A qualifying event occurs when one of the events listed below causes a loss of coverage under the group health plan’s terms.
Qualified beneficiaries must be given all of the same open enrollment rights and options that are given to active employees. Any open enrollment materials that are provided to active employees must also be provided to qualified beneficiaries. If an employer modifies coverage for active employees, the same modifications apply to the corresponding COBRA continuation coverage (e.g., the employer changes insurance carriers or changes from an HMO to a PPO).
Generally, the maximum coverage period (the period that COBRA continuation coverage is available) is 18 months for employee qualifying events (termination or reduction of hours) and 36 months for spouse and dependent qualifying events.