COBRA - Not the Commander from G.I. Joe!

Although it seems as if this slumping economy and job market has finally hit rock bottom, there still may be rounds lay offs and downsizing at your place of employment.  I've known too many people who lost their medical benefits as a result of losing their jobs - months later to say I really need medical coverage right now.  That is where COBRA comes in.  The first response to the word COBRA is its expensive.  I understand that being unemployed makes it hard to afford lots of things let alone COBRA, but before ruling it out, please weigh all of your options.

Who: You - if you recently lost your job that provided medical benefits.  Whether you quit, were laid off or unfortunately fired (hopefully not for any type of gross misconduct - that's another story) you are entitled to the offering of COBRA.

What: COBRA - The Consolidated Omnibus Budget Reconciliation Act gives workers and their families who lose their health benefits the right to choose to continue group health benefits provided by their group health plan for limited periods of time under certain circumstances such as voluntary or involuntary job loss, reduction in the hours worked, transition between jobs, death, divorce, and other life events.

When: Immediately following your termination/last day worked. 

How: Complete the COBRA enrollment paperwork that is mailed to you post termination.  It will be mailed from your former employer or from a third party COBRA administration company.  If you want to continue your medical coverage and you don't receive it within 3 weeks of your last day worked, contact your former employers HR department.  There is a deadline for enrollment and payment of premium.  Once you miss the deadline - you won't be able to sign up.

Why: If you or your eligible dependents i.e. children, spouse have medical needs or maintenance prescriptions that you need to continue, you should sign up for COBRA until you secure another job with benefits or find an independent medical plan that is more cost effective.  

Note: The American Recovery and Reinvestment Act of 2009 (ARRA) was implemented to provide a reduction in medical premium costs for individuals who experienced an involuntary termination; see if you qualify.

Review before you recycle that COBRA packet.  You just might need it and it's possible it can be financially feasible. 

For more detailed information click on: www.dol.gov or contact your former employer.

The Next Chapter...

In all candor - I probably should not be up to my sarcastic antics during this time of lay-offs and economic recessions - we all should be happy we even have jobs - whether we like them or not, right?!

As I personally witness massive reorganizations and job-restructuring as those viewing from the top like to call it - my feelings are bittersweet. From those who can finally leave their unfulfilling jobs with severance packages and buy-outs allowing them to reconnect with their childhood dreams and goals of opening up that bakery or custom auto shop or finally being able to release all that pent up literary frustration and becoming that romance novelist that you've always wanted to do, or simply just traveling the world or spending time with the grand kids - I cheer them on with excitement eagerly awaiting the roll out of their life's ACT 2 or even 3 or 4 - who knows.

Then there are those who lived to work, giving numerous years or maybe numerous months or hours, manual or mental labor, ideas and loyalty to a company all to find themselves without warning being asked to leave, with only a couple minutes to pack up their belongings and no time to inquire about COBRA benefits or unemployment.

I can remember being laid off from my first job out of graduate school - I was a victim of last one in - first one out. I was disappointed and caught off guard, but I can remember my mother telling me, as I was then a very green workforce novice, "this is what happens in the real world. You are experiencing this sooner than most in their working careers, you'll be fine." Fine - I thought, I just graduated grad school, I didn't defer my student loans, I don't have any income - Hel-lo!! I'm broke!

Just like a book is filled with many chapters - so are our experiences. So although hard to hear, embrace and try turning the page to the next chapter with optimism that these next pages will hold even bigger and brighter contents than the chapters before.