What is COBRA and how can it help if I am separated or divorced?

You should also be aware of a federal statute, known by the acronym “COBRA,” that extends additional medical insurance protection to the dependents of an employed-insured spouse who is separated. Under COBRA certain beneficiaries of health insurance policies who would otherwise lose group coverage upon divorce or separation have the right to continued health care coverage for a limited period of time. The COBRA rules are found in Section 162(k) of the Internal Revenue Code and in Sections 601-608 of the Employee Retirement Income Security Act of 1974, 29 USC Sections 1161-1168. COBRA currently ensures that many spouses and children can continue to be covered by an employed spouse’s group health plan for three years following “legal separation or divorce”. COBRA provides very strict notice requirements. Parties must comply with these requirements; and you should also check the company notice requirements.