Stimulus Package and COBRA

[Bob_The_Insurance_Guy]

In regards to the recent stimulus package, the Congressional Reapportionment and Assistance Package (CRAP), does anyone know where I can go to get detailed information on it's affect on COBRA?

I've been approached by several people on COBRA, and want to give them a clear answer.

 

[somarco]

Nothing definitive yet as everyone is just guessing. There are threads, with links to outside references here.

New Cobra Vs New Group - Oops

You can also do some Google searches on the American Recovery and Reinvestment Act or Assistance Eligible Individuals and get more info.

Most of the stuff is coming from attorneys who specialize in employee benefits and consulting firms. I did get something from UHC (the group side) via email yesterday. Not much help.

Truth is, no one really knows (big surprise, huh?) and probably won't know for months.

 

[moonlightandmargaritas]

Answers About the COBRA Subsidy and Affordable Health Insurance Alternatives From eHealthInsurance

 

[dgoldenz]

I got the same e-mail from UHC which shed a little bit of light on questions people had, but still many to be answered.

 

[ABC]

What I a hearing from all the Cobra Admin carriers is they are expecting a clear answer from the Gov./IRS in about 30 days.

So far what seems to be clear is the employer are going to pay 65% of the Cobra Premium and received a tax credit on their payroll taxes.

So everyone that could of elected Cobra or did going back to Sep. 1st 2008 has to receive two letters in the next 60 days informing them of this benefit.

I will be shocked if we have all the answers in the next 30 days.

 

[somarco]

expecting a clear answer from the Gov./IRS in about 30 days.

Do they believe in the tooth fairy too?

 

[CHUMPS FROM OXFORD]

I have already lost two clients in the last 5 days. Both had applied for coverage within the last few weeks. Now they want their apps put on "hold."

They want to make sure their employer is indeed going to pay the 65%.

 

[somarco]

Might still be able to salvage.

COBRA takes a while to work through the system. Even more so with everything being up in the air.

Even so, they can parse coverage and might still be able to save money if it is a family plan. Even with the employer footing 2/3 of the premium money is still tight when you don't have a paycheck.