Employers

Group Administrator's Manual

Arkansas Law Governing Continuation of Coverage Beyond Termination

Groups not eligible for the Consolidated Omnibus Reconciliation Act (COBRA) may be subject to Arkansas' continuation of coverage law; in certain situations this law will allow the extension of coverage for up to 120 days.

A covered person whose employment terminates or dependency status changes shall have the right to elect continuation of coverage under the policy as outlined below. In order to be eligible for this option, the covered person must:

  • Have been continuously covered under the policy for at least three consecutive months prior to employment termination or change in dependency status; and

  • Make the election by notifying Arkansas Blue Cross in writing no later than 10 days after the employment termination or change in dependency status.

Continuation shall terminate on the earliest of:

  • 120 days after the date the election is made;

  • The date the covered person fails to make any premium payments or the policyholder fails to pay the premium to the company;

  • The date on which the covered person is or could be covered by Medicare;

  • The date on which the covered person is covered for similar benefits under another group or individual policy;

  • The date on which the covered person is eligible for similar benefits under another group plan;

  • The date on which similar benefits are provided for or available to the covered person under any state or federal law;

  • The date on which the policy terminates.

Should you need additional information, please contact your group service representative.

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