Sale of Business?

What happens if my EmployER sells the business?

Does the NEW owner have to cover my COBRA?


Simply put, the answer is YES, even if it’s just a sale of assets.  See details and examples in the Code of Federal Regulations  § 54.4980B-9 (pdf) with our markup and annotations.

Check out HIPAA when COBRA expires and please note that if COBRA and/or Cal COBRA is not available or ends early, a letter from the Employer is required, as COBRA must be exhausted to get HIPAA as shown in the  Blue Shield HIPAA Package Page 21
HIPAA Paperwork Required

Attorney Explanations

Don’t pick up COBRA (pdf)



Technical Links

Blue Shield EmployER application – COBRA questions

Blue Shield Procedures to change EmployER name or ownership

Controlled Groups – Common Ownership §414

0 comments on “Sale of Business?

Leave a Reply

Your email address will not be published. logo