COBRA vs. Marketplace: Key Differences
COBRA continuation coverage lets you keep your existing employer health plan for up to 18 months, but you pay the full premium (employee + employer portions) plus a 2% admin fee. Average COBRA costs are $650/month individual and $1,850/month family. The advantage is continuity — same doctors, same network, same coverage.
ACA marketplace plans may cost significantly less, especially after a qualifying life event like job loss. Premium tax credits are based on projected annual income — which drops after a layoff. A family of four earning $50,000 might pay $200-$400/month for a Silver plan. The trade-off is potentially different provider networks and different deductible structures. You have 60 days from losing coverage to enroll in either option.