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COVID-19 Resource Guide for Human Resources Professionals: Employers Must Notify Workers About New COBRA Continuation Coverage Rights by May 31 | Troutman Pepper


Who Needs to Know
Why It Matters
The May 31 deadline to notify workers about new COBRA continuation coverage rights is rapidly approaching. Many employers still have questions about who should receive this notice. This alert provides a step-by-step guide to help answer this question.
By now you re aware that the American Rescue Plan Act (ARPA), signed into law by President Biden on March 11, provides a six-month COBRA subsidy for individuals who lose health coverage due to an involuntary termination of employment or reduction of hours. We re also certain that you re aware of the looming May 31 deadline for distribution of the new ....

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Department Of Labor Issues Guidance, Model Notices For COBRA Premium Subsidies Under The American Rescue Plan Act | Fox Rothschild LLP


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On April 7, 2021, the U.S. Department of Labor (DOL) issued much needed guidance to employers and their COBRA administrators on the “COBRA premium subsidy” provision of the American Rescue Plan Act (ARPA). This provision requires employers to subsidize COBRA coverage for Assistance Eligible Individuals (AEIs) and their beneficiaries and to provide notice to AEIs who are losing their health care coverage and are eligible for COBRA premium assistance.
Review of Federal COBRA Subsidy
Under the ARPA, the federal government will pay 100% of COBRA insurance premiums from April 1, 2021 through September 30, 2021 for individuals who lose health coverage due to a qualifying event, such as a reduction in hours or involuntary termination of employment. In short, this subsidy applies to anyone who lost health insurance through a qualifying event within the past 18 months, even if it was unrelated to the COVID-19 pand ....

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