What is it?
COBRA Alternative saves companies administrative costs by re-directing qualified separations from COBRA to Medicaid or CHIP.
COBRA Alternative reduces risk and exposure to significant adverse selection costs for self-funded plans.
COBRA Alternative is attractive to your separated employees, acting as a soft-landing for some the most financially vulnerable population by offering free or low-cost healthcare without deductibles or co-pays, with robust coverage and a wide network in most parts of the country.
How does it work?
Our process is simple. At termination, employees will be informed by their former employer that they may have a no-cost or low cost health insurance alternative to costly COBRA, and will be directed to call BeneStream toll free.
The BeneStream call center will interview them for Medicaid/CHIP eligibility, and if they or dependents only are eligible, they will receive a thorough explanation of the COBRA Alternative for their geographic region. If the former employee elects Medicaid over COBRA, BeneStream will facilitate enrollment just as they do with new employees, lowering administrative costs and high claims cost exposure to companies.