New Mexico’s Mini-COBRA Law

In New Mexico, employees who lose their group health insurance due to job loss or a reduction in hours may be eligible to continue their coverage under the state’s continuation of coverage law. This rule applies to employers with two or more employees and offers a temporary extension of health benefits similar to federal COBRA, but with different terms and eligibility requirements.

New Mexico Continuation of Coverage Law

New Mexico's continuation of coverage law, as outlined in Section 59A-18-16 of the New Mexico Statutes, requires employers with two or more employees to offer continuation of group health insurance coverage to eligible employees and their dependents who lose coverage due to qualifying events such as termination of employment or reduction in hours.

• Employer Size: Applies to employers with two or more employees.
• Eligibility: Employees and their dependents who were covered under the group health plan at the time of the qualifying event.
• Qualifying Events: Termination of employment (other than for gross misconduct), reduction in hours, death of the covered employee, divorce or legal separation, or a dependent child ceasing to be eligible under the plan.
• Coverage Duration: Continuation coverage is available for up to 6 months, after which individuals may have the option to convert to an individual policy.
• Premium Payment: Individuals electing continuation coverage are responsible for paying the full premium amount.
• Election Period: Eligible individuals must elect continuation coverage within 60 days of the qualifying event or notification, whichever is later.
• How to Apply: Employers are required to notify eligible individuals of their continuation rights. To apply, individuals must submit a written election to their employer or insurer within the 60-day election period and pay the required premiums as instructed.

Alternative Low Cost Medical Plans in New Mexico

Continuing an employer plan in New Mexico with Mini-COBRA is around $800/mo, per individual. If COBRA is unavailable or is outside of your budget, you do have affordable other options for health coverage. See below:

The cost of health insurance is determined by your age and state of residency.