While COBRA allows you to keep your employer-sponsored coverage, it can be expensive. Fortunately, there are several alternatives that may offer more affordable options—especially if you qualify for financial assistance.
💡 Common COBRA Alternatives:
🏥 Marketplace Coverage (HealthCare.gov or State Exchanges)
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May be significantly cheaper than COBRA
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You could qualify for premium tax credits and cost-sharing reductions based on income
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Enrollment is allowed if you lose group coverage, even outside open enrollment
👪 Spouse’s or Parent’s Plan
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You may be eligible to enroll in a spouse’s or parent’s employer plan through a special enrollment period
🏛️ Medicaid
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Available for individuals with low income
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Can be a free or low-cost option depending on your state and financial situation
🧑💼 Short-Term Plans or Other Private Options
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These may have lower premiums but usually come with limited coverage, no pre-existing condition protection, and fewer consumer protections
🧠 Key Tip:
Compare COBRA to other options before electing—once you choose COBRA, you may not qualify for Marketplace subsidies until your COBRA coverage ends or is exhausted.