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Q: My work hours were cut to 2 days a week on 5/4/09. I got the COBRA notice on 5/14/09. I spoke to HR and the plan benefits administrator on 5/14-5/15/09 and was told that since my hours were reduced instead of being terminated, I was not eligible for COBRA rate reduction under ARRA. The full COBRA rate = half my monthly net pay. I elected medical & dental under full COBRA rate for May-09 and kept dental only under full COBRA rate until present. I applied for & have kept Oxford's Healthy NY plan from June-09 on; that & the dental = 1/3 my monthly net pay. I just recently learned that the IRS/ COBRA rules say that if reduction in hours means a change in benefits such as loss of health plan eligibility, workers can keep COBRA under ARRA. It's now Nov 2009; can I reapply for medical & dental coverage under COBRA with the ARRA rate reduction or has too much time passed since end of May 2009?
A: You would need to speak to your Cobra administrator the person handling your benefits, and ask because you were told something different but should have been offered the reduction in Cobra cost if you are eligible to enroll into that coverage. You can also visit www.dol.gov/COBRA and you can find some information on there pertaining to the ARRA.
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