The Consolidated Omnibus Budget Reconciliation Act of 1985 “COBRA” was enacted to provide qualified beneficiaries, who lose group health plan coverage due to a qualifying event, with the right to elect continuation of group health plan coverage for a limited time.
COBRA requires various notices and forms to be made available to covered individuals, not only upon termination, but upon initially becoming a covered individual. ABPA provides COBRA administration services on behalf of our clients. We have established policies, procedures, forms and letters that are reviewed on an ongoing basis to ensure they are compliant with the ever-changing requirements of COBRA.
The
DOL Web Site addresses frequently asked questions on COBRA.
COBRA SUBSIDY EXTENSION
The original COBRA subsidy law has been extended three times. Eligibility periods were extended from December 31, 2009 to February 28, 2010 to March 31, 2010 and to May 31, 2010. Additional eligibility was added for individuals who had a reduction in hours and lost employment between March 2 and May 31, 2010. Subsidy periods were extended from 9 to 15 months. More than likely, these extensions will continue through the end of 2010 ABPA has kept up to date on all the changes and has ensured that COBRA notices and mailing deadlines were met. ABPA will continue to monitor the extensions and ensure compliance on behalf of our clients. Feel free to contact ABPA for any questions, comments or concerns regarding this matter.
See the DOL
Fact Sheet concerning this COBRA Subsidy Extension.