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Stimulus Bill Helps Laid-off Employees
The American Recovery and Reinvestment Act (ARRA) of 2009 was signed by President Obama on Feb. 17, 2009. This Act provides insurance payment relief for eligible individuals who were involuntarily terminated and who were otherwise eligible for continuation coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985, commonly called COBRA. Relief also will be available to eligible individuals on Oregon continuation coverage.
Eligible individuals pay only 35 percent of their COBRA or Oregon continuation premiums, and the remaining 65 percent is reimbursed to the coverage provider (an employer or Providence Health Plan) through a tax credit. The first premium period affected began on March 1, 2009.
Learn more:
- COBRA – generally applies to companies with 20 or more employees.
- Oregon continuation - generally applies to companies with 19 or fewer employees.
Washington state continuation
Washington state does not have subsidy-eligible continuation of coverage for employers who are not subject to Federal COBRA, such as those with fewer than 20 employees. Therefore, affected individuals are not able to access premium assistance.
