Appearances

MONEY 911

Health Insurance Help

Posted by Jean

On Today’s Money 911, I answered a question from Sue, who was recently laid off and was wondering about the COBRA subsidy that is included in the government’s stimulus plan.

Watch the video to see my answer, then follow the jump to see the full details of this plan, which is going to help a lot of people.

People who are laid off between September 1, 2008 and December 31, 2009 will qualify for the COBRA subsidy, which pays for 65% of your COBRA premiums (you pay 35%). If you lost  your job during that time period and you turned down COBRA because you didn’t think you could afford it, it’s not too late: You now have an extra 60 days to elect to receive COBRA and get the subsidy. The premium subsidy applies, however, only to coverage on or after February 17, 2009.

The 65% will be paid directly to your employer, insurer or health plan.