OREGON LAW UPDATED IN RESPONSE TO THE COBRA SUBSIDY PROVIDED IN THE ARRA

For those employees working for smaller employers not subject to COBRA, Oregon has recently updated its insurance continuation laws to be more aligned with the recent federal COBRA subsidy program.  On April 28, 2009, Governor Kulongoski signed into law a bill that (1) extends the amount of time former employees can continue coverage through the state continuation program from six months to nine months; (2) gives some Oregonians a second opportunity to decide to continue coverage; and (3) requires insurers to notify all employer groups and individuals whose jobs ended between Sept. 1, 2008 and Dec. 31, 2009 of the possibility that they qualify for this program.  Oregonians who worked for small employers and lost their jobs on or after Sept. 1, 2008, should receive a notice in the mail no later than June 1, 2009, that further describes the subsidy and gives instructions on how to sign up.