Obama Signs COBRA Subsidy Extension

March 3, 2010 (PLANSPONSOR.com) – President Obama has signed a measure extending federal subsidies of COBRA health care premiums through the end of March.

Under H.R. 4691, the 65%, 15-month premium subsidy is extended to those involuntarily terminated from March 1 through March 31. The measure also will allow employees to receive the subsidy if they first lost group coverage due to a reduction in hours and then were terminated after enactment of the legislation, if certain conditions are met, according to Business Insurance.  

The one-month extension gives the Senate more time to consider its proposal to provide the subsidy to workers involuntarily terminated through the end of the year (see Reid Puts Together New Bill for COBRA Subsidy Extension, Pension Relief).