COBRA provides certain employees, retirees, spouses, former spouses, and dependent children the right to temporarily continue their employer sponsored health benefits (including HRA benefits). Companies, with more than 20 employees, are required to offer COBRA to participants that meet certain qualifying events. In order to participate in COBRA, an employee must pay the full cost of the premium or benefit. COBRA participants are generally eligible for coverage for a maximum of 18 months. 

For healthy individuals, COBRA is usually more expensive than individual insurance.