stop the coverage, it cannot be reinstated. It's important to pay attention to timing if you intend to cancel COBRA. Before your COBRA coverage ends, make sure you know when you're eligible to sign up for your next plan. If you stop COBRA and want ACA or other group coverage, you usually won't be able to buy a plan outside the open enrollment period. Your COBRA coverage period needs to be exhausted for you to be eligible for an ACA special enrollment period. Can my former employer cancel COBRA coverage? COBRA coverage can be canceled if you miss a premium payment and don't send the money before the 30-day grace period ends. You may not be able to reinstate your coverage in this scenario. Your coverage also depends on that former employer continuing to offer group health insurance. You can be terminated from a COBRA plan if you reach the age to become eligible for Medicare while on COBRA. What happens to my COBRA coverage if I get a new job? Your COBRA coverage typically ends if your new employer offers health insurance benefits. But getting a new job doesn't automatically end your COBRA benefits. Typically, COBRA coverage ends when you sign up for insurance through your new job. COBRA is designed to help you maintain insurance coverage during a transition period when you don't have access to employer-sponsored health insurance. If you sign up for another employer's health plan, it replaces your COBRA coverage. You will not have to pay the COBRA premiums or rely on your former employer's plan for coverage if you sign up for health coverage with your new job. What happens to my ACA plan if I get a new job? Getting a new job may affect aspects of your ACA insurance, including: Subsidies and tax credits: ACA subsidies and tax credits are based on income limits. Increased income from your new job may affect your premium subsidy and raise your monthly cost for your health insurance-or affect your tax credits. You should report income and job changes to the marketplace You may no longer be eligible for ACA insurance once you have a job-based health insurance offer. If your new job does not offer group health insurance, you may remain eligible for an ACA plan. Frequently asked questions Can HR tell you the exact date you quit? Yes, your human resources representative should be able to tell you your employment termination date and the date your health insurance coverage will end. These dates may not be the same. How long does an insurance plan's coverage remain in force? Your insurance coverage should remain in force as long as you're eligible for coverage and premiums are paid. In the scenario of quitting a job, your coverage could end on your termination date (your last day of employment) or at the end of that month. Should I keep my employer health insurance when I retire? You may be able to keep your employer health insurance when you retire. Sometimes, retiree benefits provide better coverage than Medicare. Or you may be able to combine your retiree benefits with other insurance, such as Medicare, and use your retiree health plan as supplemental policy. The bottom line If you have employment-based insurance and intend to quit your job, it's important to consider your options for health insurance in advance. You may choose to extend your employer's coverage and pay the full premium by enrolling in COBRA. Depending on your age, income, and other factors, you may be eligible for public insurance options such as Medicare or Medicaid. You may also choose a private plan through the Affordable Care Act marketplace. Depending on your circumstances, you may be able to join a parent's plan if you are under age 26 or enroll in your partner's plan. You may also consider buying a special or short-term plan with limited benefits. This story was produced by GoodRx and reviewed and distributed by Stacker. © Stacker Media, LLC.
Epoch Times
14-05-2025
- Business
- Epoch Times
You're Retiring Early—Now What About Health Care?
You've worked hard all your life and now want to retire early. You're not alone. According to a 2024 Mass Mutual Survey, the average retirement age is 62. That's when you're eligible for Social Security benefits. But even if you have the assets and income to retire at 62, there's still the matter of health insurance. At 62, you can't collect Medicare. Generally, Medicare is for people 65 or older, unless they have a disability and or other specified chronic illnesses. So, just because you're collecting Social Security at an early age doesn't mean you'll have health insurance through Medicare. They aren't connected. There are other options you can turn to for health insurance, however, including insurance from a spouse, COBRA, private health insurance, and others. Here's an overview. COBRA Most employers are required to offer health insurance coverage to former employees through the Consolidated Omnibus Budget Reconciliation Act (COBRA). Your former employer is not required to subsidize your COBRA payments—under COBRA, you would be required to pay the full premium. Related Stories 4/8/2025 4/4/2025 Although it's not cheap, COBRA can be used to initially bridge the gap between retirement and Medicare. The downside: COBRA is only available for the first 18 months after leaving employment. Health Insurance Marketplace An easy and sometimes inexpensive way to purchase health insurance is through the As an early retiree, and depending on the plan you choose, you might find your co-payments are less expensive. But be warned, sometimes the deductibles are high. As for the premium cost, specific household sizes and income amounts may result in premium tax credits and savings. As a result, many early retirees have small premiums. The upside is that these plans allow preexisting conditions. The downside is that often the deductible is high. Your Spouse's Insurance If your spouse is still working and has insurance, consider going on his or her plan as a dependent. This option will cost more but is probably the easiest way to work around your insurance loss. Private Health Insurance Contacting a private health insurance company is a similar process to the Health Insurance Marketplace. Since these plans are purchased privately, however, you may have more options than the Marketplace. However, keep in mind that with private health insurance, you won't receive premium tax credits. The cost will be higher depending on the plan. Health Share Plans Health share plans, often called health share ministries, aren't actually health insurance. They comprise groups that agree to pool money to cover medical expenses. But usually, coverage is limited to basic health care and catastrophic care. Many health share plans are faith-based and may require you to submit a statement of faith. However, there are some secular plans available. Importantly for seniors, many health share plans don't cover preexisting conditions; they typically require a waiting period, which can range from a year to five years. And as a new member, you may have to pay into the plan for several months before requesting coverage. Health share plans are generally for healthy individuals who only need basic or catastrophic coverage. Part-Time Work Part-time work is great if you want to draw less from your portfolio for living expenses. But it can also be a place to find health insurance. Some companies offer health insurance benefits to part-time employees. Two of them are Starbucks and Amazon. Both employers contribute to the cost of insurance for their part-time employees, but the employee cost varies widely depending on a variety of factors, including work status, type of plan, and the dependents you cover. Health Insurance Costs for Retirees The monthly cost for an individual health insurance plan increases as you age. For example, a 50-year-old can expect to pay roughly $795 per month for a plan through the Health Insurance Marketplace, while a 60-year-old will pay $1,208 monthly. If you go through the Health Insurance Marketplace, however, you may be eligible for a premium tax credit to reduce your costs. In fact, 92 percent of Marketplace recipients get a break this way. Before the tax break, plans and prices on average range from a premium of $655 a month for a gold plan, to $590 a month for a bronze plan. Keep in mind that the lower the premium, the higher the deductible and co-pays may be. Medicare: Not the Answer in Early Retirement Social Security will start paying early retirement benefits at 62, but Medicare doesn't kick in until 65, regardless of Social Security benefits. Medicare Part A and Part B require you to be 65 or older. And you can't sign up for a Medicare Advantage plan or a Medicare Supplement insurance plan until you have Medicare Part A and Part B. If your spouse is 65 and you are younger, you are still not eligible for Medicare. The fact that you're ineligible for Medicare has no bearing on your spouse's benefit, however. And if you enroll in Medicare when turning 65, you can't put a younger spouse on your plan. Once you turn 65, you must sign up for Medicare, or you'll incur a penalty that will affect your future Medicare premiums. The exception to this, according to Medicare, is if you are working full-time for a company with more than 20 employees and have health insurance through that job. The only exception to the 65-age rule is if you are receiving Social Security disability benefits, are in end-stage renal disease, or have ALS (Lou Gehrig's disease). Shop Around To plan for health insurance, evaluate your health needs and budget. If you are generally healthy, you might do well with a higher deductible and lower premium. Shop around before you retire to find a plan that suits your circumstances. But remember that to sign up for any plan, you must have a qualifying event such as a job change or retirement. Otherwise, you'll need to wait for open enrollment in the fall. It's important to plan early. The Epoch Times copyright © 2025. The views and opinions expressed are those of the authors. They are meant for general informational purposes only and should not be construed or interpreted as a recommendation or solicitation. The Epoch Times does not provide investment, tax, legal, financial planning, estate planning, or any other personal finance advice. The Epoch Times holds no liability for the accuracy or timeliness of the information provided.
Yahoo
29-01-2025
- General
- Yahoo
Cape San Blas restoration project faces funding and permit challenges
GULF COUNTY, Fla. (WMBB) – Gulf County residents are patiently waiting for the Cape San Blas Beach restoration project, but warn that time is running out. The lack of sand has already caused damage, water is starting to wash up under houses. Two Cape San Blas homes have already been condemned, and there are about 30 more that are at risk. There are two ways to get sand on the beach, truck it from a donor pit, or pump it from the bottom of the Gulf. This project will require 800,000 cubic yards of sand. The estimated cost is $34.5 million, but the county only has $24 million. They're asking the state legislature for the other $10 million. Residents are hopeful. Cape San Blas restoration project delayed over funding issues 'It's more probable now than possible. And we're pushing and we're, we're contacting these federal agencies and federal people to contact these federal agencies as well,' Coastal Community Association President Pat Hardman said. But money isn't the only issue. U.S. Fish and Wildlife and National Marine Fisheries must approve the project before the U.S. Army Corps of Engineers will issue a permit to the county. 'There's been some favorable discussions with U.S. Fish and Wildlife and the county, the U.S. Fish and Wildlife did issue their formal consult and the only issue to be kind of resolved, I guess, is some of the terms and conditions that U.S. Fish and Wildlife put forward,' Save the Cape committee member Maria Thomas said. County officials are also hoping for federal funding down the road. If they can prove the restoration project will improve the habitat of 3 endangered species, the St. Andrews Mouse, Loggerhead Sea Turtles, and shorebirds. They could apply for Consolidated Omnibus Budget Reconciliation Act or COBRA funds. 'If it's to help the endangered species, have corridors, have habitat to live in, have habitat breeding then the COBRA does not apply. The restriction of COBRA not being able to use federal money doesn't apply and that opens up federal money to us,' Hardman said. 'Save the Cape' committee members say the fastest way to begin the project is to receive funding from the state legislature. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
