C.O.B.R.A. Medicalcare Insurance vs Individual Health Care assurance - By: Alston Balkcom

Although COBRA assurance is a great option for some individuals, people too often take the C.O.B.R.A. option when they should not. When compared to individual and/or family medicalcare insurance, COBRA can cost more than other options, it can end too early and it can put someone else in control of your policy.

C.O.B.R.A. is often too expensive

COBRA is s short-term solution

COBRA is under someone else's control

COBRA is often too pricey

The C.O.B.R.A. law gives you the right to be covered by a group insurance policy. One of the biggest misconceptions families have about medical care Insurance is that group insurance policies are less expensive than private medical insurance policies that you can buy on your own. Although this is sometimes true, it isn't usually. In many states, healthcare insurance costs more when acquired through an employer.

This is because of the cost of governmental mandates that apply to group health care coverage policies that don't apply to family or individual health care Insurance policies. A company offering a group coverage policy may have to offer a policy to anyone regardless of their medical care history. Insurance companies cannot drop an insured person from their individual medicalcare assurance policy simply because their healthcare has worsened after they left their job, but they will usually be selective at time of application. This may mean that the insurance company's costs are much higher for their group coverage policies than for their individual healthcare insurance policies.

You may be offered the group assurance policy that you had before your employment concluded and/or if your company has made changes in the policies they offer to their current employees, it may be a different medical plan.

C.O.B.R.A. is s short-term solution

In most situations, C.O.B.R.A. may be kept for a maximum of 18 months, although in certain scenarios, this time period can be extended to 36 months. This may mean that your coverage can conclude when you need it the most. A good family and/or individual medical care Insurance policy may cover you until you reach the age of 65.

You may be healthy enough to qualify for a long-term healthcare coverage policy at the time when your employment ends but not 18 months later. If you contract an illness and/or have some other medical issue that keeps you from buying a policy at the end of your C.O.B.R.A. eligibility

COBRA is under someone else's control

When you mail in your COBRA payments, you will send them to your former employer. Although this happens rarely, sometimes companies will take your money and fail to pay the insurance company.

If your company changes the plans that are offered to their current employees, they may also change the plans available to those eligible for medical care insurance because they have taken the C.O.B.R.A. option. This can mean that your policy may not cover you as well as it used to. You may suddenly be in the position of having a pricey policy that no longer covers you well.

Scenarios where C.O.B.R.A. is better than individual health coverage:

If COBRA is much less pricey than a individual Insurance policy

A individual medical care assurance plan isn't available to you

You're guaranteed a healthcare insurance policy before your COBRA eligibility ends.

There are scenarios where COBRA is a better option than a individual or family health coverage policy. If you cannot get a medical care policy on your own at a good rate and you find that your C.O.B.R.A. is being offered at a good price C.O.B.R.A. may be your best options. This of course is also true if you aren't able tobuy a COBRA plan because of a preexisting condition. Another situation where C.O.B.R.A. can be a good option is when you will be eligible for Medicare and/or some other medicalcare plan before your COBRA eligibility will conclude.

About the Author

Alston J. Balkcom has been an insurance agent since 1985. He has helped hundreds of people find inexpensive alternatives to COBRA

Article Directory Source: http://www.articlerich.com/profile/Alston-Balkcom/57948

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