You use this function to identify employees and/or their dependents who, due to qualifying events, have qualified for coverage continuation under COBRA. Depending on your customizing settings, you can collect individuals for some or all of the following COBRA qualifying events:

• Termination of employment
• Reduction in working hours
• Death of employee
• Employee's entitlement to Medicare
• Divorce
• Legal separation
• Child's loss of dependent status
• Bankruptcy of employer

You have made all the required Customizing settings for COBRA administration in the Benefits Administration Implementation Guide under COBRA. In particular, you have completed the step Assign COBRA Events to Personnel Actions to enable the system to identify certain events. If necessary, you have completed the step Define Additional Qualified Beneficiary Subtypes to determine the events that cause persons other than employees, spouses, children, and stepchildren, to become COBRA-qualified beneficiaries.

To enable the system to recognize the event type Child’s loss of dependent status, you have defined the criteria that prevent persons from being eligible dependents. You do this in the Benefits Administration Implementation Guide in the step Flexible Administration ® Dependent/Beneficiary Eligibility ® Define Dependent Eligibility Rules.

When it has identified potential events, the system checks whether the persons who have experienced these events are actually enrolled in any plans subject to COBRA. Only those employees and/or dependents who have actually lost group health coverage are COBRA-qualified beneficiaries.

The collection of COBRA events is the first step in the COBRA administration process. You should run event collection at frequent intervals for all employees.