Common Qualifying Events

• Marriage or divorce
• Birth or adoption of a child
• Loss of other health coverage
• Job loss or a reduction in work hours
• An employer's bankruptcy affecting retiree coverage
• Death of a covered employee
• A move outside a plan's coverage area
• Becoming eligible for Medicare

Qualifying Events and COBRA

Certain qualifying events, most commonly job termination or a reduction in hours, trigger COBRA rights, which let an employee and their dependents continue their group health coverage for a limited time after leaving the job, generally at their own cost plus an administrative fee. Employers of a certain size are legally required to notify affected employees of this right once a qualifying event occurs.

Why This Matters for Employers

Employers have to recognize a qualifying event when it happens and act within required notice windows, since missing that deadline can create compliance exposure and penalties. Building a consistent HR process for tracking terminations, hour changes, and life events keeps a business out of trouble that has nothing to do with its actual insurance coverage and everything to do with paperwork timing.