Congressional actions to establish and extend the federal subsidy of COBRA health insurance premiums for laid-off employees

February 2009

AMERICAN RECOVERY AND REINVESTMENT ACT: Establishes a nine-month, 65% federal subsidy of COBRA premiums for employees involuntarily terminated from Sept. 1, 2008, through Dec. 31, 2009.

December 2009

DEPARTMENT OF DEFENSE APPROPRIATIONS ACT: Extends the premium subsidy duration by six months, for a total of 15 months, and makes it available to employees laid off through Feb. 28, 2010. Ties subsidy eligibility to date of involuntary termination.

March 2010

TEMPORARY EXTENSION ACT: Extends subsidy to employees who lose their jobs from March 1 through March 31, 2010, and to those who lost group coverage due to reduced hours and later were laid off, with certain conditions.

March 2010

AMERICAN WORKERS, STATE AND BUSINESS RELIEF ACT*: Would extend subsidy to employees let go through Dec. 31, 2010.

*As passed by the Senate