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Obama extends COBRA Subsidy to May 31, 2010

April 23, 2010

Medicoverage Staff

President Obama has approved another short-term extension of COBRA premium subsidy. With this new extention, employees terminated from April 1, 2010 through May 31, 2010, will receive the 65% subsidy on their COBRA premiums. This means if you were recently laid off (or fired) you could purchase your COBRA plan at a significant discount. You will want to compare that discounted price before purchasing individual health insurance.

Prior to this most recent extension, the old cut off date to qualify for subsidies was March 31, 2010. President Obama has been asking lawmakers to extend the COBRA premium subsidy through the end of 2010. It looks like the Senate is currently working on this new extension. We will update you as soon as we have any new news.

Comments for Obama extends COBRA Subsidy to May 31, 2010

By Dave Wilson on April 23, 2010

The COBRA subsidy was originally part of the American Recovery and Reinvestment Act. While offering cheaper health insurance to recently terminated individuals is a nice act, how exactly is it supposed to stimulate the economy?

According to a recent USA Today study, COBRA enrollment has increased by 20 percent compared to pre subsidy data.

By Todd Wilson on May 06, 2010

My daughter was recently fired from her job because of attendance because she was in the hospital with a brain tumor. Her COBRA will stimulate the ecomomy by dropping around 100K at the local hospital over a period of 1 week. Is that enough stimulus for you Dave?

By NewGuy1 on July 12, 2011

Too bad about your daughter. We all need affordable health care. The subsidy seems like only a short term solution.

By Sharea Jazz on July 12, 2011

Does anyone know if this is still going on now the the US has no money?

By Dora on December 31, 2011

I have exctaly what info I want. Check, please. Wait, it’s free? Awesome!