Divorce or legal separation of a spouse from an employee will often cause the spouse to lose health coverage under the employee’s plan. Dependents of an employee can also lose their coverage when a divorce or separation takes place. When this occurs, the divorced or separated spouse may be entitled to continue coverage under COBRA for up to 36 months.
If an event occurs that triggers an employee’s or family member’s rights to COBRA coverage, the employer must notify its group health plan of the event. The group health plan is not required to act until it receives an appropriate notice of such a qualifying event. When one of these events occurs, the employer has 30 days after the event to provide notice to the plan.
The employer is required to notify the plan if the qualifying event is...
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