Obama extends COBRA Subsidy to May 31, 2010
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.