COBRA Compliance Checklist

Essential 25-Point Checklist for HR Departments

Company Information

Company Name: _________________________
Date: _________________________
HR Contact: _________________________
Plan Year: _________________________

⚠️ Critical Deadlines to Never Miss

1. COBRA Notice Requirements
General Notice Process Established Provided to all new employees and spouses within 90 days of coverage
Election Notice Template Ready DOL-compliant template customized with company information (14-day deadline)
Qualifying Event Notice Process System to notify plan administrator within 30 days of qualifying events
SPD Includes COBRA Information Summary Plan Description contains required COBRA rights information
Notice Delivery Method Documented Proof of delivery system (certified mail, electronic with confirmation, etc.)
2. Qualifying Event Management
Termination Procedures Include COBRA COBRA process integrated into employee termination checklist
Hours Reduction Monitoring System to identify when reduced hours trigger COBRA eligibility
Dependent Status Changes Tracked Process for divorce, legal separation, and aging-out dependents
Death Benefit Procedures COBRA notification included in employee death benefit procedures
Medicare Entitlement Tracking Process to identify when employees become Medicare entitled
3. Premium Calculation & Payment Processing
Premium Calculation Method Documented Clear process for calculating 102% of total premium cost
First Payment Instructions Clear 45-day initial payment deadline clearly communicated
Monthly Payment Processing System Due on 1st of month with 30-day grace period tracking
Non-Payment Termination Process Procedures for terminating coverage after grace period expires
Premium Change Notifications System to notify COBRA participants of premium changes
4. Coverage Duration & Extensions
18-Month Coverage Tracking System for tracking standard 18-month coverage period (termination/hours reduction)
36-Month Coverage Tracking System for tracking 36-month coverage (divorce, death, dependent status)
Disability Extension Process (29 months) Procedures for SSA disability determination and 11-month extension
Second Qualifying Event Procedures Process to extend coverage to 36 months upon second qualifying event
Maximum Coverage End Date Tracking System to notify participants before coverage expires
5. Recordkeeping & Audit Preparation
6-Year Document Retention Policy All COBRA notices, elections, and payments retained for 6 years
Open Enrollment Rights Documented COBRA participants included in annual open enrollment communications
DOL Audit File Organized Central file with all COBRA procedures, notices, and participant records
Annual COBRA Compliance Review Regular review of procedures and updates for regulation changes

📝 Notes & Action Items