How does preexisting condition treatment apply to COBRA?

• A. Preexisting conditions are waived for COBRA
• B. Continuation coverage retains the plan's preexisting condition rules
• C. Preexisting conditions are excluded from COBRA
• D. COBRA creates new preexisting condition rules

Answer: (B)

When you elect COBRA, you’re continuing the same group health plan you had before the qualifying event, so the terms of that plan stay in effect. The preexisting condition rules that applied while you were actively covered continue to apply during the COBRA continuation period. In other words, COBRA does not wipe out preexisting condition exclusions; it preserves them as part of the plan you’re continuing, though creditable coverage from prior plans can sometimes affect how those rules are counted.

So the best answer reflects that continuation coverage retains the plan’s preexisting condition rules. It isn’t a waiver of those rules, it isn’t an exclusion of preexisting conditions from COBRA, and it doesn’t create new preexisting condition rules for COBRA.