Articles / After you sign or leave
COBRA or Covered California after a layoff?
How COBRA pricing works, the 60-day windows for COBRA and Covered California, and why comparing both first often saves money.
Last reviewed November 6, 2026. General information about California law, not legal advice.
The short answer
Compare both before you choose. COBRA lets you keep the same plan but can cost up to 102 percent of the full premium. Covered California offers marketplace plans with financial help based on your current income, which may have just dropped. You generally have 60 days to elect COBRA and 60 days after losing job-based coverage to enroll in Covered California.
What COBRA is
COBRA lets you keep your employer’s health plan after your job ends. The plan stays the same. The price changes: you can be charged up to 102 percent of the full premium, including the share your employer used to pay. Smaller employers may fall under Cal-COBRA, California’s version, instead.
What Covered California is
Covered California is the state’s marketplace. Losing job-based coverage opens a special enrollment period, generally 60 days. Financial help is based on your expected income for the year, and a job-loss year is often a lower-income year.
Why compare before electing
For many people a comparable marketplace plan costs less than COBRA. For others, keeping the same doctors or a plan already past its deductible matters more. Run both numbers before choosing.
Check the agreement
Some separation agreements include employer-paid COBRA premiums for a period of time. That is a term people commonly ask about, and it is worth confirming the start and end dates in writing.
Common questions
How much does COBRA cost?
Up to 102 percent of the full cost of the plan, including the part your employer used to pay, unless a separation agreement says the employer will pay some of it.
How long do I have to decide?
Generally 60 days to elect COBRA, and 60 days after losing job-based coverage for Covered California special enrollment.
Not legal advice
This article explains how California and federal rules generally work. It does not tell you what to do in your situation, and reading it does not create an attorney-client relationship. Every example on this site is a fictional story. For advice, seefree and low-cost help in California.