A state law allows Small Business in Virginia to be converted or a 90-day continuation period. This is separate from the nationwide COBRA which many employers get for their employees should they lose their jobs. HMOs that offer Small Business in Virginia are required to offer the conversion option. The continuation option can be offered but is not mandatory. This is how the conversion option works. Any insured member of a group plan who, for some reason, has to leave the group is entitled to switch his policy to an Individuals plan. You have 31 days after the termination of your membership in the group plan to file an application for conversion. The continuation period works much like how COBRA is applied to individuals leaving a group plan. It allows the policyholders to continue their coverage in the group plan. To qualify, you must file your application before your inclusion in the group plan is terminated. You can check your certificate of insurance in the group policy to determine which option was offered by the insurance carrier to your company. If these two options don’t work for you, you have a fallback with COBRA (granting that your company applied for this prior to getting the Small Business in Virginia), HIPAA and short-term health insurance until you settle with an individual health plan. - June 26, 2009 @ 3:33pm