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Obama Signs Second COBRA Subsidy Extension

March 4, 2010 — Scottsdale, Ariz. — President Barack Obama has signed legislation that extends the deadline for qualifying for subsidies for COBRA continuation coverage, allowing workers who are involuntarily terminated in March to qualify for the program, according to a story at BLR.com. The Senate approved the legislation, the Temporary Extension Act of 2010 (H. R. 4691), on March 2.

The American Recovery and Reinvestment Act of 2009 (ARRA), as amended by the Department of Defense Appropriations Act of 2010, allowed workers who were involuntarily terminated between Sept. 1, 2008 and Feb. 28, 2010, to be eligible for 65% COBRA subsidies, the BLR story reports. Under those rules, workers who were involuntarily terminated after Feb. 28 wouldn't have been eligible for the COBRA subsidy unless Congress passed another extension, which it did.

The legislation extends the deadline so that workers who are involuntary terminated between Sept. 1, 2008 and March 31, 2010, are eligible for up to 15 months of COBRA subsidies.

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