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August 25, 2009   
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Release Date: May 21, 2009
Contact Name: Gloria Della
Phone Number: 202.693.8664

U.S. Labor Department publishes process to appeal denials of COBRA subsidy under American Recovery and Reinvestment Act of 2009

Washington — The U.S. Department of Labor today announced the appeal process individuals can use if they are denied a premium subsidy for their group health plan continuation coverage. The Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) requires many group health plans to temporarily continue health coverage for employees and their families following termination of employment at the employee’s own expense.

The American Recovery and Reinvestment Act (ARRA) signed into law by President Obama on Feb.17, 2009, made available premium assistance for individuals who were involuntary terminated between September 1, 2008 and December 31, 2009.

The appeal process allows applicants who are denied the subsidy to request a review by the Labor Department’s Employee Benefits Security Administration. Individuals seeking a review must complete the department’s appeal form in order to begin the review process. Through the following steps, applicants can easily submit the completed application online, by mail or fax.

  • Go to http://www.dol.gov/ebsa/COBRA/main.html to download the application or complete online.

  • Answer eligibility questions on the application to the best of your knowledge and ability.

  • Attach any documents relevant to the department’s review of the application.

  • Include complete contact information (e.g., daytime phone number, an alternate phone number, and an email address, if available).

  • Separate application(s) must be completed for any family member whose plan information is not identical to the information you provide.

  • Keep for your records a copy of the application(s) and original supporting documentation.

Individuals requiring assistance may also contact EBSA at 1.866.444.3272 or visit its dedicated Web page at www.dol.gov/cobra. The Web page also contains additional frequently asked questions to help dislocated workers, their families and their employers understand the requirements.

U.S. Department of Labor news releases are accessible on the Department's Newsroom page. The information in this news release will be made available in alternate format (large print, Braille, audio tape or disc) from the COAST office upon request. Please specify which news release when placing your request at 202.693.7828 or TTY 202.693.7755. The Labor Department is committed to providing America's employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit the Department's Compliance Assistance page.