Text Size: Premium Assistance Available to Help Laid-off Employees
A 15-month premium subsidy is now available for laid-off employees who elect continuation coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985, commonly called COBRA, and Oregon state continuation benefits.
Eligible individuals pay only 35 percent of their COBRA or Oregon continuation premiums, and the remaining 65 percent is reimbursed to the coverage provider (an employer or Providence Health Plan) through a tax credit. The first premium period affected began on March 1, 2009.
Quick facts about the recent subsidy extension:
- Employees with termination dates Sept. 1, 2008, through May 31, 2010, are eligible.
- Employees who lost coverage due to a reduction in hours between Sept. 1, 2008, and March 31, 2010, and were subsequently involuntarily terminated March 2 through May 31, 2010, are also eligible.
Learn more:
- COBRA - generally applies to companies with 20 or more employees.
- Oregon continuation - generally applies to companies with 19 or fewer employees, but may also include larger government entities, churches and church-related organizations.
Washington state continuation
Washington does not have subsidy-eligible continuation of coverage for employers who are not subject to Federal COBRA, such as those with fewer than 20 employees. Therefore, affected individuals are not able to access premium assistance.