…we urge you to be sure that these proposals don’t take away the incentive for unemployment claimants to accept part time and temporary jobs when permanent jobs are unavailable. At present, claimants resist such jobs, because earnings from 2 or 3 days of work will often disqualify them from any unemployment benefits. If claimants] lose their health insurance for weeks in which they are disqualified from unemployment benefits, they will have even less incentive to accept work when it is available.
Statement of Eric J. Oxfield, Employee Benefits Attorney, U.S. Chamber of Commerce, Washington, DC (pgs 158-159). Senate Finance Committee, Hearing, “Health Insurance for the Unemployed,” 98th Congress, First Session. Bill: Health Insurance for the Unemployed (Folded into 1985 COBRA).