|
|
FOR IMMEDIATE RELEASE |
|
State
Rep. Robert F. Matzie |
|
Matzie bill to expand COBRA health coverage to become law
HARRISBURG, June 3 – Legislation (H.B. 1089) introduced by state Rep. Robert F. Matzie, D-Allegheny/Beaver, that would make COBRA health-insurance coverage available to Pennsylvania businesses with fewer than 20 employees was passed unanimously by the state Senate today.
Matzie's bill is part of the House Democratic Caucus' Health PAct, a package of bills unveiled by House Majority Leader Todd Eachus, D-Luzerne, that focuses on providing and enhancing access to basic health care.
"Small businesses are essential to Pennsylvania's economic growth," Matzie said. "I am so pleased that my legislation will soon be law so that group-rated health insurance will be available to small employers and former employees of small businesses in Pennsylvania."
In 1986, Congress passed the Consolidated Omnibus Budget Reconciliation Act, giving workers and their families who have health coverage through their employer the right to continue coverage for a period of time after they leave employment. The former employee is generally required to pay the former employer's portion of the premium.
However, that continuation of coverage through COBRA currently doesn't apply to small businesses with fewer than 20 employees.
Matzie's bill would also extend a 65 percent reduction in COBRA premiums authorized under the new federal stimulus law to workers laid off from small businesses for up to nine months.
The bill will now heads to the governor to be signed into law.