Chartered Retirement Planning Counselor (CRPC) Practice Exam 2025 – Comprehensive All-in-One Guide for Exam Success!

Question: 1 / 660

What is a key requirement for COBRA coverage for terminated employees?

Employer must pay full premiums

Proof of prior health coverage

Continuation of coverage for up to 36 months

COBRA, which stands for the Consolidated Omnibus Budget Reconciliation Act, allows employees and their dependents to continue their health insurance coverage for a limited time after certain qualifying events, such as job loss or reduction in hours. A significant requirement of COBRA is that it mandates employers to offer up to 36 months of continued health coverage for terminated employees under specific conditions, such as when the employee worked for an employer with 20 or more employees and is eligible for group health plans.

This extended coverage serves to provide financial protection and continuity in healthcare access during a vulnerable time for workers who have experienced job termination, ensuring they are not immediately left without insurance. Understanding this time frame is crucial not only for compliance with the law but also for the well-being of the employees affected.

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Automatic re-enrollment after termination

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