3rd Party COBRA Administration??

HR Beginner

I just found out that there are third party administrators for COBRA management that charge as little as $3 per employee! Is this true? If so, can any of you recommend one that you have used with good results? I would imagine this would be such a relief of headaches for a benefits coordinator, right? Thanks!

mushroomHR

I use a TPA for my COBRA administration and it has been wonderful. I don't know off hand how much we pay per employee but it isn't much. I've been using their services for about three years now and have never had a problem. I fax information when I have a qualifying event as well as when people are added to our plan. The participant mails their payment to the TPA in the form of a check made payable to our company. Once a month the TPA sends us the checks to deposit. I get notified when someone should be added/deleted from our plan since I still do that but our TPA does the rest.

Hunter1

We're self funded and our TPA for our plan does the COBRA administration for $1/ee/mo. We use a regional TPA, so the name wouldn't do you any good. Be careful if you do farm this out that your contract spells out who's responsible if things don't go right. Ultimately, you are responsible, but your contract should transfer this risk to the TPA. That's what they're taking the money for and why they have E & O coverage.

TN HR

Cerdian handles all of my COBRA notices, billing, etc. My rate through them is based on my group enrollment .83 per employee per month.

Very easy web-based portal to manage this.

Email me at [email]greyna@taylorfarms.com[/email] if you need specific info or contacts.


Gene

swbpr

We outsource with Infinisource. Not sure of the cost, but they are VERY easy to work with and have an EXTREMELY polite customer service. You can also submit almost everything online or via fax. Here is the link to their website and you can even click on Services and Request a proposal.

[url]www.benefitsolved.com[/url]

HRQ

ARC (I think it stands for Administrative Resources Corporation)
Currently pay .88/mo per benefit enrolled or COBRA eligible ee.
800/588-2020
They are in Anoka, MN

Service has been pretty seamless. I don't have to contact them much - sometimes have trouble getting timely return calls, but generally good.

Upon qualifying event, I fax or email a form to them, and they take it from there. COBRA participants send payment to ARC, then ARC writes my company a check each month for the total amt paid and sends me a breakdown of what the check covers.