Posts Tagged ‘COBRA’

Indiana COBRA Subsidy Expires

  As of June 1st 2010 the COBRA Subsidy has expired.

The program provided individuals who involuntarily lost their employer-sponsored health insurance benefits with a 15-month 65% subsidy of their COBRA health insurance premium.

Going forward all new COBRA Eligible people will have to pay the entire premium. All eligible individuals that are still in their 15  month period will still continue to receive the subsidy.Without the subsidy we should see a huge drop off of COBRA participants. The reason is most people will be able to go out to the individual market and pick up polices that have much lower premium. Some people will have to take the COBRA if they have major ongoing health conditions.  Even with ongoing conditions there are options available.
 
   

Possible Extension of COBRA Subsidy

Congress is poised yet again to consider another extension of the current May 31, 2010, eligibility deadline for the COBRA subsidy program provided under the American Recovery and Reinvestment Act (ARRA).

Eligibility for the Federal COBRA premium subsidies would be extended through year-end and employers would have more time to fund their pension liabilities under a tax bill that the House could vote on this week.

Under the measure, the “American Jobs and Closing Tax Loopholes Act”, the 65 percent, 15-month COBRA premium subsidy program would be extended to involuntarily terminated employees through December 31, 2010.

Without congressional action, employees who lose their jobs after May 31 will not be eligible for the subsidy.

If passed by the House, the act would move to the Senate for another vote. It remains uncertain when the proposed act will be reconciled in a final bill and seems unlikely that this will come before Congress breaks for its recess May 29 through June 6, 2010.

COBRA Information – Questions & Answers

We would like to post the new American Recovery and Reinvestment Act (COBRA Information and Questions and Answers) for all clients and info seeking people out there.

COBRA Information and Questions and Answers

The document is in PDF format, so you will need Adobe Acrobat Reader to view the document.