COBRA Administration
Is Your Business COBRA Compliant?
PARTNERSHIP WITH BASIC
Is Your Business COBRA Compliant?
PARTNERSHIP WITH BASIC
COBRA generally requires that group health plans sponsored by employers with 20 or more full-time employees in the prior year offer employees and their families continued health coverage in certain instances where coverage under the plan would otherwise end.
The IRS penalty is a nondeductible excise tax of $100 per day, per violation. If there is more than one in the family, the IRS excise tax is $200 per day. Plus, COBRA noncompliance with regards to ERISA can subject an employer to an ERISA penalty of up to $110 per day, per violation, which can be levied per member (no family maximum).