COBRA SUBSIDY EXTENDED – URGENT
As expected, Congress and the President have extended and expanded the COBRA premium subsidy, allowing a greater number of individuals to take advantage of federal assistance and introducing additional COBRA notice and administrative requirements for employers.
President Obama has signed the legislation. The House had been the first to approve the extension on December 16; the Senate followed three days later.
The new legislation, part of the Department of Defense Appropriations Act, 2010, extends the COBRA subsidy’s eligibility period for two months and extends the maximum duration of the federal assistance from nine months to 15 months. It also provides additional notification requirements.
By: Stephanie Smith Howard
