In the "old" days when health insurance was relatively cheap, it usually didn't expire until the end of a month. Now, however, since health insurance is expensive, the day you terminate is the day your health insurance terminates, which gives the employer a "credit" on his insurance premium if it is not the end of the month.
COBRA is a "feel good" (for Congress) law that, depending on the number of people employed by your employer, must be offered to each employee who is terminated, within (I think) 7 days of your termination. It allows you to pay, in advance and full premium (your share/employer share), on the first day of the month, for 18 months, to continue your insurance coverage.
Because of the cost -- anywhere from $400 to $1000, I don't know too many people who have been terminated, who can afford to take advantage of this. However, your employer must offer it to you. If they do not and you report it to your Division of Labor, the employer will only be fined a small amount as a penalty.
There are some health insurance companies that offer "job gap" insurance, but this is expensive also. If you have kids, you should call the guidance counselor at their school and see about getting their 24/7 health insurance through the school. This is something that is offered but very few people are aware of it and usually when your kids start the school year, in amongst all the paperwork they bring home, is the paperwork offering this insurance. It is relatively cheap vis-a-vis regular health insurance, and is good to have if you don't have any at all.
Also, depending on your income, your kids might be covered under some kind of State program. If you can't afford insurance for yourself/wife, at least cover your kids because they are the ones who will probably need it.
[Edited by buddy2bear on 02-17-2001 at 08:41 AM]