When an employee eligible for COBRA rights terminates their employment, who bears the cost of purchasing medical insurance?

The correct answer highlights that when an employee who is eligible for COBRA rights terminates their employment, it is the responsibility of the employee to pay the premiums for their continued medical insurance coverage. Under COBRA (Consolidated Omnibus Budget Reconciliation Act), employees have the opportunity to continue their group health insurance coverage for a limited period after leaving their job. However, this continuation of coverage comes at a cost, which is generally borne by the employee.

Typically, the employer is not responsible for covering these premiums after the employee's termination. Instead, the employee will need to pay the full premium amount, which can include the portion previously covered by the employer, plus a small administrative fee. This underscores the intent of COBRA, which allows individuals to maintain health insurance even after employment ends, albeit at their own expense.