Comments on: 3 Important COBRA questions — and answers

By: Lor

Lor — Fri, 18 Dec 2009 22:07:29 +0000

Good news and bad news. If you are laid off December 31st, and your eligibility for benefits coverage would begin on January 1, 2010…then you WOULD NOT BE covered under the current subsidy, and would be paying at the 100%-102% level UNLESS Congress passes an extension. The current subsidy covers employees who are involuntarily terminated from September 1, 2008 THROUGH December 31, 2009…no exceptions. Benefits starting January 1, 2010, are not within that timeframe. The good news is IF Congress passes an extension, it could be for an additional 6 months at the same 35% or a new 25% employee monthly payment. Nothing has been carved in stone, so keep your ear to the ground and watch this carefully. Congress, I believe, starts their holiday vacation today, so there won’t be any news until they reconvene. To confirm all of this, please see their website: http://www.dol.gov/ebsa/faqs/faq-cobra-arra.html

By: Grace

Grace — Fri, 18 Dec 2009 19:11:49 +0000

I am currently employed and will be laid off on 12/31/09. I have medical, dental,and vision. I just want to confirm will all of this insurance be covered under the COBRA subsidy?

By: Denice

Denice — Mon, 26 Oct 2009 15:54:52 +0000

Jennifer: Can you please state your source for the information you posted? Thanks.

By: Lor

Lor — Mon, 29 Jun 2009 18:33:22 +0000

Hi Natalie…sorry to hear that the company you are working for is folding. To my knowledge, since the company will no longer exist, it will not have any way to offer health insurance to its past employees who are already enrolled in COBRA coverage, or its present employees; therefore, COBRA will not be offered to anyone. I suggest you talk with your HR folks now to find out what your options are…what state health insurance is available, etc. I’d be interested in hearing about this from other folks reading this. Best of luck to you, Natalie!

By: Natalie

Natalie — Mon, 29 Jun 2009 17:04:47 +0000

My company is folding and I will be out a job in a few weeks. Am I still eligible for Cobra? How does a company that has folded handle this?

By: Alicia Carroll

Alicia Carroll — Mon, 11 May 2009 18:51:52 +0000

Since we have less that 20 full time employees, and we offer our departing employees COBRA, are we also eligible for the new government subsidy?

By: Mary B

Mary B — Mon, 06 Apr 2009 19:25:22 +0000

I have a situation where as an employee is getting a divorce and his spouse is eligible for COBRA will she qualify for the stimulas rates? With all new reasons for termination I am not sure about this one…I seem to think not as it’s not relating to the employee himself but the dependent…

Appreicate you help with that question…

By: Marilyn

Marilyn — Thu, 19 Mar 2009 13:02:44 +0000

http://www.dol.gov/ebsa/COBRA.html
The model notices are now posted at DOL.gov

By: Ms Lee

Ms Lee — Wed, 18 Mar 2009 21:15:19 +0000

Betty, The informatuion I received said yes we need to send cobra notice to all involunatarily terminated employees. They read the notice and if they have other coverage, they will know they aren’t elegible. If they don’t read the notice, when they contact you, you will have to ask if they have other coverage and tell them they are not eligible.

By: Marilyn

Marilyn — Thu, 12 Mar 2009 13:39:44 +0000

good question, Betty. I would notify all. It’s on them if they take it and don’t qualify – the penalty they will pay is 110% of the subsidy. I think it’d be obvious to the government those that qualify for Medicare, how they’ll nab the ones who could take coverage under a spouse plan I can’t imagine.