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What is COBRA?

Federal Law

 The Consolidated Omnibus Budget Reconciliation Act (COBRA) is a federal law that allows most employees, spouses and their dependants who lose their coverage under an employer’s group health plan to continue coverage; at their own expense, for a period of time.  This law applies to both insured health plans and self-funded employer-sponsored plans in the private sector and those plans sponsored by state and local governments.  However, COBRA does not apply to certain church plans, plans covering less than 20 employees, and plans covering federal employees.

 Wisconsin Law (s.632.897, Wis. Stat.)

 Wisconsin’s continuation law applies to most group health insurance policies that provide hospital or medical coverage to Wisconsin residents.  The law does not apply to employer self-funded health plans or policies that cover only specified diseases or accidental injuries.