Health insurance continuation coverage — Tennessee

The Consolidated Omnibus Budget Reconciliation Act (COBRA) specifies several requirements for employers that provide health insurance coverage to their workers. COBRA covers employers with more than 20 employees in the previous calendar year. COBRA does not require employers to offer health insurance coverage, but does require that those employers offering health plans provide continuing coverage to qualified departing employees and/or their beneficiaries. Employers must notify covered employees and their spouses of their rights under COBRA at the start of coverage under any health plan or when a qualifying event occurs. Employers with fewer than 20 employees, but who provide group health insurance to their employees may be required to offer continuation coverage for a period of three to 15 months, depending on the circumstances surrounding the termination of coverage. Consult with an attorney regarding obligations under Tennessee law.

Consolidated Omnibus Budget Reconciliation Act

All employers who maintain a group health plan are subject to COBRA rules unless either:

1. The employer employed fewer than 20 employees (counting full- and part-time) on at least 50% of its typical business days during the previous pay period. Part-time employees are counted as partial...
   
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