President Biden signed The American Rescue Plan Act on March 11, 2021 which provides free COBRA health insurance for workers recently losing their employer sponsored health care benefits due to job loss, and increases subsidies for Affordable Care Act (ACA) compliant health plans offered by Access Health CT (AHCT).

Under the new law, COBRA premiums will be covered by the federal government for up to six months, from April 1, 2021 to September 30, 2021 for laid off employees and family members covered at the time of termination. The free COBRA is also available to workers who lost health insurance due to an involuntary reduction in their work hours. Those who qualify can sign up with their former employer.

This new law also increases subsidies for Affordable Care Act (ACA) compliant health plans that reduces those costs and may make higher level plans more affordable. Connecticut residents currently without health insurance can take advantage of a special enrollment period offered through Access Health CT (AHCT) that runs from March 16, 2021 to April 15, 2021. Job loss and other events can qualify an individual or family for enrollment throughout the year. Contact Access Health CT for more information on what is a Qualifying Life Event.

General COBRA Information

Employees and/or group certificate holders who lose coverage due to a layoff, reduction of hours, leave of absence, or termination of employment (unless due to gross misconduct) can elect continuation of coverage under COBRA. More information is available on the Insurance Department’s website.

The U.S. Department of Labor has Continuation of Health Coverage (COBRA) information online.