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DOL Issues Updated FAQs Regarding ARRA COBRA Subsidy Eligibility

3. December 2009 20:06
Although pending legislation could extend the ARRA COBRA Subsidy, under current rules anyone who experiences an involuntary termination but whose COBRA coverage does not take effect until after Dec. 31, 2009, is therefore ineligible for the subsidy. Eligibility is dependent both on the date of involuntary termination (prior to Dec. 31, 2009) and COBRA coverage eligibility date (prior to Jan. 1, 2009). Even though a person may have been terminated before Dec. 31, 2009, if their coverage extends to Dec. 31, 2009, they are not eligible for the subsidy. This is because their coverage cannot begin until Jan. 1, 2010, and thus making them ineligible.

Click here to read the FAQs.

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