How COBRA Insurance Works

COBRA Overview: Continuing Your Benefits

COBRA is a federal program that allows employees who leave their company (due to retirement, termination, or a reduction in hours) to continue the same Medical, Dental, and Vision plans they had while employed.

Important Details:

• Cost: Coverage is maintained at the participant's own expense.

• Duration: Most participants are eligible for 18 months of continued coverage. (Note: While some specific retiree health plans vary, standard COBRA does not offer indefinite coverage).

• Administrator: Rocky Mountain Reserve (RMR) manages your enrollment, processes your premium payments, and coordinates with your insurance carriers (CIGNA, UHC, Kaiser, etc.) to keep your coverage active.

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How to Enroll

Once RMR receives notice of your departure, we mail a Specific Rights Notice to your home address. This packet contains your premium amounts, payment instructions, and your unique portal registration code.

You can enroll in one of three ways:

1. Mail: Sign and return the election form to the Omaha, NE address provided in your packet.

2. Email: Scan your completed form and send it to [e-mail].

3. Online: Elect through the COBRA Online Portal using the instructions in your packet.

The "60/45" Rule

• 60 Days to Elect: You have 60 days from the date of your notice to choose to enroll.

• 45 Days to Pay: After electing, you have 45 days to make your initial payment.

Retroactive Coverage: COBRA does not allow for gaps in coverage. If you leave in June but don't enroll until July, you must pay for June to bring your account current. Your coverage will then "reach back" to cover any claims from your start date.

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Frequently Asked Questions

What happens to my deductible?

Any funds applied toward your deductible while you were an active employee should carry over to your COBRA coverage. If your deductible appears to have reset to zero, please contact your insurance carrier directly to request a manual update to your accumulator totals.

Will I get new insurance cards?

No. Because you are continuing the exact same plan, your current insurance cards remain valid.

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Maintaining Your Coverage

To keep your coverage active, you must make timely monthly payments.

• Due Date: Payments are due on the 1st of each month.

• Grace Period: There is a 30-day grace period for all payments.

• Reactivation Delays: If a payment is late, your insurance may be temporarily suspended. Once payment is received, it can take several business days for the carrier to show you as "active" again.

Article: Premium Payment Options

Pro Tip: Always verify your "active" status with your doctor or carrier a few days before a scheduled appointment to ensure there are no processing delays.

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Terminating COBRA

You may choose to end your COBRA coverage at any time before your eligibility period expires. For instructions on how to voluntarily cancel your plan, please refer to our Terminating COBRA Coverage article.

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Contact Participant Services:

💬 Live Chat: Available via the User Portal

✉️ Email: [e-mail] 

📞 Phone: [phone] 

🕒 Support Hours: M–F, 8 AM – 5 PM MST