Compliance Alert – No COBRA Subsidy Extension

July 23, 2010

Yesterday (Thursday 7/22/2010) Congress passed, and the President has signed, The Unemployment Compensation Extension Act of 2010 (H.R.4213). The Act does not include an extension of the COBRA subsidy. Without the extension individuals terminated after May 31, 2010, are not eligible for the COBRA subsidy. Eligible individuals, whose COBRA event was an involuntary termination prior to that date, are still eligible for the subsidy for up to 15 months.

Some legislators are attempting to bring forward separate legislation to extend the COBRA subsidy so stay tuned. However, political interest in another extension seems to be diminishing as the economy continues to improve, albeit slowly.

Compliance Alert – No COBRA Subsidy Extension

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Compliance Alert – No COBRA Subsidy Extension

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