COBRA for inmates

[Guest Nini]

A COBRA qualified beneficiary has COBRA coverage which expires in September 2007. The individual was recently sentenced to 4 years in prison - does this coverage still need to be provided?

Any assistance in appreciated.

[jsb]

Is the incarceration related to the job from whence came the COBRA? If not, on what basis would you deny COBRA continuation unless the person failed to pay? I suppose if the jail is located outside the plan's service area, and there is no viable coverage option available through your plan you could terminate coverage, but this would be related to geographic location, not inmate status.

[Kirk Maldonado]

Nini:

Are you seriously concerned that he would elect COBRA coverage?

[leevena]

I agree that the inmate may very well be eligible. At first I thought the same thing Kirk did (are you really concerned about him taking cobra) but then I realized he might have dependents that can continue.

[Guest Nini]

Not concerned if will elect COBRA coverage - from my understanding this person is already covered

[oriecat]

So then you just have to wait and make sure it gets paid for. If not, cancel it. I see no reason to treat this person any differently from any other QB. His place of "residence" is inconsequential.

[Guest Pensions in Paradise]

I say this tongue-in-cheek..... could you cancel the coverage since the person is now covered under the prison's health plan!!

[jeanine]

All kidding aside, some states have laws that allow jails/prisons to bill a prisoner's health insurer for services received as an inmate. This saves the state or county money. The county or state could conceivably pay the COBRA premium if it makes financial sense to do so.