Barham Benefit Group
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COBRA Subsidy Extension: Additional Info for Employers

In December, President Obama signed a measure that extends displaced workers’ COBRA health care subsidies from 9 months to 15 months. The bill also extends the eligibility for the subsidy to workers who lose their jobs before February 28, 2010. Individuals who had reached the end of the reduced premium period before extension was approved will have additional time to pay the reduced premiums related to the extension. To continue their coverage they must pay the 35% of premium costs by 60 days after date of enactment or, if later, 30 days after notice of the extension is provided by their plan administrator. (Note: COBRA coverage applies to dental as well as medical coverage). More information from the Department of Labor here…Click here for a summary and FAQ.