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The American Rescue Plan, signed into law on March 11 2021, provides a 100 percent COBRA premium subsidy – between April 1, 2021 and Sept. 30, 2021 – for individuals whose reduction in hours or involuntary termination of employment makes them eligible for COBRA continuation coverage during this period.
The administration of the COBRA subsidy includes requirements of employers, plan sponsors and COBRA administrators, who will need to take prompt action to ensure compliance. Brokers will want to familiarize themselves with the new subsidy and the requirements of employers.
Employers that provide coverage subject to federal COBRA law should consult their COBRA administrator. Claremont can assist brokers looking to partner with a COBRA administrator.
Employers that provide coverage subject to Cal-COBRA law should look out for information being provided by their medical carriers. Brokers should do the same. Claremont can help brokers find answers to questions they may have.
Below are several helpful resources that will assist brokers and employers navigate the new subsidy.
Have questions? We can get the answers. Our partners, Benefit Resource Inc. (BRi), TASC, and BASIC all specialize in COBRA administration.
Contact your Claremont team at 800.696.4543 or email@example.com.
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