As we previously reported, the American Rescue Plan Act provides for a temporary 100 percent subsidy of the cost of premiums for COBRA continuation coverage for an employee or dependent who is a COBRA qualified beneficiary due to an involuntary termination of employment or reduction in hours. The law requires employers to send a notice to eligible individuals who incurred an involuntary termination of employment or reduction in hours before April 1, 2021. This notice must be sent by May 31, 2021.
Continue Reading Reminder: Employers must send COBRA Extended Election Notice by May 31, 2021
Time to review COBRA compliance
By Porter Wright on
COBRA compliance is an area that, for many employers, is on auto-pilot. Many employers rely on outside consultants to administer COBRA and need not put much focus on COBRA time limits for electing and paying for coverage. One of the many ripples from the COVID-19 pandemic is a need to check on your method for COBRA compliance. The economic crunch from the pandemic has resulted in layoffs, furloughs, and terminations, many of which were COBRA-triggering events.
Continue Reading Time to review COBRA compliance