Losing job-based health insurance is stressful — but you have good options. Most people between jobs can get ACA coverage for far less than COBRA, often within days of losing their employer plan.
Your 60-Day Window — What It Means
When you lose employer coverage, you have 60 days to act:
- Elect COBRA (keeping your employer plan at full cost)
- Enroll in an ACA Marketplace plan through a Special Enrollment Period
- Apply for Medicaid (if income-eligible)
After 60 days without enrolling in one of these options, you may face a coverage gap until the next ACA Open Enrollment (November 1). Act within the window.
Cost Comparison: Your Real Options
| Option | Monthly Cost | Pre-existing Covered? | Best For |
|---|---|---|---|
| ACA Marketplace (SEP) | $0–$300 (after subsidies) | ✅ Always | Most people |
| COBRA | $600–$1,900+ | ✅ Yes | Near annual deductible limit |
| Medicaid | $0 | ✅ Yes | Low income (<138% FPL) |
| Short-term plan | $100–$250 | ❌ Usually not | 1–2 month gaps only |
ACA Income Strategy When Between Jobs
Your ACA subsidy is based on your estimated annual income for the year, not your current income. If you left a job mid-year, your full-year income may still be relatively high — but if you expect lower income going forward, estimate conservatively.
Example: You earned $60,000 Jan–June at your old job and expect $0 for the rest of the year. Your estimated annual income is $60,000 — which still qualifies for some subsidy. If you find a new job in September at the same salary, your full-year income resets higher. Update your income estimate whenever your situation changes.
Step-by-Step: Getting ACA Coverage Between Jobs
- Get documentation. Obtain a letter from your former employer showing your coverage end date (HR department can provide this)
- Go to Healthcare.gov or your state exchange
- Select “I lost or will soon lose coverage.” Enter your coverage loss date
- Report your expected income for the full calendar year
- Compare Silver plans — at lower income levels, CSRs make Silver dramatically cheaper than it appears
- Enroll within 60 days of your last day of coverage
What If Your New Job Has a Waiting Period?
Most employers impose a 30–90 day waiting period before health benefits begin. During this window, you can get an ACA SEP plan and then drop it when employer coverage begins (dropping employer-eligible coverage does not qualify for another SEP, but canceling for new employer coverage is straightforward).
Find Your Best Option — Free
eHealth licensed agents compare every plan in your area at no cost to you.
Compare Health Plans Free →* We may receive a referral fee. Cost to you: $0.