COBRA Stimulus Package In Detail

As part of the economic stimulus package, anyone who lost a job (through no fault of their own) between September 1, 2008 and January 1, 2010 can pay just 35% of their COBRA payment.

Former employers must cover the other 65%, but the amount the business chips in will be reimbursed by the federal government in the form of credits against income taxes and payroll withholding taxes.

COBRA is the temporary extension of health insurance coverage (at group rates) for unemployed workers. COBRA allows discharged workers to purchase health insurance for up to eighteen months after separation.

Click here for more information on unemployment benefits.