If my employer does not inform me about COBRA coverage and I incur medical bills that could have been avoided had I been informed are they liable?

Employees, their covered spouses and dependant children must be given notices of their rights under COBRA at the time coverage under the employer's health care plan would otherwise end due to termination of employment or certain other specified events. Failure to provide timely and accurate notices to plan participants as required by COBRA can result in a court imposed civil penalty on the plan administrator of up to $110 per day which would be payable to each affected plan participant for the period of noncompliance. This penalty would be in addition to any damages imposed on the employer for failure to provide the medical coverage mandated by COBRA, including attorney's fees and court costs expended to enforce these rights under COBRA. In a number of cases the federal courts have imposed these civil penalties in order to stress the importance of compliance with the COBRA notice requirements even when the plan participant did not suffer actual harm or the violation was unintentional. See, e.g., Scott v. Suncoast Beverage Sales, Ltd., 295 F.3d 1223 (11th Cir. 2002) and Chenoweth v. Wal-Mart Stores, Inc., 159 F. Supp. 1032 (S.D. Ohio 2002). In a 1996 case within the Fourth Circuit Court of Appeals, our federal circuit, the district court imposed damages of $122,808 for reimbursement of medical expenses and $18,151 in attorneys' fees based on the failure of the employer (as plan administrator) to provide the COBRA notice.      This answer is given in accordance with the laws of Virginia and may not be applicable in any other state.  It should not be construed as legal advice, as that would require a more thorough analysis of all of the facts involved in a specific case.  If you need further information or assistance, please feel free to contact my office for a consultation.