COBRA Administration Agent
Automates COBRA notification generation, election tracking, and premium payment monitoring for departing employees to maintain compliance with federal deadlines.
COBRA administration requires generating and sending notices within strict federal timelines, and manually tracking each departing employee's election window, payment status, and coverage lapse risk across a spreadsheet is error-prone, especially at companies with frequent turnover
Missing a notification deadline exposes the company to significant compliance penalties and potential litigation
The agent automatically generates and sends COBRA election notices within the required timeframe after a qualifying event, tracks the election and premium payment status against federal deadlines, and flags any at-risk case before a compliance violation occurs
It maintains a complete audit trail of every notice sent and payment received for each qualified beneficiary
The agent detects a qualifying event, such as termination or reduction in hours, from the HRIS and immediately calculates the required notification deadline under COBRA regulations. It generates the election notice using the correct plan and rate information, sends it through the required delivery method, and tracks the beneficiary's election window and subsequent premium payment schedule. Payment status is monitored against the grace period rules, with automatic termination processing for non-payment and continuous audit logging throughout the coverage period.
Detect Qualifying Event
- Identify qualifying events from HRIS termination and hours-reduction records
- Determine the applicable COBRA notification deadline
- Pull the beneficiary's current plan and dependent coverage details
- Confirm employer size and plan applicability under COBRA
Generate and Send Notice
- Generate the election notice with correct plan and rate details
- Send notice via the required delivery method within the deadline
- Log delivery confirmation for compliance record
- Set the 60-day election window countdown
Track Election and Payment
- Monitor beneficiary election response within the window
- Track initial and ongoing premium payment status
- Apply grace period rules for late payments
- Flag at-risk cases nearing a compliance or coverage lapse
Process Termination or Continuation
- Process automatic coverage termination for non-payment after grace period
- Confirm continued coverage status for compliant payers
- Notify carrier of coverage status changes
- Maintain full audit trail for the entire coverage period