COBRA Subsidy & UI Extension Signed Into Law

Yesterday, President Obama signed H.R. 4691, The Temporary Extension Act, into law, thereby extending both the COBRA subsidy and UI extension for the unemployed (of which I am one).

The Temporary Extension Act includes the following (via SHRM):


The law’s COBRA provisions:

  • Extend the eligibility period for the 15-month 65 percent premium subsidy to those involuntarily terminated from March 1 through March 31, 2010.
  • Allow employees to receive the subsidy if they first lost group coverage due to a reduction in hours and then were terminated after enactment of the bill.

Unemployment Insurance

The law’s unemployment insurance benefit provisions:

  • Extend the period during which individuals may file applications for Federal Emergency Unemployment Compensation (EUC) from the current end date of February 28, 2010 to April 5, 2010 and the period during which individuals may claim and be paid EUC is extended from July 31, 2010 to September 4, 2010.
  • Extend the period during which individuals may qualify for the Federal Additional Compensation (FAC), the extra $25 weekly benefit amount on state and federal unemployment compensation, from the current end date of February 28, 2010 to April 5, 2010 with weekly payment provided during the phase out period for weeks ending October 5, 2010 instead of August 31, 2010.
  • Extend the period during which 100% federal reimbursement for weeks of regular federal extended benefit payments to April 5, 2010, with the state option to continue the extended period from July 31, 2010 to September 4, 2010.

All of this sounds good, yes. Well it is good but it is temporary. The temporary part of this act has to do with the fact Congress needs more time to debate ongoing legislation such as H.R. 4213 which essentially mirrors H.R. 4691, but would continue the extensions through the end of 2010 rather than the end of September.

I will certainly be keeping an eye on it.

4 Replies to “COBRA Subsidy & UI Extension Signed Into Law”

  1. Thank you for helping with the explanation of the current ruling. I am so confused by this entire process. I am on UI Fed Tier II which should be worth 14 weeks but somehow North Carolina is operating on a “whoever filed first basis” for funding so i am only receiving 13 weeks.

    I understand that this is the end of the road as far as federal aid is for me since my UI benefits will not exhaust until after the April 5th date. I am not sure that I am eligible for Tier III (13 weeks) should I not find work so I am ready to lease out my home and seek employment elsewhere (i.e. Denver). I would love to find work and leave this entire process. It is a ghetto.

    Thanks again.

    Suzanne Lambert

  2. My 3rd extension ended March 20th, 2010. With the new extension to April 5th will I get on the 4th extension?

  3. Here is what is happening to me. I received my original 26 weeks of unemployment and then was given I assume my first extension of 20 weeks. It’s up on June 6th so I have been told unless the HR 4213 UI Extension is not approved my unemployment will end since I’m no eligible before 6/2/10. I mean I will not be given any more benefits while others have been given up to two years of UI. That sucks for me!!! That’s this government. I’ve d emailed and called my House Representative and was told the HR 4213 UI Extension will be presented to the House soon. That was over a week ago and its still a waiting game. Whats awful is I’m the main income of my household. My husband is working two temp jobs and we are barely making it now. I can’t believe being a middle class person in the US is now changing. I feel I’m in a kids game when the kid who owns the ball changes the rules in the middle so they won’t lose.

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