The requirements imposed upon employers by the Consolidated Omnibus Reconciliation Act (COBRA) and the Health Insurance Portability and Accounting Act of 1996 (HIPAA) have created a web of compliance issues that are often difficult to untangle. Employers must understand what plans must offer COBRA, what events trigger the obligation to offer COBRA coverage, the duration of COBRA coverage, and to whom and what type of COBRA coverage must be offered.
COBRA, the federal health care continuation law, requires continued health care coverage for most group health plans of public and private employers. The statutes and regulations governing COBRA coverage set up not only stringent employer requirements and timeliness, but also impose strong penalties for noncompliance. Numerous variables can affect an employer's responsibilities, such as multiple qualifying events, entitlement to Medicare, and extension of coverage due to disability. These factors can lead to increased exposure for failure to comply.
The addition of the HIPAA regulations & The American Recovery and Reinvestment Act of 2009 have added to the compliance burden of plan sponsors.
J.W. Terrill Benefit Administrators provides COBRA/HIPAA administration to assist our clients in meeting COBRA requirements. Our knowledgeable consultants will analyze your specific problems and offer sound solutions.
Utilizing our specialized software we will administer your COBRA plan in accordance with the federal laws and regulations. We will provide Qualified Beneficiaries with notification letters that contain all the required information along with certificates of creditable coverage. We will ensure elections and initial premium payments are made within the deadlines provided, and track ongoing premium payments.