The short answer: ACA Marketplace plans are cheaper for most people — often by $300–600/month. COBRA lets you keep your exact employer plan, but you pay the full cost the employer was subsidizing. Here’s how the numbers break down.
What COBRA Actually Costs in 2026
When you were employed, your employer likely paid 60–80% of your health insurance premium. COBRA removes that subsidy instantly.
| Coverage Type | You Paid (Employed) | COBRA Cost | Monthly Difference |
|---|---|---|---|
| Individual | ~$180/mo | ~$680/mo | +$500 |
| Individual + Spouse | ~$420/mo | ~$1,480/mo | +$1,060 |
| Family of 4 | ~$580/mo | ~$1,900/mo | +$1,320 |
Estimates based on 2025 KFF Employer Health Benefits Survey average employer premium contributions. Actual COBRA costs vary by employer plan.
What ACA Marketplace Plans Cost After Subsidies
If you lose job-based coverage, you qualify for a Special Enrollment Period and may receive significant premium tax credits based on your income.
| Annual Income | Household | Est. Silver Plan Cost | vs COBRA |
|---|---|---|---|
| $35,000 | Single | ~$45/mo | Save ~$635/mo |
| $55,000 | Single | ~$190/mo | Save ~$490/mo |
| $70,000 | Family of 4 | ~$250/mo | Save ~$1,650/mo |
| $95,000 | Family of 4 | ~$680/mo | Save ~$1,220/mo |
Estimates based on 2026 benchmark Silver plan premiums and federal subsidy calculator. Use our ACA subsidy calculator for your exact numbers.
When COBRA Makes Sense
Despite the higher cost, COBRA has specific advantages in these situations:
- You’ve nearly met your deductible. If it’s November and you’ve paid $3,000 toward a $3,500 deductible, switching plans resets your deductible to $0. COBRA keeps your progress.
- You need a specific doctor or hospital. ACA networks can be narrower than employer plans. If you’re mid-treatment with an out-of-network specialist, COBRA may preserve that relationship.
- You expect new employer coverage within 60 days. If you’re starting a new job soon, COBRA provides seamless continuity without a gap or new enrollment process.
When ACA Wins (Most People)
- You’re early in the plan year (deductible progress is minimal)
- Your income qualifies for premium tax credits (most people do)
- You don’t have complex ongoing care requiring specific providers
- You’re planning to be uninsured for more than 2 months
Action: How to Compare in 30 Minutes
- Get your exact COBRA premium from your HR department (request the COBRA election notice)
- Calculate your ACA options at our subsidy calculator or Healthcare.gov
- Compare monthly premium + estimated out-of-pocket, not just premium
- If ACA is cheaper, enroll during your 60-day Special Enrollment Period
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