Request For Proposal (RFP) Milestone Practice Test

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What PEOs do not take on the Cobra exposure/coverage for termed employees?
Correct Answer:
ADPTS and CoAdvantage
Explanation:
Cobra exposure is about who handles the administration of COBRA continuation coverage after a termination. Some PEOs include COBRA administration as part of their services, taking on the responsibility for notices, elections, and premium handling. Others do not assume that exposure and instead leave COBRA duties to the client or to a separate administrator. The pair that does not take on COBRA exposure for termed employees is ADP TotalSource and CoAdvantage. That’s why this option is correct: it identifies the two PEOs that typically don’t handle COBRA administration for terminations, while the other listed PEOs generally include COBRA administration as part of their offerings.

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