A COBRA / state continuation subgroup is a benefits subgroup used for employees who continue group health coverage after a change in eligibility. Mark the subgroup as COBRA on Configure, then attach the plans they can elect on Current Offer or Upcoming Offer.
Who can create a COBRA subgroup
Employers with Benefits enabled, and Benefits Feature Admins with access to the subgroup, can create a subgroup and save COBRA settings on Configure. Users who are masquerading as the employer use the employer path. Clone is available only on the employer path (not for Feature Admins). Brokers and other broker-or-above users can open Configure in view-only mode; Save changes is not available.
Create the subgroup
Start with a new benefits subgroup that has no employees yet. Prefer a new subgroup over converting one that already has employees or attached plans.
Mark the subgroup as COBRA
- Select Benefits in the top navigation menu.
- Select Subgroups in the secondary navigation menu.
- In the BENEFITS SUBGROUPS column, select the subgroup name.
- Confirm Configure is selected in the tertiary navigation (it is selected by default when you open the subgroup from the list).
- Under Subgroup Information, enter or update Subgroup Name (for example, COBRA).
- Enter Subgroup FEIN.
- Under COBRA:, check This is a COBRA subgroup.
- Under 2% Administration Fee:, check Automatically add to premiums if the fee should be added to premiums (this control appears after you check the COBRA box).
- Select Save changes at the bottom of the page.
For Benefits Feature Admins, selecting Benefits opens the Subgroups list directly—continue from selecting the subgroup name.
When This is a COBRA subgroup is checked, Number of Deductions is locked to Monthly (12 pays). Contribution fields that apply to non-COBRA subgroups are hidden.
Attach plans to the offer
After the subgroup is marked as COBRA, attach the plans employees can elect:
On the offer page, attach the plans, then select Save changes.
Limits when converting an existing subgroup
BerniePortal blocks checking This is a COBRA subgroup in these cases:
- Employees are already attached to the subgroup (and it is not already marked as COBRA).
- Attached plans include 100% employee paid as a tier option. Remove that tier option from the attached benefits before marking the subgroup as COBRA.
Alternate path: clone a subgroup
Employers can clone a benefits subgroup to copy settings and attached Current and Upcoming Offer plans. Cloning also copies whether the source is already a COBRA subgroup and whether Automatically add to premiums is enabled. See Cloning Benefit Subgroups.
If you clone a non-COBRA subgroup, open the clone on Configure and complete the COBRA steps above—only if the clone has no employees and no attached plans with a 100% employee paid tier.