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COBRA Subsidies are Revived — Update | Nelson Mullins Riley & Scarborough LLP

DOL Issues Guidance On COBRA Subsidy Provision Under The American Rescue Plan Act - Employment and HR

To print this article, all you need is to be registered or login on Mondaq.com. On April 7, 2021, the Department of Labor (the DOL) issued guidance (the Guidance) and model notices and forms for the COBRA subsidy provision of the American Rescue Plan Act (the Act). Although the Guidance, a series of frequently asked questions, is directed to COBRA qualified beneficiaries, it provides useful information to employers and service providers tasked with administering the COBRA subsidy. Nonetheless, several important questions remain unanswered including, most significantly, the logistics of claiming a refundable federal tax credit to offset employer-subsidized COBRA premium payments and the meaning of

Department Of Labor Publishes Model Notices For American Rescue Plan Act s COBRA Subsidy - Employment and HR

As detailed in our March 17 Alert, the American Rescue Plan Act of 2021 (ARP) provides for a temporary 100 percent COBRA subsidy for eligible individuals whose qualifying event was an involuntary termination of employment or reduction in hours. The subsidy under the ARP is in effect from April 1, 2021, through September 30, 2021. The ARP makes the subsidy available for Assistance Eligible Individuals. An assistance eligible individual is a COBRA-qualified beneficiary who meets the following requirements during the period from April 1 through September 30, 2021: Is eligible for COBRA continuation coverage by reason of a qualifying event that is a reduction in hours or an involuntary termination of employment; and

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