October 3, 2022

Protect Your Healthcare Insurance Through Healthcare Programs

In situations where you lose your job or choose to find a new job elsewhere, the government has two programs that can help: HIPAA and COBRA. These programs protect your healthcare coverage in the event you need to change employers.

HIPAA stands for the Health Insurance Portability and Accountability Act of 1996. It allows people to change companies and be accepted into the new employer program regardless of their pre-existing medical conditions. You can find more information on HIPAA compliance via https://www.cxcsolutions.com/compliance/hipaa/.

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Imagine having an expensive medical condition that is currently covered by your current employer. And that you need to relocate or maybe you are offered a more lucrative form of employment at another company. In this situation, HIPAA protects you from being handcuffed to your current job for health insurance reasons; the new employer's supplier must accept it.

COBRA stands for the Consolidated Omnibus Budget Reduction Act of 1985. Allows employees to extend their health coverage when their employer-provided policy ends for any of the following reasons: Your employer terminates your position, as a covered spouse, your coverage you have canceled due to a divorce or legal separation, you become disabled, your company reduces the number of hours you can work and the result is that you are no longer eligible for coverage because you do not work the minimum number of hours required to acquire/maintain insurance. 

Between HIPAA and COBRA, people whose employment is terminated early or who must leave their current employment while they have an existing medical condition and fear losing their insurance are protected from losing their coverage entirely. Consult with your insurance expert to determine how COBRA and HIPAA can help you with your current employment situation.