COBRA Subsidy Guidance Released by the DOL

Last month the American Rescue Plan Act was signed into law, in an effort to combat the economic effects that have occurred as a result of the COVID-19 pandemic. The Act included a COBRA subsidy for employees who have lost their healthcare coverage due to an involuntary termination or reduction in hours. The 100% subsidy provides up to six months of COBRA coverage.
Earlier today, the Department of Labor’s Employee Benefits Security Administration posted the following regarding the COBRA premium subsidy:

• COBRA Premium Subsidy dedicated page
• FAQs
• Five Model Notices:
  • General Notice and Election Notice
  • Notice in Connection with Extended Election Period
  • Alternative Notice
  • Notice of Expiration of Premium Assistance
  • Summary of the COBRA Premium Assistance Provisions