Leaving a Job-Based Plan

Leaving a Job-Based Health Plan? Compare Before You Choose

COBRA and state continuation let you keep your old plan for a while, at the full premium. Compare that cost with a private PPO plan of your own.

Compare My Options

Know Your Deadline

Federal COBRA generally gives you at least 60 days to elect. State continuation deadlines are often shorter. Check the notice from your employer.

Compare the Full Price

With COBRA you usually pay the whole premium, including the part your employer used to pay, plus up to a 2% fee.

Or Get a Plan of Your Own

A private plan is not tied to any employer. Price and approval depend on the carrier and underwriting.

Federal COBRA

COBRA generally applies to employers with 20 or more employees. It usually lets you keep the same group plan for up to 18 months after a job loss or a cut in hours, at up to 102% of the plan’s cost. You keep the same network and benefits, but you pay the full premium.

State continuation for smaller employers

If your employer had fewer than 20 employees, federal COBRA usually does not apply, but your state may have its own continuation law. The length varies a lot: about 3 months in Georgia, 9 months in Texas and 18 months in Florida, for example. Our state guides explain the rule in each state we cover.

A private plan of your own

A private individual or family plan belongs to you. It can cost less or more than COBRA depending on your age, household and the plan design. Many private plans accept applications year round, and start dates depend on the carrier and approval. Compare before your election deadline passes.

Related guides

Put the Numbers Side by Side

Bring your COBRA or continuation notice. Your agent compares its monthly cost with private plan estimates for your household.

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Plan the Start Date

If you choose a private plan, line up the start date with the day your job-based plan ends so there is no gap.

Good to know

Frequently Asked Questions

Is COBRA worth it?

It depends on the price and on how long you need it. COBRA keeps your exact plan, but you pay the full premium. Compare it with a private plan estimate before you decide.

How long do I have to decide on COBRA?

Federal COBRA generally gives you at least 60 days from the later of the date coverage ends or the date you get the election notice. State continuation deadlines can be shorter.

Can I switch from COBRA to a private plan later?

You can apply for a private plan while on COBRA. If approved, you can end COBRA once the new plan starts. Check the private plan’s start date before you cancel anything.

Does my state have its own continuation law?

Many states do, mostly for employers with fewer than 20 employees. See our state guides for the rules in each state we cover.