What is the cost for COBRA coverage?
Your monthly cost equals the full premium for the coverage. This means both the monthly contribution you paid as an active employee plus the cost that the employer paid for your insurance coverage. In addition, there is a 2% administration fee which is outlined in the federal COBRA law.
If you extend your coverage because of a Social Security disability, the cost of coverage during the 19th through the 29th month extension may be up to 150% of the full premium cost.
How do I find my COBRA premium?
Monthly rate information for the health insurance plan(s) you are eligible to elect through COBRA is provided on the COBRA Election Form and on your Vita Member Portal.
What are my payment options?
Payment can be made by check (personal check, business check, cashier check, bill pay check from a financial institution of your choice), money order, recurring electronic payment, one-time electronic payment, debit card, or credit card. All electronic payments will show on your credit card or bank statement as “Health Ins. Premium Pmt.” You can sign up for the electronic payment options either on your online member portal or via the Vita COBRA mobile app.
Recurring Electronic ACH E-Payment: You can authorize Vita COBRA to automatically draft payments from your bank account on a recurring basis each month by completing the “Recurring Payments” form on the Vita COBRA member portal. The default bank draft date is the last business day of the month for the following month’s payment. However, you do have the option to change the day of the month that your premium is drafted. Your first recurring ACH will include any current or retroactive premium that is due. A few days prior to each monthly scheduled ACH, you will receive an email from Vita COBRA notifying you that a payment is due to be drafted from your bank account. You will also receive an email confirmation once payment has been generated.
ACH Setup Online or via App: There is a blackout period between the 25th of the month and the 5th day of the following month during which Vita COBRA does not enter paper ACH authorization forms. All paper forms received before the 25th of the month will be processed before the ACH file is transmitted.
Recurring ACH Timing: If you set up recurring ACH payment via the online member portal or the mobile app, it must be entered by 5:00 pm PST (7:00 pm CST and 8:00 pm EST) on the day before the recurring ACH is scheduled to occur.
ACH setup via Paper Form: Paper ACH forms must be received by Vita COBRA by the 20th of the month in order for a transaction to be processed for the next month.
One-Time Electronic Payments: ACH, Credit Card, or Debit Card Payments: Payments can also be made by one-time ACH, debit card, and credit card. From your online Vita COBRA member portal, go to the “Make Payment” option and select your payment method. One-time electronic payments will be drafted from your bank account approximately 4-5 business days after you make payment online. Be sure to schedule the draft to be made within your grace period. One-time electronic payments are limited to a maximum of one month's premium per transaction. If you would like to pay for multiple premium months using this feature, you will need to make multiple one-time electronic payments. A $20.00 convenience fee will be included with each one-time transaction.
The option to sign up for one-time electronic payment options (one-time ACH, debit card, credit card) is prior to 11:59 PM US Central Time on the “Last Postmark Date” (see the “When are my payments due?” section below for more details).
Check, Business Check, Cashier Check, Bill Pay, or Money Order: If you decide to pay your COBRA premiums by check (personal check, business check, cashier check, bill pay) or money order, please make your check payable to “Vita COBRA” and send the payment to Vita COBRA, PO Box 2167, Omaha, NE 68103-2167. To ensure accurate posting of your payment, please include your Member ID in the memo line of your check or money order. Your Member ID is located on your profile page on the Vita COBRA member portal.
Vita COBRA charges an administration processing fee for any payments rejected by your bank. This fee is currently $25 per rejected transaction which you must send to Vita COBRA by a separate check or money order.
Vita COBRA is not responsible for informing you of any rejected transactions. You are responsible for ensuring that COBRA premiums are paid with negotiable monies within the grace period and you must notify Vita COBRA immediately of any rejected E-Payment transactions. You can log into your Vita COBRA account online or contact the Vita Concierge Team to confirm your payment status.
When will my rates change?
Your rates will change annually, at the same time the rate changes for actively employed plan participants. Changes in the employer rates, such as at the annual plan renewal, will be passed through to you and all other COBRA Qualified Beneficiaries. You will be notified in writing if your rates are due to change during your COBRA coverage period so that you can adjust your COBRA premium amount.