Q.- We have an employee who is retiring July 20, 2013 and will be eligible for COBRA as of August 1. We offer retiree coverage, and the employee has decided to enroll in our retiree plan. Do we still have to offer her a COBRA election?
A.- Probably yes. If the retiree coverage differs in ANY way from the active coverage, the employee must be given a COBRA notice and election opportunity when she loses active employee coverage. Any difference would require a COBRA election opportunity, even if the difference is as small as an increase in cost or if any benefits differ between the active or retiree coverage.