How much does COBRA cost per month?

COBRA usually costs the full premium plus up to 2% administration. In 2026 that commonly works out to roughly $650 a month for an individual and $1,800 to $2,100 for a family — because you now pay the share your employer used to cover, not just your old payroll deduction.

Why is COBRA so expensive?

While you were employed, your company typically paid 70 to 80% of your health premium. COBRA lets you keep the exact same plan, but you pay 100% of the premium plus a 2% admin fee, so the price jumps even though the coverage is unchanged.

Is COBRA cheaper than an ACA plan?

Usually not. An ACA marketplace plan is often cheaper than COBRA, and your lower income after leaving a job may qualify you for premium subsidies that cut the cost further. COBRA's advantage is keeping your exact doctors and any deductible you have already met this year.

How long does COBRA last?

COBRA generally lasts up to 18 months after you leave a job, and up to 36 months in certain situations such as divorce or a dependent aging off a plan. You typically have 60 days from losing coverage to elect it, and it can apply retroactively.

PlaybookHealth insurance· 7 min read · Updated June 2026

How much does COBRA really cost in 2026?

Short answer: far more than the deduction on your old paycheck — because that deduction was only your share. With COBRA you pay the whole premium. Here's the real 2026 math, why it's so steep, and how to pay less.

What COBRA actually is

COBRA (the Consolidated Omnibus Budget Reconciliation Act) lets you keep your exact employer health plan after you leave a job, for a limited time. The coverage is identical — same network, same doctors, same deductible progress. What changes is who pays.

How the cost is calculated

While employed, your employer typically paid 70–80% of the premium and you paid the rest via payroll deduction. Under COBRA you pay 100% of the premium plus up to a 2% administrative fee. Nothing about the plan got more expensive — you just lost the subsidy.

Individual coverage: commonly ~$550–$750/month in 2026 (roughly $650 typical).
Family coverage: commonly ~$1,700–$2,200/month.
These vary widely by plan richness, age and region — check your actual premium on your benefits portal or COBRA election notice.

Want your specific number folded into your runway? The healthcare gap calculator estimates COBRA, an ACA plan, a spouse's plan or none, and the exit readiness calculator rolls it into your monthly burn.

Why COBRA feels like sticker shock

People remember a $120 paycheck deduction and assume health insurance costs $120. It never did — the employer was quietly paying the other ~$500. COBRA simply makes the true price visible, all at once. It's the single most common reason an otherwise solid quit plan runs short.

COBRA vs an ACA marketplace plan

For most people leaving a job, an ACA marketplace plan is cheaper than COBRA — especially because your lower income after quitting can unlock premium tax credits (subsidies). Quitting is a qualifying life event that opens a 60-day special-enrollment window.

Choose COBRA if you're mid-treatment, want to keep specific doctors, or have already met a big deductible this year.
Choose ACA if you want lower premiums and qualify for subsidies — often the better value for a planned break.
A spouse/partner's plan is frequently the cheapest of all if you can join it.

COBRA isn't a new cost — it's the old cost without the subsidy. Budget for the full premium, not your payroll deduction.

The 60-day clock (don't miss it)

You generally have 60 days from losing coverage to elect COBRA, and it can apply retroactively — so some people wait, stay uninsured briefly, and only elect (and pay) if they actually need care in that window. It's a legal gamble on your health; understand it before relying on it.

How to pay less

Compare ACA first with your projected post-quit income — subsidies can halve the cost.
Time your exit so coverage runs to month-end; exit timing can save weeks of premium.
Use the 60-day retroactive window deliberately if you're between a job and new coverage.
Check a spouse's plan — joining it is usually cheapest.

Put a real number on it

Don't guess. Estimate COBRA vs ACA vs a partner's plan, then fold the winner into your monthly burn so your escape fund is sized for reality.

Estimate your healthcare cost →

Read the wider picture in health insurance after you quit and the benefits you lose when you quit.