Groups with 20 or more employees
COBRA stands for Consolidated Omnibus Budget Reconciliation, a federal law enacted in 1985. This law requires most insured and self-insured group health plans to provide continuation of coverage to employees, spouses and dependents who lose coverage under the plan for certain reasons.
Groups with 19 or fewer employees
State Continuation (Wis. Stat. § 632.897) is the Wisconsin legislation similar to the federal COBRA. All employers and insurers within the state of Wisconsin must comply with State Continuation, regardless of size (except for self-insured plans).
Since both laws apply for many employers, the employer must comply with the law that is most beneficial for the employee. Therefore, it is important for employers to be familiar with both COBRA and State Continuation requirements.
Hereafter, COBRA and State Continuation may be referred to as “group continuation,” which means either COBRA and/or State Continuation depending on which law will apply.
Those who elect COBRA coverage are responsible for sending you the monthly premium payments. You will make payment to us.
COBRA/State Continuation is an employer-administrated benefit. We have provided this information for reference purposes only. Consult with your attorney or COBRA administrator (if applicable) regarding specific situations or concerns regarding the administration of group continuation.