The Department of Labor (“DOL”) had promised, and has now delivered model templates for compliance with the notice requirements in the American Rescue Plan Act (“ARPA”). We advise employers to ensure that any notice is tailored to their particular health plan, but these notices provide a useful template. The DOL model notices also include helpful information on some frequently asked questions, including the effect of a leave of absence on eligibility and when notices must be provided.
The subsidy changes an employer’s usual compliance with COBRA in various ways, including:
• Requiring a notice to employees who, within a certain timeframe were previously eligible to continue their coverage through COBRA, and who may have not elected or elected and then later declined COBRA coverage;
• Requiring employers to provide notice to employees when their subsidy period is ending; and
• Adding an additional layer of complexity to the fact that each COBRA qualified beneficiary has an independent COBRA election right, and now may have an additional opportunity to elect COBRA.
Employers who would like assistance with administering these new notices, or who have questions about how the ARPA subsidy applies to a specific situation are welcome to contact Iris Tilley, Jeff Robertson, or Gabrielle Hansen at 503-228-0500 (or firstname.lastname@example.org, email@example.com, or firstname.lastname@example.org, respectively).
Electronic Alerts are written by Barran Liebman attorneys for their clients and friends. Alerts are not intended as legal advice, but as employment law, labor law, and employee benefits announcements. If this has been forwarded to you, and you would like to begin receiving Electronic Alerts directly, please email or call Traci Ray at 503-276-2115. Copyright ©2021 by Barran Liebman LLP.
Las Alertas electrónicas son escritas por abogados de Barran Liebman para sus clientes y amigos. Las Alertas no son proveídas como asesoramiento legal, sino solo como anuncios de leyes de empleo, leyes laborales y beneficios de empleo. Si esto ha sido remetido a usted y quisieras empezar a recibir las Alertas directamente, por favor mándanos un correo electrónico o llama a Traci Ray al 503-276-2115. Derechos de autor ©2021 por Barran Liebman LLP.