This is a classic question asked when someone wants to retire earlier than age 65. How do you bridge health insurance until Medicare kicks in

COBRA (consolidated omnibus budget reconciliation act) lets you keep your employer’s health plan after leaving job for a period of up to 18 months (sometimes 36) .

Pros - Same doctors / network / coverage. No disruption during early retirement also when you mid-treatment

Cons - expensive (100% premium + 2% admin fee) / temporary / no income-based subsidies.

ACA: Plans come through healthcare.gov or your state marketplace.

Pros - income-based subsidies / multiple plan choices, can be used for many years till Medicare

Cons - networks may be narrower / you may need to change doctors / plans feel complex to choose from.

📌 Choose COBRA if you just retired and more importantly mid year, and you want short-term continuity / you are in the middle of a treatment / you will transition to Medicare soon.

📌 Choose ACA if you are retiring well before 65 / you can control your income (of course understanding IRMAA and taxes) / you want to optimize long-term costs

📌 Smart Hybrid Strategy - Start with COBRA for a few months and switch to ACA during open enrollment period