State Continuation: TX
Compliance & Assurance
What is State Continuation?
State Continuation requires some group plans to continue a member's benefits coverage after they leave their employer.
Similar to COBRA, plan members are responsible for paying their plan's full premium.
Although State Continuation mimics COBRA, there are some key factors to note, because not every employer is subject to State Continuation, and not every circumstance will prompt State Continuation.
When is State Continuation Available?
Employer is NOT Subject to COBRA
For Employers < 20 Employees
+ Group Plan is Fully-Insured
Member May Be Eligible for Nine Months State Continuation
For Employers > 20 Employees
+ Group Plan is Fully-Insured
Employer is Subject to COBRA
+ Member Has Exhausted COBRA Coverage
Member May Be Eligible for Six Months State Continuation
How to Obtain State Continuation?
Maintain Health Coverage for Three Months Before Employment Ends
Employers Must Inform Participants About State Continuation Within 30 Days of Plan Termination
Contact Your Group Plan Insurer or Agent to Obtain Continuation Coverage Forms