Q.- An employee terminated employment. At her exit interview, she told me that she does not want COBRA coverage. Do we still have to send her a COBRA qualifying event letter?
A.- Yes. Under the COBRA rules, employers must offer each qualified beneficiary who loses coverage under the plan as a result of a qualifying event an opportunity to elect continuation coverage under the plan. A plan may be subject to severe penalties for failure to comply with COBRA even if an employee verbally advises that she will not be electing COBRA coverage.