The Consolidated Omnibus Budget Reconciliation Act, also known as COBRA, is a health provisions policy that was enacted in 1986. This law was passed during the Ronald Reagan administration. COBRA provisions include several changes to the Employee Retirement Income Security Act of 1974 (ERISA).

COBRA benefits give former employees and their immediate families the right to enjoy continuous medical insurance and health coverage offered by their companies even after termination.

COBRA only covers an initial insurance premium plan that has 20 or more employees working at least half of the year at the time of termination. This includes both full and part-time workers.

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