Associate Professional in Human Resources Training Practice Exam 2025 – Comprehensive All-In-One Guide to Exam Success!

COBRA, which stands for the Consolidated Omnibus Budget Reconciliation Act, specifically mandates that employers provide continuation of health insurance coverage to employees who have lost their jobs or experienced a reduction in work hours. This law ensures that employees and their families can maintain their group health insurance coverage for a limited time, usually up to 18 months, after a qualifying event such as termination or a reduction in hours. The intent behind COBRA is to prevent individuals from losing their health insurance during a transitional period, allowing them to secure alternative coverage without immediate disruption of medical care.

The other options do not align with COBRA's provisions. While higher salaries, additional paid leave, and job training programs are benefits that employers may choose to offer, they are not mandated by COBRA. Instead, COBRA focuses solely on the continuity of health insurance benefits, making "extended health insurance coverage" the correct and relevant choice.