COBRA vs Marketplace — which is better?
COBRA lets you keep your former employer's plan for up to 18 months but you pay the full premium plus a small admin fee, while a Marketplace plan is a fresh ACA-qualified plan that may cost less because you can receive the Premium Tax Credit, according to HealthCare.gov (2026); losing job-based coverage opens a 60-day Special Enrollment Period.
More on this topic: health insurance marketplace
What the government has said, on the record
Here's how a federal official described it, on the record:
“You can compare the cost of COBRA with plans available through the Marketplace before deciding on health insurance.”
— Centers for Medicare & Medicaid Services (HealthCare.gov), Centers for Medicare & Medicaid Services (U.S. Department of Health & Human Services), HealthCare.gov, COBRA coverage and the Marketplace (source)
Editor's note: From official HealthCare.gov (CMS) consumer guidance. Rules and figures can change by plan year — confirm current details at HealthCare.gov.
Who said this
Centers for Medicare & Medicaid Services (HealthCare.gov) · Centers for Medicare & Medicaid Services (U.S. Department of Health & Human Services)
Also asked as
- Is COBRA cheaper than Obamacare?
Sources
Last verified: 2026-07-19