COBRA vs. IFP: Which Health Plan Should You Choose?

epiainsurance
Oct 28
2 min read

Losing your job or leaving an employer-based health plan can be stressful — especially when you’re unsure how to stay covered. The good news is, you have options.

Two of the most common paths are COBRA (continuation coverage) and IFP (Individual & Family Plans through Covered California). Both can help you maintain health insurance, but they work very differently.

At EPIA Insurance Agency Inc., we’re here to help you understand the pros and cons of each, so you can make the choice that best fits your situation.

What Is COBRA?

COBRA (Consolidated Omnibus Budget Reconciliation Act) allows you to keep the same health insurance you had through your employer after leaving your job.

✅ Pros:

You keep your same doctors, network, and benefits.
No need to learn a new plan — coverage continues seamlessly.

⚠️ Cons:

You pay 100% of the premium, including the portion your employer used to cover — plus a small administrative fee.
It’s usually much more expensive than your previous cost.

👉 Best for: People who want to temporarily keep their current coverage (for example, during a short job gap).

What Is an IFP Plan?

IFP (Individual & Family Plan) coverage is purchased directly — either through Covered California or private insurance carriers.

✅ Pros:

You can qualify for government subsidies that reduce your monthly premiums.
You have more flexibility to choose new plans, networks, and costs that fit your budget.

⚠️ Cons:

Your network of doctors may change.
The enrollment process can feel confusing if you’re doing it alone.

👉 Best for: People looking for affordable, longer-term coverage — especially those who may qualify for financial assistance.

Key Differences at a Glance

Feature	COBRA	IFP (Individual & Family Plan)
Who offers it	Your former employer	Private insurers via Covered California
Who pays	You pay the full cost	You + government subsidy (if eligible)
Doctors & network	Same as before	Depends on new plan
Enrollment period	Usually within 60 days of losing job coverage	During Open Enrollment or Special Enrollment
Best for	Short-term continuity	Long-term affordable coverage

Which Should You Choose?

The right choice depends on your situation:

If you expect to start a new job soon and just need a few months of coverage, COBRA may be convenient — though it’s costly.
If you’re looking for affordable coverage that fits your current budget, an IFP plan through Covered California is likely the better option.

Every household is different — and at EPIA, our licensed advisors will walk you through the details so you can make the smartest financial and health decision.

The Bottom Line

Both COBRA and IFP can help you stay protected — the key is understanding which fits your needs, timing, and budget.

Let EPIA Insurance Agency Inc. help you compare both options, check for available subsidies, and enroll in the plan that works best for you and your family.

📞 +1 626-912-1988 📧 info@epiagroup.com 🌐 www.epiagroup.com

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