COBRA is a great system set in place to protect people in certain scenarios. But, it has some serious flaws. COBRA has been a little controversial in recent years, and it particularly sped up once the Affordable care Act cemented itself as a long-term plan for health care and coverage in the United States. Is COBRA as viable as it once was? Does it still work as a barrier to protect citizens in 2016?
COBRA is specifically designed for people who lost their job, and it became a major resource for Americans during the recession. The basic idea is that policyholders can retain the coverage from their employer despite losing their job. The timeframe exceeded to just under two years, particularly 18 months. After this time, the policyholder would be forcibly dropped. It was, and is a great transition for certain people.
The potentially fatal flaw in the system is that policyholders will have to carry the cost of the insurance coverage. It is a masked offering. On the surface, it seems the policy will continue on for 18 months, which keeps the status quo. The catch is that the policyholder has to pay for it. COBRA will also tie policyholders into the plan for about a year, so they may miss the next healthcare enrollment period.
The option is still great because the coverage through the employer is usually better than what can be found in other sources. But, that is no longer the case. Employers are dipping to inferior insurance, and independent Health Insurance in Lake Charles LA, such as Curtis Insurance, is stepping up to provide combative and excellent rates.
New policyholders will likely be able to receive very good rates because of their lower income. The independent insurance system has reacted to the Affordable Care Act and to COBRA, and it benefits the people. COBRA can be a lifeline with a good transitional offer. The only issue is that the insurance provided is likely unexceptional. With a bit of digging, superior rates for health insurance in Lake Charles, LA can likely be found. So is COBRA a needless service? Many are finding that is the case.