GREAT News for Laid Off Workers Paying for COBRA

There has been a great deal of debate recently about whether or not the recently passed ‘American Recovery and Reinvestment Act’ would provide benefit to small business, and I am certainly a participant in that debate. However, one provision of this legislation was recently brought to my attention and it is a provision that will provide tremendous benefit to those workers who were recently laid off and are attempting to keep their medical coverage thru COBRA.

As you are likely aware, the cost of COBRA coverage is significant. In most cases, even if you are just trying to cover yourself and not a family, you are likely paying in the range of $400-500 per month; family coverage likely puts you in the $1000 per month range. Not easy to manage when you’re out of work and trying to live on unemployment (if you’re lucky!). So, I’m happy to inform you that the recently passed legislation contains a provision that enables laid off employees who meet the criteria to pay just 35% of their premiums for a specified period and still maintain their coverage. The information on this provision is lengthy; therefore, I have posted an article providing the details on our website at Please read this article and contact your COBRA administrator to see if you qualify for participation in this program. If so, it can go a long way toward keeping your finances on more stable ground while you work on finding that new job or starting your own small business. Good luck!


One Response to “GREAT News for Laid Off Workers Paying for COBRA”

  1. chrisatintuit Says:

    Hi – I work on Intuit’s Payroll services team. Thanks for the great post! This brings some good news to folks who have been affected by the economy. We’re working to make it easy for employers to understand how this impacts payroll.

    If you’re interested check out our blog at

    Best regards,
    Chris Kim
    Intuit Payroll team

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