No employer health plan? Your options after a job loss or between jobs

Your three options

Which is best depends on your health, your income for the rest of the year and how long the gap will last.

• COBRA: keep your old employer plan for a time
• ACA special enrollment: buy an exchange plan within 60 days
• Private plans: apply any month, if you qualify

COBRA

COBRA lets you keep the same plan, doctors and deductible progress. You pay the full premium plus up to a 2% fee, and you usually have 60 days to elect it.

• Good if you're mid-treatment or have met your deductible
• Coverage can apply back to the day you lost the plan
• Usually the most expensive option month to month

ACA special enrollment: the 60-day window

Losing job-based coverage opens a special enrollment period. You have 60 days after losing coverage to pick an exchange plan.

Your subsidy is based on expected income for the whole year — so a job loss can mean a bigger subsidy than you'd expect.

Private plans that start any month

Private underwritten plans aren't tied to enrollment windows. If you're healthy and expect a new job soon, one can bridge the gap.

Working part-time with no plan

Part-time workers often don't qualify for employer coverage. You can buy an exchange plan during open enrollment, or when you have a qualifying event.

Lower part-time income may also qualify you for a sizable subsidy — or Medicaid in many states.

Your timeline after a job loss

• Day 1: note the date your coverage ends.
• Week 1: compare COBRA, exchange and private quotes.
• Within 60 days: elect COBRA or enroll on the exchange.
• Before you cancel anything: confirm the new plan's start date.

Common mistakes after losing a plan

Waiting too long is the biggest one. Once the 60-day window closes, an ACA plan may not be available until open enrollment.

Another is assuming COBRA is the only option. For many people, an exchange plan with a subsidy costs far less.

A third is dropping coverage before a new plan is approved. Private underwritten plans may decline applicants or exclude conditions, so keep coverage in place until you have a start date in writing.

How BeneHub helps after a job loss

Tell us the date your coverage ends, and a licensed advisor will compare COBRA, an exchange plan and private options side by side. We'll flag the 60-day deadline and help you line up start dates so there's no gap.

There's no fee to you, and we'll point you to HealthCare.gov if that's the better deal.