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Nebraska Health Insurance Continuation (COBRA): What you need to know

Both Nebraska law and the federal Consolidated Omnibus Budget Reconciliation Act (COBRA) permit employees to continue their group health coverage if they leave the group for certain specified reasons. Nebraska's law applies to insured plans not covered by federal law because they are sponsored by employers with fewer than 20 employees, but provides shorter continuation and applies in fewer circumstances than federal law. Nebraska law, however, provides special continuation rights to the victims of domestic abuse.
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Nebraska's continuation requirements cover group health plans that are not subject to federal COBRA based on the number of employees and apply to hospital, surgical, or major medical coverage, or any combination of such coverages (NE Stat. Sec. 44-1640).
Termination of employment. An employee whose coverage would otherwise end because of the involuntary termination of employment, for reasons other than misconduct in connection with employment, is entitled to continue the same coverage for six months following the date the coverage would have otherwise terminated. The interruption of employment due to a labor dispute is not considered to be an involuntary termination of employment.
Death of an employee. An employee's surviving spouse or dependent child whose coverage would otherwise terminate because of the death of the employee are entitled to continue the same coverage for one year (NE Stat. Sec. 44-1643).
Early termination of coverage. Continuation coverage may be terminated early if:
• The employee, spouse, or child becomes eligible under another group plan;
• The employee becomes eligible for Medicare;
• The spouse remarries or is covered by Medicaid;
• The monthly premium ...

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