COBRA (Consolidated Omnibus Budget Reconciliation Act)
A federal law that allows a divorced spouse to continue the other spouse's employer-provided health insurance for up to 36 months, though at full cost.
Understanding COBRA (Consolidated Omnibus Budget Reconciliation Act)
COBRA is a critical safety net for a spouse who was covered under the other's employer health plan during the marriage. After divorce, the covered spouse loses eligibility as a dependent but can elect COBRA continuation coverage for up to 36 months. The catch is that the ex-spouse must pay the full premium plus a 2% administrative fee, which is often significantly more expensive than what was paid during the marriage. COBRA is typically a bridge solution while the person secures their own coverage through an employer, the ACA marketplace, or Medicaid.
Real-World Examples
After the divorce, the wife elects COBRA to maintain health insurance for 36 months at $650/month while she searches for a job with benefits.
Related Terms
Court-ordered financial support paid by one spouse to the other during or after divorce. Also called spousal support or maintenance.
DecreeThe final court order that officially ends a marriage. Also called a divorce decree, final judgment, or judgment of dissolution of marriage.
Date of SeparationThe date on which a married couple stops living together as a married couple. This date is critical because it determines when marital assets and debts stop accumulating.
Related Guides
Have Questions About COBRA (Consolidated Omnibus Budget Reconciliation Act)?
Our AI advisor can explain how cobra (consolidated omnibus budget reconciliation act) applies to your specific situation — free, private, and available 24/7.
Ask About COBRA (Consolidated Omnibus Budget Reconciliation Act)Was this helpful? Help us keep it free.
divorce911.ai is funded entirely by donations. Every dollar keeps the AI assistant and 1,700+ guides free for people in crisis.
Know someone going through a divorce? This could help them.
This definition is provided for educational purposes only and does not constitute legal advice. Divorce laws and terminology may vary by state and jurisdiction.
Always consult a licensed attorney in your area for advice specific to your situation.