Mini-COBRA in PA

Following a group of other states, Pennsylvania Gov. Rendell signed into law Act 2 of 2009, also known as Mini-COBRA. This law extends health coverage to employees who work for companies under 20 employees.  Key provisions to this law:

• This law goes into effect July 10, 2009
• Applies to employers with less than twenty employees
• Provides benefit continuation coverage for a period of nine months
• Applies only to insured group major medical, hospital or surgical policies
• Permits an employer to charge up to 105% of the of the group rate of the insurance being continued
• Individuals who elect Pennsylvania Mini-COBRA may be eligible for American Recovery and Reinvestment Act (ARRA) premium assistance. This translates to a 65 percent reduction in COBRA premiums for a qualifying employee under the ARRA.
• This is a permanent law, unlike ARRA which expires December 31, 2009.

For more information on Mini-COBRA, visit the Insurance Department for the Commonweath of Pennsylvania