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Cobra with gov paying 65% continued after new job?

My fiance got laid off 10 days ago and will elect to pay for cobra health insurance if he doesn't have health insurance through a new job starting April 1. He qualifies for the stimulus program where the government pays 65% of the insurance premiums. One of the jobs he is considering is contract work for the first 6 months as a trial period and would not have good benefits for these first 6 months. He would have to pay a lot for the health insurance. At first he wasn't going to conisider this job as he has high health care costs and needs good insurance but we looked it up and it looks like he can still receive COBRA even if he takes a new job if he opts out of the new insurance plan. It also looks like he would also still be eligible for the 65% government substidy. Am I correct? Could he keep the COBRA at the low rate during the 6 months he works as a consultant?

Public Comments

1. He can still receive COBRA benefits but will not be eligible for the subsidy if the new job has health benefits, no matter the quality or cost. Here is the government website with more information: http://www.dol.gov/ebsa/faqs/faq-cobra-premiumreductionEE.html