Back to insurance complaintsFebruary 14, 2013
Insurance Company: Cigna
Coverage Type: Health Insurance
- Underwriting - Premium Too High
i recently terminated employment with O'Reilly Automotive on December 18,2012. by law O'Reilly's was supposed to send me a COBRA letter within 45 days. they did not. They had even forgot to take me off their group health plan on Dec.31. One month after I left O'Reilly's my was diagnosed was diagnosed with inoperable bone & stomach cancer. She was admitted to the hospital on Jan.18 & to our amazement my O'Reillys health insurance(CIGNA) was still in effect. I called CIGNA to make sure & they told me me my wife was insured until O'Reilly's told them otherwise. O'reillys explanation was "it's a long story. When I finally secured a lawyer to threaten them, I got my COBRA insurance & now CIGNA is illegally overcharging me by $400 dollars a month. What can be done
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February 22, 2013 at 8:13 AM
First off, insurance coverage usually is terminated the last day of employment. Sometimes employers will extend coverage until the end of the month, but it is not something that is required. As for getting overcharged for your premium - most companies pay part, or most, of your premium leaving you only a portion to pay on your behalf for coverage. When you are terminated from employment, your company is no longer obligated to pay that portion and you are offered coverage at what the full premium cost would be - hence, why your Cobra rate is more. Sometimes employers administer Cobra, so it may have been an issue with your employer - not the insurance company. Insurance is expensive and unfortunately isn't cheap. Most employees do not realize how much their employers pay towards their insurance until the whole amount is put upon the individual. I'm sorry to hear about your wife and if you did elect Cobra she should be eligible for coverage for 18 months through the Cigna Cobra coverage. In the long run, when you think about the cost of medical care, your $400 extra a month is well worth it if your wife is getting the care she needs.
February 22, 2013 at 8:13 AM
First off, insurance coverage usually is terminated the last day of employment. Sometimes employers will extend coverage until the end of the month, but it is not something that is required. As for getting overcharged for your premium - most companies pay part, or most, of your premium leaving you only a portion to pay on your behalf for coverage. When you are terminated from employment, your company is no longer obligated to pay that portion and you are offered coverage at what the full premium cost would be - hence, why your Cobra rate is more. Sometimes employers administer Cobra, so it may have been an issue with your employer - not the insurance company. Insurance is expensive and unfortunately isn't cheap. Most employees do not realize how much their employers pay towards their insurance until the whole amount is put upon the individual. I'm sorry to hear about your wife and if you did elect Cobra she should be eligible for coverage for 18 months through the Cigna Cobra coverage. In the long run, when you think about the cost of medical care, your $400 extra a month is well worth it if your wife is getting the care she needs.