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Who Pays for COBRA

Employees/Dependents - Up To 102% of Premium

Qualified beneficiaries electing COBRA continuation coverage must pay the full premium for the coverage. Employers are not obligated to make any contribution to the coverage, even if the employer made a contribution prior to the individual’s loss of benefits.

In addition, the employer is permitted to add an additional 2% to the premium to cover administrative costs. Consequently, the total premium for the continued health care coverage can be up to 102% of the premium for similarly situated individuals who are still covered by the employer’s group plan.

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