Which program allows individuals who lose health benefits to continue receiving coverage?

The correct response is COBRA, which stands for the Consolidated Omnibus Budget Reconciliation Act. This federal law provides individuals and their families the option to continue their group health insurance coverage for a limited time after experiencing certain qualifying events, such as job loss, reduction in work hours, or other changes in employment status that would cause them to lose their employer-sponsored health benefits.

COBRA is designed to ensure that individuals do not experience an immediate lapse in health coverage during transitions in their employment status and may maintain their existing health plan under the same terms they previously enjoyed, although they often must pay the full premium, which can sometimes be quite costly.

In contrast, Medicare and Medicaid are government programs that provide health coverage, but they are not specifically designed for individuals who have lost their health benefits from an employer. Medicare primarily serves older adults and certain disabled individuals, while Medicaid assists low-income individuals and families. A Health Savings Account, on the other hand, is a tax-advantaged account that enables individuals to save for medical expenses, but it does not provide health coverage itself.

Thus, COBRA is uniquely positioned as the option that facilitates the continuation of health benefits after a qualifying loss of coverage.