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penalties for no COBRA notice

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Posted by Craig Casey on December 27, 2000 at 20:01:42:

In Reply to: Re: Health Insurance: COBRA posted by Gretchen on February 05, 1999 at 09:47:59:

The penalties don't carry much weight, because you have to sue in federal court to get it.
The fines do go directly person who was deined coverage (not the gov), but most people won't sue.

Also COBRA coverage is very expensive, so only if someone is raching up jhuge medical bills, drugs or pregnant would this option
be viable.

Craig Casey

: : : Although the bulletin board is presently sparse on health insurance, I am posting this notice because the press has chosen not to give much information about a Supreme Court decision entered June 8, 1998 (Geissal v. Moore Medical Corp) holding that those who had dual health insurance coverage before the date of election of whether to take COBRA coverage or not, can elect COBRA even though that continues dual coverage. Many individuals who were terminated and covered by their spouse's policy, were not even offered the right to elect COBRA coverage, and that can cost an employer a penalty (paid to the terminating worker) of up to a hundred dollars a day whether the worker needed or wanted dual coverage or not. The offer must be made. The same goes for a worker who was terminated (or quit) and luckily gets another job right away that also provides health insurance. He/she is still entitled to elect to continue COBRA coverage, and if not offered, penalties could run. Dual coverage is not a bad word. It could be less deductibles, greater caps, etc. Many workers have not been given notice and are/were entitled to it.

: : I have Raley's COBRA / Blue shield Coverage. My

: : Wife was trying to get this thing approved,they

: : said yes several months ago they stalled untill

: : recently knowing that she would be on medicare next Month, they

: : said they would pay $200.00 and the out of pocket

: : expense would be around $30,000 .

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