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Step 1
Sign Up For Cobra Insurance!
When you are laid off the first thing you should do is talk to your HR representative about how to sign up for COBRA health insurance. COBRA used to be a very expensive option to keep health insurance (about $300 per person or $1000 for a family) but recently the government passed a subsidy plan that lowers the cost by 65%. COBRA insurance is a great way to keep your health insurance after being laid off and you can maintain this insurance for up to 36 months. -
Step 2
Sign our Children Up For CHIP!
If you are worried that the COBRA family cost is going to be too much for your family, look into signing your children up for CHIP in your state if you need to keep health insurance after being laid off. CHIP is the state children's health insurance plan and children are eligible from family's with a modest income. This can greatly reduce your monthly insurance cost. Recently, the qualification level changed and now even more families and children are eligible to keep health insurance this way. Also in some states parents also qualify for CHIPS so make sure to ask! -
Step 3
Did you lose your job because it moved oversees?
If you recently were laid off because the company moved your position oversees, you can keep health insurance after being laid off in a different way. You qualify for the Health Care Tax Credit in which the government will pay up to 80% of your premium thus allowing you to stay insured even after a layoff. -
Step 4
Close to retirement?
If you are over 55 and need to keep your health insurance after being laid off you can look into qualifying for Medicaid. Many people qualify early and this will help them to keep their health insurance.
Comments
3CMom said
on 4/16/2009 Great article on keeping insurance after lay-off. *****
Karenc1972 said
on 4/7/2009 Well explained - thanks for sharing this valuable information!
MrsPerrin said
on 4/6/2009 Thank you.