Thoseconvenience feeson your COBRA payments could be worth investigating.
If you paid convenience fees when making online COBRA payments within the past three years, you may qualify to join a COBRA convenience fee lawsuit investigation.
What to know about the COBRA convenience fee lawsuit
- Core Issue:Attorneys are investigating whether Vita, BRI, Insperity and other COBRA administrators unlawfully charged convenience fees to consumers who were making COBRA payments online. The investigation is examining whether these fees exceeded federal limits or were not adequately disclosed.
- Who it Affects: Consumers nationwide who paid online COBRA convenience fees within the past three years.
- Harm/Impact: Affected individuals may have paid excessive fees on top of already expensive COBRA premiums.
- Legal Status: Attorneys are currently investigating potential legal claims related to these fees.
- Take Action:Complete the form on this page to find out if you may qualify to participate in a COBRA lawsuit investigation.
What is theCOBRA convenience fee lawsuitabout?
When consumers make online payments to maintain their COBRA health insurance, some administrators charge additional fees to process those payments. These charges, often called convenience fees or online payment processing fees, can increase the amount consumers pay for their COBRA health insurance.
Federal law generally limits COBRA premiums to 102% of the cost of coverage, which includes a 2% administrative fee. Attorneys are investigating whether additional payment processing fees violate these limits.
The investigation is examining whether:
- Consumers were charged additional fees when making COBRA premium payments online through some COBRA administrators
- These fees were charged in addition to the administrative fees already included in COBRA premiums
- The additional charges caused consumers to pay more than federal law permits
- Consumers received adequate information about the COBRA fees before completing their payments
Consumers who paid these fees within the past three years may have been overcharged and could qualify to pursue compensation through a COBRA lawsuit.
Who qualifies for theCOBRA lawsuit?
You may qualify for a COBRA convenience fee lawsuit if the following apply:
- You made COBRA premium payments online through Vita, BRI, Insperity or another COBRA administrator
- You were charged a convenience fee, online payment processing fee or similar fee when making those payments
- You paid at least one of these COBRA fees within the past three years
Time limits may apply. Do not wait to check whether you may qualify.
Legally reviewed by: Sophia Gold
Partner, KalielGold PLLC
The law firm responsible for the content of this page is: KalielGold PLLC; Washington, D.C.; 202-350-4783; kalielgold.com.
Case updates
Legal status as of November 2026
- Attorneys are currently investigating potential legal claims related to convenience fees charged on online COBRA premium payments.
This page was last reviewed and updated in November 2026 to reflect the latest case developments.
What is COBRA and who does it cover?
COBRA, or the Consolidated Omnibus Budget Reconciliation Act, is a federal law that allows eligible workers and their families to temporarily keep their employer-sponsored health insurance after certain life events, such as job loss, reduced work hours, divorce or the death of a covered employee.
Individuals who choose COBRA coverage generally must pay the full cost of their health insurance premiums, including the portion previously paid by their employer. Federal law typically allows plans to charge up to 102% of the cost of coverage, which includes a 2% administrative fee.
Employers may use a third-party COBRA administrator to manage enrollment, collect premiums and process payments for continued health insurance coverage.
What are COBRA administrators, and which companies are under investigation?
COBRA administrators handle tasks such as notifying eligible employees of their COBRA rights, managing enrollment and collecting monthly insurance premiums on behalf of employers.
Attorneys are investigating whether some COBRA administrators charged additional convenience fees that exceeded the limits permitted under federal law. Companies being investigated include:
- Vita
- Benefit Resource Inc. (BRI)
- Insperity
- Igoe
- National Benefit Services (NBS)
- Benefits Outsource, Inc. (BOI)
- Ameriflex
- BBP Admin
- Paystation
The investigation is not limited to these companies. If you paid additional convenience fees when making online COBRA premium payments, you may qualify to take legal action, regardless of which company administered your benefits.
Fill out the form on this page to see if you qualify for a free case evaluation.
