Tools · Healthcare gap
What will health insurance cost after you quit?
The single most overlooked exit cost — especially in the US. Compare your real options before you hand in your notice.
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The COBRA clock
- You typically have 60 days to elect COBRA after leaving — and it's retroactive, so some people wait and only elect it if they need care.
- COBRA costs 102% of the full premium (your old share + your employer's share + a 2% fee) — often a shock vs. your old paycheck deduction.
- It lasts up to 18 months. An ACA marketplace plan is frequently cheaper, especially with income-based subsidies once your income drops.
- Leaving a job is a qualifying life event — you can enroll in an ACA plan outside open enrollment.
- Negotiating employer-paid COBRA into a severance package is one of the highest-value asks you can make.
Rough 2026 planning estimates only — actual premiums vary widely by age, state, plan tier and subsidies. Check healthcare.gov for real quotes. Not insurance advice.
Frequently asked questions
How much does COBRA cost?
COBRA keeps your employer plan, but you pay the full premium plus up to 2% admin — often $450–$700+/month for an individual and $1,400+ for a family, because your employer no longer subsidises it.
COBRA vs ACA — which is cheaper?
An ACA marketplace plan is usually cheaper, especially if your lower post-quit income qualifies you for premium subsidies. COBRA's advantage is keeping your exact doctors and any deductible you've already met this year.
How long do I have to enroll in COBRA?
You generally have 60 days from losing coverage to elect COBRA, and it can apply retroactively. Quitting also opens a 60-day ACA special-enrollment window — a short but important decision period.
What happens to my health insurance when I quit in the US?
Employer coverage usually ends on your last day or end of that month. Options: COBRA, an ACA plan, a spouse's plan, or short-term coverage. Outside the US, public healthcare usually makes this a minor concern — see the full guide.