What is a disadvantage of COBRA for individuals?

The disadvantage of COBRA for individuals primarily stems from the fact that they must pay the full cost of their health insurance coverage, in addition to any applicable administrative charges. Under COBRA, individuals who elect to continue their health insurance after experiencing a qualifying event—such as job loss or reduction in hours—are required to cover the entire premium that was previously partially subsidized by their employer. This means they no longer benefit from the employer's contribution, making the overall cost significantly higher than what they may have been accustomed to while employed.

Furthermore, individuals must also bear the added burden of administrative fees, which can further increase the total cost of maintaining coverage through COBRA. As a result, this can pose a financial challenge for many individuals who may already be facing economic hardship due to the qualifying event.

In contrast, the other choices highlight aspects that do not present a disadvantage: coverage is not free, COBRA does not typically cover all types of insurance (it generally pertains only to health insurance), and there are time limits on how long an individual can maintain coverage under COBRA. This emphasizes why option B clearly identifies a significant disadvantage for individuals relying on COBRA for continued healthcare coverage.