Running out is good news, relatively speaking
Reaching the end of your COBRA period is one of the few coverage events that works in your favor. Exhausting COBRA is a qualifying life event, which opens a 60-day Special Enrollment Period for a marketplace plan.
Plan about two months ahead
You can enroll in a marketplace plan before your COBRA actually ends — up to 60 days in advance — so the new coverage begins the day the old one stops. No gap at all.
Wait until after it ends and you are looking at a gap of at least a few weeks, because marketplace coverage generally starts on the first of the month following enrollment.
Know your actual end date
| Why you got COBRA | Length | Counted from |
|---|---|---|
| Job loss or reduced hours | 18 months | The qualifying event, not your election date |
| The above plus an SSA-determined disability | 29 months | Same |
| Divorce, death of the employee, employee's Medicare entitlement, a child aging off | 36 months | Same |
It can end early
- You do not pay a premium within the 30-day grace period.
- You become covered by another group health plan.
- You become entitled to Medicare. See how that interacts.
- The employer stops offering any group health plan at all.
Note that the first of those is your decision, and so does not open a Special Enrollment Period. The rest are not, and generally do.
Related
COBRA vs marketplace · If a window closed · What a marketplace plan costs
Your checklist, sixty days out
- Confirm the exact end date in writing from the plan administrator. Do not calculate it yourself from memory of when you left.
- Estimate your household income for next year, which decides your premium tax credit.
- Check whether anyone will still be mid-treatment when coverage changes — that shapes which plan to choose.
- List your prescriptions and doctors to check against candidate plans.
- Enroll before the end date so coverage is continuous.
Common questions
What happens when COBRA runs out?
Exhausting COBRA is a qualifying life event, so you get a 60-day Special Enrollment Period to choose a marketplace plan. You can also enroll up to 60 days in advance so there is no gap.
How do I know exactly when my COBRA ends?
Ask the plan administrator for it in writing. The clock runs from the qualifying event, not from the date you elected — so any delay in electing came out of your total, it did not extend it.
Is running out different from canceling?
Completely. Exhausting COBRA opens a Special Enrollment Period. Voluntarily canceling it, or stopping payment, does not. Same coverage ending, opposite consequences.
Can I enroll in a new plan before COBRA ends?
Yes, and you should. Up to 60 days in advance, timed so the new plan starts the day COBRA stops. Waiting until after usually means a gap of several weeks.
Can COBRA end early?
Yes — non-payment, becoming covered by another group plan, becoming entitled to Medicare, or the employer dropping its group plan entirely. Only the first of those is your own decision, and only that one fails to open an enrollment window.
Will my premium go up when COBRA ends?
Often it goes down. COBRA has no subsidy at all; marketplace plans may carry a premium tax credit based on your household income. For many people the marketplace plan is materially cheaper.
What if I miss the 60 days after COBRA ends?
You would generally wait for Open Enrollment, unless another qualifying event occurs. Medicaid and CHIP remain open year-round regardless.
Can someone help me time this?
Timing is most of the value here. Calling (866) 821-1808 connects you with a licensed agency that can line up the end date against what is available in your county.
Talk it through with a licensed agent
Which option is right depends on your state, your income and which doctors you need to keep. A licensed agent can walk through it with you in about eight minutes.
Free to call, no obligation, and we never ask you for payment. CobraScout is paid by the agency that answers, not by you. TTY 711.
Sources
- U.S. Department of Labor, FAQs on COBRA Continuation Health Coverage for Workers
- HealthCare.gov, COBRA coverage and the Marketplace