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Ok folks, just received the guideline on this via Health Net from AHIP. Watch for that giant sucking sound, especially in states like California.
Basically:
65% employer paid subsidy for up to 9 months all qualified COBRA (federal) beneficiaries. So, every family member of an involuntarily terminated employee through 12/09 gets 65% paid by employer for the 9 months (or less if other group or Medicare).
Now here is where in CA the huge problem occurs (and other states as well).
If the state mini-COBRA program replicates federal COBRA (i.e., has a % cap on costs like the 102% federal, number of months and so, what they are calling "comparable coverage") then the state mini-COBRA MUST ALSO be subsidized. BUT....by the health insurance carrier, not the employer! This is going to apply to a number of states with mini-COBRA programs.
http://california.healthnetmonthly.com/files/COBRA Subsidy FAQ2.pdf
Basically:
65% employer paid subsidy for up to 9 months all qualified COBRA (federal) beneficiaries. So, every family member of an involuntarily terminated employee through 12/09 gets 65% paid by employer for the 9 months (or less if other group or Medicare).
Now here is where in CA the huge problem occurs (and other states as well).
If the state mini-COBRA program replicates federal COBRA (i.e., has a % cap on costs like the 102% federal, number of months and so, what they are calling "comparable coverage") then the state mini-COBRA MUST ALSO be subsidized. BUT....by the health insurance carrier, not the employer! This is going to apply to a number of states with mini-COBRA programs.
http://california.healthnetmonthly.com/files/COBRA Subsidy FAQ2.pdf
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