New COBRA Rules : Stimulus Package Subsidizes Continued Health Insurance

The new economic stimulus package includes valuable assistance for those who have recently lost their jobs: some help paying the premiums to continue their health insurance coverage under the Consolidated Omnibus Budget Reconciliation Act (COBRA) which went into effect March 1, 2009.

This will affect contract attorneys who have insurance through staffing agencies as well as “direct hire” contract attorneys who have insurance via the law firms where they are employed.

The stimulus legislation – known as the American Recovery and Reinvestment Act of 2009 (ARRA) – provides that the federal government will pay for almost two-thirds of the full premium amount for up to nine months for certain former employees and their dependents.

For a good article that provides background information check the Nolo legal site by clicking here.