366 / Who is a qualified beneficiary for purposes of COBRA continuation coverage requirements?

With respect to a covered employee under a group health plan, a qualified beneficiary is any other individual who, on the day prior to that covered employee’s qualifying event, is a covered employee’s spouse or dependent child. A child born to or placed for adoption with a covered employee during the period of continuation coverage is included in the definition of qualified beneficiary.¹ Agents, independent contractors, and directors who participate in the group health plan may also be qualified beneficiaries.² Each qualified beneficiary has individual rights so that continuation decisions may be made on a person by person basis.

Employers are not required to offer COBRA continuation coverage to domestic partners, though some employers have negotiated with their insurance companies to do so.

If a qualifying event is a proceeding in a case under federal bankruptcy law, a qualified beneficiary is any covered employee who retired on or before the date of substantial elimination of coverage and individuals who, on the day before bankruptcy proceedings commence, were covered under the plan as a covered employee’s spouse, surviving spouse, or dependent child.³

Where a qualifying event is a change in employment status of a covered employee, qualified beneficiaries are the covered employee, spouse and dependent children covered under the plan on the day before the qualifying event.⁴