Spousal Carve Out

[Miner88]

I need some opinions on this please!

I have a plan that wants to refuse coverage for spouses of active employees who have coverage available "elsewhere." What if the "elsewhere" is Medicare coverage? I am aware of the Medicare rules that say you cannot drop an employee, spouse, or dependent from your plan just because they are eligible for Medicare. However, I came across another provision that says you have to provide Medicare-eligible individuals with coverage under the same terms and conditions as non-Medicare eligible individuals. If the spousal carve-out rule applies to all individuals, and not just Medicare-eligible individuals, does the MSP rule still apply?