I think today is my last severance paycheck and I have not heard anything about COBRA. Since getting laid off, I've experienced serious cardiac issues and will likely require open heart surgery. This is the 1st year that my family actually met the high deductible for our health insurance so continuing with COBRA probably makes the most sense. Have called a few times and keep being told that I'll hear within 2 weeks of the end severance pay. I'm very concerned about ending up with no insurance with ridiculously high medical bills with no job and 62 years old. Thanks Wells Fargo.
Anyone have experience with COBRA or advice?
17 replies (most recent on top)
18 months for COBRA in most cases, not 36. There's a couple exceptions that can extend it to 36 months though, this site has them:
https://www.cobrainsurance.com/kb/how-long-can-you-stay-on-cobra/
"Divorce, Annulment, Termination of Domestic Partnership, or Legal Separation
Child ceases to be a Dependent (e.g. child turns 26)
Death of Employee"
There's gotchas to each of the above too. It's specific so most people just quote the 18 because it's pretty restrictive to qualify for the exceptions above, especially since they are generally things that happen to you, not things you can control or time yourself when you didn't get to choose when to be laid off.
You have 36 months of COBRA and that is a federal requirement, nothing specific to WF. You typically get billed a month or two after your severance runs out.
The comments sometimes amazes me. COBRA IS your firms existing insurance not something new. It is also half the price of continuing on WF retirement health insurance which would be the exact same insurance as COBRA. Only downside on COBRA is it last for 18 months. Any plan on the successful ACA plan was cheaper than the WF retirement option. Also, if your income goes down WF retirement insurance never goes lower. Under ACA you may get tax credits lowering your cost as your income drops. I took COBRA for 18 months after retiring early at $522 a month, used funds from already taxed investments to pay my bills for another 10 months creating an artificially low taxable income which led to an ACA cost of $157 a month and then went on Medicare which is actually more expensive with supplemental policies and Part D at $243 a month. WF retiree coverage was $1,128 a month.
F this place for ruining people’s lives. I pray for your health! Do not let the stress of this place destroy you
When zi was severed I had a choice of Cobra or staying with the firm’s health care provider, United Healthcare. I chose United Healthcare, even though it was more expensive, it gave me greater flexibility and permitted me to keep my doctors etc.
Cobra lasts only 18 months then you are the mercy of the failed, “Affordable Care Act”. You are given a one-time choice when your severe, Cobra or staying with the firm’s insurance provider that you must pay for going forward. I never regretted paying a little more for a known quantity and now, after reaching full retirement age, have stayed with the biggest healthcare provider.
Best bet is pick up Cobra until next year, since your income is probably too high to get fully subsidised coverage under other plans. Next year, keep your income (i.e. 401k withdraws) below the amount that would qualify you for fully subsidised health care (via tax credits). If needed you can start drawing early SS benifits, but hold off if you can.
It’s is true, what another fellow commenter mentioned above.
You will be fine. (I also used cobra years ago. It will get backdated) You would be covered as long as time lines up. Properly. End of severance and eligible for cobra (Which you are.) I’m assuming with no thanks to good ol chuckie they are backed up. Lol. Sending prayers to you. and your health.
If you have worked with WF for at least 10 years, you should contact the Retirement Center as you are eligible for Retirement benefits."
WF eliminated the cash balance pension plan in 2009. If you have ten years with WF you get nothing, nada, squat. The only remaining retirement benefit is retirement medical which costs the same as a bronze ACA plan, expensive. COBRA is less than half that but only lasts 18 months. So bottom-line there are no retirement benefits except you are FREE!
"If you have worked with WF for at least 10 years, you should contact the Retirement Center as you are eligible for Retirement benefits."
Is there somewhere I can find additional details on this or does anyone have more information? I have 10 years at WF but I'm 40
This is very similar to a post from a few days ago, which I'll link below:
https://www.thelayoff.com/t/1o5Wm43a
It sounded like the OP in that one is also around 62 and at the end of their severance. Check out the replies, as they include some good info for sure.
Interesting side note - I tried to Google it for the OP and landed on this lawsuit which just settled (Wells Fargo constantly trying to sc--w their own employees):
Wells Fargo Signs $1 Million Accord Over ‘Ominous’ COBRA Notices
Several COBRA notice challenges have led to class settlements
Wells Fargo & Co. will pay up to $1 million to settle allegations that it included misleading threats in the letters it uses to notify former workers of their right to remain on the company health plan.
The deal covers about 50,000 people who received COBRA notices from Wells Fargo between May 2018 and December 2021.
If you have worked with WF for at least 10 years, you should contact the Retirement Center as you are eligible for Retirement benefits.
Paychecks? Isn't severance a lump sum payment? And you would have received paperwork for COBRA as soon as you were laid off. I don't believe this story.
Another know nothing chimes in. Severance is not a lump sum payment unless you get a new job, after 60 days don't make that mistake, and you have credible medical coverage. At that point you are supposed to notify WF and then they will lump sum the rest to save on their benefits costs for you.
@dyj+1oa2BekJ A lump sum payout is not the only option. You can elect to continue to receive paychecks until the end of your severance period. There's no reason to doubt the OP
Wishing you well OP, good luck to you and "F" Wells Fargo happily ruining people's lives
Paychecks? Isn't severance a lump sum payment? And you would have received paperwork for COBRA as soon as you were laid off. I don't believe this story.
You have 60 days to go back and sign up for COBRA and it is retroactive back to your end of previous coverage. Like previous poster said the paperwork will come very close to 9/1 since you are covered through the end of August regardless of when in August your severance ends.
if your severance ends today I believe you'll be covered under the current employer plan until end of month at which point cobra can kick in. when I have left companies in the past the cobra stuff usually came within. a week or two of my last day, and even if all the paperwork goes into the following month there is a grace period so once you are officially signed up your eligibility will be retroactive and any care received should be covered.