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Jobless Should Evaluate COBRA, Medicare in Light of 2009 Recovery Act
Date:4/15/2009

rently on COBRA. So, if you're currently using your former employer's COBRA coverage and are eligible for Medicare, whether due to age or disability, you still have to pay the full price of COBRA coverage. Having Medicare coverage and attempting to use reduced-cost COBRA can have serious consequences. Read more about Medicare and ARRA.

In general, all healthcare coverage is voluntary. That means that you have the choice whether or not to participate. So the decision to keep COBRA coverage until it expires, or use Medicare or other coverage instead is entirely up to you. But, coverage from Medicare or an employer may prove to be far more cost effective. Additionally, there is a penalty for individuals who use reduced-cost COBRA but are eligible for Medicare.

Allsup provides additional details online:

COBRA and the American Recovery and Reinvestment Act of 2009

Quick Facts about Medicare and ARRA

The American Recovery and Reinvestment Act of 2009

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