(Updated 2/12/2018): The Senate is using this bill as the legislative vehicle for legislation produced through an open amendment process, meaning that its text is going to be replaced in its entirety. In its original form the bill would have allowed premium assistance tax credits to be used for unsubsidized COBRA continuing health coverage, a program which allows an individual to keep their coverage under an employer-sponsored health plan after an event that’d otherwise end their coverage — like termination of employment. For the coverage to qualify for the tax credit, the plan administrator of the group health plan must certify that the COBRA continuation coverage meets the requirements for qualified health plans.
COBRA continuation coverage would include continuation coverage provided under:
The Internal Revenue Code, the Employment Retirement Income Security Act of 1974 (ERISA), the Public Health Service Act, or the Federal Employees Health Benefits Program;
A state law or program that provides comparable coverage;
A church plan that provides comparable coverage.
The coverage would not include coverage under a health flexible spending arrangement.
This legislation is contingent on the enactment of the American Health Care Act of 2017, and would take effect (if at all) after December 31, 2019.
Work
Taxes
Health
