Leaving a job can be stressful enough—figuring out your health insurance shouldn’t make it worse.

Many people default to COBRA coverage because it’s familiar. But in most cases, it’s not the most cost-effective—or flexible—option.

Here’s how to decide what makes sense for your next chapter.

What’s the Difference? ✅ COBRA lets you keep your exact same job-based insurance—but now you pay the full premium plus a 2% administrative fee. That usually means paying 3–4 times what you paid as an employee.

✅ Marketplace Plans (ACA) offer coverage through healthcare.gov and may come with generous income-based subsidies. These plans can often cut your monthly premiums dramatically—and give you access to new options.

When COBRA Might Make Sense:

• You’ve already met your deductible for the year.

• You’re only going a few months without coverage.

• You’re in the middle of complex treatment and want continuity.

When the Marketplace Is a Better Fit:

• You need to save money on premiums.

• You want to explore PPO or HMO plans that fit your new provider needs.

• You’ll be uninsured for more than 60 days and want flexibility.

Important Timing Tips

• You have 60 days from job loss to elect COBRA or enroll in a Marketplace plan.

• If you choose COBRA, you may not qualify for subsidies later unless you drop COBRA during Open Enrollment or have another qualifying event.

• If you skip COBRA and enroll in the Marketplace, your subsidy is based on your estimated annual income—not your past salary.

Let’s Run the Numbers Together At Mere, we help clients compare COBRA costs with Marketplace options side by side. We’ll check your providers, your prescriptions, and help you estimate income accurately to see what kind of savings you might qualify for.

👉 Need help understanding what counts as income for subsidies? Visit our Marketplace Income Accuracy Guide for examples and expert tips. (include link)

Because keeping your health coverage shouldn’t mean draining your savings.

Let’s make this transition a smooth one.

#simplyforyourbenefit