COBRA Subsidy Extended

As you may know Congress extended the COBRA Premium Reduction Subsidy an additional 31 days through the end of March. This means that anyone terminated involuntarily through 3/31/2010 could be eligible for the COBRA Premium Reduction Subsidy (if they also meet a few other qualifiers). We are in the process of having our legal team update our notices to reflect the recent legislative changes, and will be sending out COBRA Election Notices for anyone terminated 3/1 or after once we have the updated notices back from legal.

There was a significant change also instituted with the Temporary Extension Act of 2010 in addition to the extension of the subsidy. Now it has allowed for someone who has had a COBRA Qualifying Event of Reduction of Hours (on 9-1-08 or after) and then subsequently was involuntarily terminated after 3/2/2010 to be eligible for the COBRA Premium Reduction Subsidy.

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