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Question about New Cobra Insurance and Stimulus Plan?

My husband was laid off back in October. We are going to be able to get the cobra coverage at 65% less because of the stimulus plan. I was wondering does anyone know if we will have to pay 65% of the coverage for the last few months since we didn't take out cobra(it was $1200/month). I would love to start getting my coverage back but I would hate to pay all of this money right up front. I am in need of some major medical stuff... Thanks!

Public Comments

1. No. Since you didn't take COBRA when first eligible you now have 60 days to sign up but you will not be covered nor will you have any premium for the time from when the policy terminated until the time it starts again.
2. The federal government will pay 65% of COBRA premiums for employees who are laid off from Sept. 1, 2008, through Dec. 31, 2009. The subsidy will extend for nine months. Subsidies will only apply to COBRA premiums paid after the effective date of February 17, 2009. Those who are eligible for other group health coverage (such as a spouse's plan) or Medicare are not eligible for the premium reduction. Employees who were laid off since Sept. 1, 2008, and declined to opt for COBRA coverage will have a new right to enroll in COBRA, and employers are required to inform those individuals of that right. Then, the plan need only provide continuation coverage beginning on the date the waiver is revoked. Long story short you start paying for COBRA coverage as of the date that you advised your employer that you changed your election to opt out and now want the coverage.