posted on September 3, 2001 01:08:16 PM new
Hi all - No, it wasn't me - my mother just got laid off from her job. She'd worked at the same small company for almost 30 years, she's now 63 and has CLL (chronic lymphocitic leukemia). They gave her a month's notice.
She's all upset and scared to death. No, she has no savings. What savings she had have been eaten up over the past two years in legal bills. (She married a wonderful guy in '96, then he passed away in late '99. Unfortunately, he was a german citizen and his will was 20 years out of date. It's been a real mess with the two countries involved.)
She's going to immediately apply for Social Security. I understand that she can also apply for COBRA health insurance - you can get that for up to 18 months of coverage, right? (I hope so, that's almost exactly her 65th birthday and she'll qualify for Medicare.) She won't qualify for any other insurance given her medical history.
I assume she can also apply for unemployment. Can anyone think of anything else? Any suggestions or comments would be appreciated. How does a 63-year-old bookkeeper find another job???
posted on September 3, 2001 01:58:28 PM new
Was she far from an eligibility for retirement paid by the company?
If so, you should be aware that it has increasingly become a practice of companies to find cause to remove by layoff or termination employees who would otherwise become recipients of retirement and/or medical benefits paid by the companies.
It's a shameful, but not uncommon thing and there have been several lawsuits brought against companies for doing it. The result of the actions has been that the companies become increasingly aware of how to justify their actions by taking advantage of slowdowns in profits or other circumstantial loss periods to let go as many soon to retire employees as they can without it appearing that they had planned to do it that way.
posted on September 3, 2001 03:36:09 PM new
A terminated employee is supposed to receive a notice regarding the COBRA continuation of medical insurance coverage within a certain number of days of the date on which the employment was terminated.
She should call the company and ask when she is going to be receiving her notice. Within a certain time period she has to elect to continue the medical insurance. I forget whether the time period is 30 days or 60 days. The notice should also have the figures on the monthly premium cost of continuing the coverage.
COBRA coverage generally extends for 18 months from the date of termination.
Would your mom qualify for food stamps in your state?
posted on September 3, 2001 03:46:54 PM new
Hey old girl! Doesn't that 18 month limit apply to the dependents of the worker and the worker has elective options for extension beyond that, or an I mixing protections?
posted on September 3, 2001 04:06:49 PM new
The COBRA plan my son bought into from my husband place of work is good for 3 years. I don't know if that differs for someone who was the actual employee. When my son turned 19 last fall, he was no longer covered under our medical insurance because he is not a student.
But, I do know he can continue to pay into COBRA for 36 months.
posted on September 3, 2001 04:07:27 PM new
Ok, I pulled out my COBRA paperwork. It says I have 60 from date of being laid off or the date of the notice, whichever is later, to exercise my option to continue coverage. (In my case, the notice is dated 2 weeks after my lay off date.) It also says the expiration date of coverage is 18 or 36 months, whichever applies. (Whatever that means...not sure) I don't know what the criteria is, but mine would expire in 18 months. Also, very important, coverage will be cancelled for late payments and cannot be reinstated. So she needs to make sure her payments get in on time. Good luck!
*Edited to add I worked there for 7 years.
~^~ Hippy wannabe ~^~
[ edited by MouseSlayer on Sep 3, 2001 04:09 PM ]
posted on September 3, 2001 04:13:37 PM new Barbarake,
I would be upset and scared, too. I wish your mom all the best.
It's really not my business and will understand if you don't want to answer, but, after 30 years and at the age of 63, I'm curious as to the reason they gave your mom for laying her off? Surely, they still need a bookkeeper?
Re COBRA. I still have their notice sent to me by my employer in my files:
"The enclosed election agreement must be completed, signed and sent to CobraServ within 60 days of the date coverage terminates or the date of the enclosed important notice (whichever is later). If a qualified beneficiary does not send this election within the 60-day time period allowed by law, the qualifed beneficiary will waive rights to continue coverage."
There is a lot of verbiage on this form. If you want to know anything in particular, let me know.
I will check this thread periodically throughout the evening.
posted on September 3, 2001 04:42:56 PM new
I don't know if your mom has a home that's paid off, but if she does, some banks offer a backward mortgage. They pay the homeowner money every month, and when the homeowner dies, the bank owns the house - I'm sure it's more complicated, but that's the gist.
Utilities co's also sometimes have deals for seniors. There are also organizations (you can often find these through social services) who will pay occasional utility bills if someone can't.
posted on September 3, 2001 04:48:04 PM new
Good luck on COBRA, my husband quit his job for a month for another 4 years ago, COBRA for all of us was $900 a month.
posted on September 3, 2001 05:03:02 PM new
Hi krs, cheeky boy!
The time period for which benefits can be extended depends on the reason why benefits originally ceased (the "qualifying event". Can you tell I used to work with this stuff? It ain't pretty. The time period can vary depending on whether you lost benefits due to termination of employment, disability, retirement, or loss of coverage due to attainment of age 19 while not attending school full time. Another possible reason is loss of benefits for dependents because a divorced parent is no longer covered under a spouse's plan. The range of time allowed for extension of benefits ranges from 18 to 36 months, the last time I looked, which wasn't this year.
The only qualifying event for extension of benefits which I believe would apply to barbarake's mom, is the termination of employment. The maximum time period I believe you can extend benefits under those circumstances is 18 months. This should all be explained in the paperwork they give you with the COBRA election form.
Another concern... if she does find another job, and has already elected to take her Social Security benefits, there is some loss of benefits based on how much is earned that year from employment.
It would be prudent though to have the Social Security income start as soon as possible given her situation.
posted on September 3, 2001 05:11:52 PM new
hcross, yes the COBRA premium is sometimes very expensive. The COBRA premium depends on the medical plan the company provided to its' employees originally.
If the cost is too high, ask if there is any way you can raise the deductible or drop any optional coverages to reduce the premium somewhat.
Also, selecting the COBRA coverage whether expensive or not, may allow your mom time to investigate other catastrophic insurance plans that might permit some coverage simply because she is on COBRA. It's not very likely but would be worth checking out. Some states (don't know where you live) require that a certain number of otherwise uninsurable residents be covered each year in a state mandated risk pool at a reasonable premium If you live in one of those states, the fact that you are currently on COBRA coverage might mean automatic coverage in that risk-pooled plan.
posted on September 3, 2001 07:23:24 PM new
COBRA is very high. She could apply for state Medicaid. Depending on her assets she may qualify for the slideing scale especially because of her health history.
If there is a senior center close to her that's one of the best sources of information there is. They know about everything in the county, and have advocates to help on a individual basis. Most people think senior centers are just for socializing, but they are a wealth of information/
Hippy wannabe 
~^~
. Can you tell I used to work with this stuff? It ain't pretty. The time period can vary depending on whether you lost benefits due to termination of employment, disability, retirement, or loss of coverage due to attainment of age 19 while not attending school full time. Another possible reason is loss of benefits for dependents because a divorced parent is no longer covered under a spouse's plan. The range of time allowed for extension of benefits ranges from 18 to 36 months, the last time I looked, which wasn't this year.