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State RegulationsCA specificVerified · outline & fact-checked · Sep 2026Difficulty 2/5

California's Cal-COBRA continuation coverage law applies primarily to:

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Answer & full 3-part explanation (select an option above, or peek)

Why A is correct

Federal COBRA requires continuation coverage for group plans of employers with 20 or more employees. California's Cal-COBRA, enacted through the Health and Safety Code and the Insurance Code, extends similar continuation rights to employees of small employers — those too small to be subject to federal COBRA — so that workers in small groups can continue group coverage after a qualifying event such as termination or reduction of hours. Cal-COBRA fills the gap left by COBRA's size threshold, giving small-group employees a parallel continuation right.

Why the other options are wrong

  • B) Cal-COBRA applies to group health plans of small employers, not to Medicare beneficiaries, who are covered under the federal Medicare program.
  • C) Large employers of 1,000 or more are already subject to federal COBRA; Cal-COBRA is aimed at the small-group market.
  • D) Workers' compensation is a separate statutory system for job-related injuries and is not continuation coverage for health plans.

Memory hook

COBRA guards the bigs; Cal-COBRA guards the smalls. California covers the gap where federal COBRA ends.

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