If you lose your job, you generally have three health coverage options to compare: continuing your employer plan through COBRA, enrolling in a marketplace plan during a Special Enrollment Period, or comparing private insurance plans. Losing a job is stressful enough without wondering what happens to your health coverage, the good news is you have more than one path forward.

COBRA continuation coverage

COBRA generally allows you to keep your employer plan temporarily after leaving a job, though you typically pay the full premium yourself (including the portion your employer previously covered), which often makes it more expensive than other options.

Marketplace coverage

Losing job based coverage generally qualifies you for a Special Enrollment Period on the marketplace, and depending on your new household income, you may qualify for a subsidy that makes a marketplace plan more affordable than continuing COBRA.

Private coverage

Private plans are a third option worth comparing alongside COBRA and the marketplace, especially if your income is high enough that marketplace subsidies don't apply. Since COBRA is often the most expensive of the three, it's worth checking private pricing before assuming it's your only alternative to COBRA.

Short-term options

Depending on your state, short-term medical plans may be available as a temporary bridge while you sort out longer-term coverage, though these plans work differently from major medical plans and availability varies significantly by location.

What to do first

Acting quickly matters, since enrollment windows after losing coverage are typically time-limited. Comparing COBRA, marketplace, and private options side by side, with actual numbers rather than assumptions, is usually the clearest way to decide.

A note on this article: This content is for general educational purposes only and is not a guarantee of coverage, eligibility, benefits, or pricing. Specifics vary by plan, carrier, state, and individual circumstances. Always confirm details against official plan documents.