The Continuing Extension Act of 2010 was enacted on April 15, 2010, and reinstates the American Recovery and Reinvestment Act's 65% COBRA subsidy on employer-sponsored health insurance premiums (which had expired on March 31, 2010) for certain workers who lose their jobs during April and May.

Workers who are involuntarily terminated from employment between September 1, 2008, and May 31, 2010, may be eligible for a 65% subsidy of the COBRA premiums for a period of up to 15 months. Employers must provide COBRA coverage for eligible individuals who pay 35% of the COBRA premium.

Updated Model Notices, Application for Expedited Review of Denial of COBRA Premium Reduction, Fact Sheet, and Frequently Asked Questions are available from the Department of Labor's Employee Benefits Security Administration COBRA page.

Fraser Stryker is a leader in employee benefits law. For additional information and assistance with issues related to COBRA and this extension, please contact Dan Wintz or Brian Bartels of the Firm's Employee Benefits & ERISA Practice Group.

This article is provided by Fraser Stryker for general informational purposes and is not intended to be and should not be construed as legal advice on any specific facts or circumstances.

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