COBRA subsidy at 65% in final stimulus plan
Posted by Susan Herold, senior writer at 02/12/09 06:02 PM

The final version of the stimulus bill will help laid-off workers pay for a nine-month extension of their COBRA health insurance.

The negotiated deal would cover 65 percent of COBRA premiums for nine months -- three months shorter than the original House proposal, but 15 percent more money than the Senate plan. About 6 million laid-off workers are expected to be helped by the provision.

The compromise includes $87 billion over the next two years to help states maintain their Medicaid health programs in the face of massive state budget cuts. But It doesn't appear that those Americans who don't have access to COBRA, and who make too much to qualify for Medicaid, will get temporary help under the stimulus plan. A House proposal to allow states to temporarily extend benefits was dropped during negotiations between the two chambers.


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