Cobra

[Guest susanyb]

We have an employee that was divorced in 1994 who made arrangements to continue to cover his wife on his medical plan as his dependent.

We purchased the company in 1998 and he continued the wife on the plan as his dependent (probably because no one knew of the situation). Now the employee is complaining because his ex isn't paying her medical bills and it is going against his credit rating and he wants her off the plan as his dependent.

I think she should just be dropped from the plan because she has had much more than 36 months of continued coverage. Others think we should drop her now and offer her 36 months of COBRA coverage.

Their divorce decree says - The Husband shall maintain for the benefit of the Wife his current medical/health insurance or equivalent plan for so long as the Wife is eligible and for so long as said insurance is available through his employer.

Your opinions please. Drop now - or 36 months of COBRA - what do we do?