Q.- A COBRA continuant is in the final stages of her divorce. Her 18-month COBRA period ends 1/31/2021. She said the divorce decree won’t be signed by the judge by then, but she will have entered into a settlement agreement with her soon-to-be ex-spouse. Is this enough to give the spouse an additional 18 months of COBRA?
A.- Probably not. A divorce or legal separation (in a state that recognizes legal separation) is a second qualifying event under the COBRA rules. If divorce or legal separation occurs during the initial 18-month COBRA period, the maximum coverage period for the spouse or dependent child may be extended to 36 months from the initial qualifying event date.
If the divorce or legal separation is not finalized within the 18-month initial COBRA period, no extension to the COBRA period is available. A divorce is typically not considered finalized until the judge signs the decree.
The expiration of COBRA duration would be an event that would allow a mid-year enrollment in the health insurance Marketplace.