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About COBRA Complying with COBRA isn't about who stays on your health plan. It's about following procedures and meeting deadlines. COBRA compliance is a system of notifying new and terminating employees in a very specific manner about very specific information. It is about tracking events that affect decisions employees and dependents make regarding health care. It is about accountability. Coverage isn't the issue... compliance is! The following is a very short list of claims that employers have paid for poor notifications and procedures. Cases are filed in Federal Court where attorney's fees usually start at $35,000. |
The High Price of COBRA Non-Compliance
| Bijan Daneshvar vs. Graphic Technology | No Good Faith Effort |
$500
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| Kerr vs. The Chicago Transit Authoriy | No timely Notice |
$150,000
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| Thomas Carter vs. Empire Blue Cross Blue Shield | Late Notice |
$600,000
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| John Reese vs. Brookdale Motors | COBRA not offered |
$15,000
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| Middleston vs. The Russell Group | Failure to offer COBRA |
$350,000
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| Underwood vs. Fluor Daniel | Failure to mail notice to wife |
$36,500
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| McDowell vs. Winton Road Chiropractic Center | Inadequate Notice |
$100,000
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| Jones vs. OfficeMax | Late notice |
$2,110
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