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If you have a small employer that has a COBRA participant on the plan, and you would like to move the group to a different carrier and the new carrier requires individual applications for underwriting:
If the COBRA participant does not return calls and does not respond to mail or fax, is there any way to terminate them from COBRA or can they essentially hold the group hostage at the current carrier?
This is certainly not one of the regular reasons for which you can terminate COBRA, the only thing I can think of is that if a current employee were to refuse to go through underwriting, you might have grounds to terminate them from the plan, and COBRA does allow you to terminate a COBRA participant for any reason that would warrant terminating an existing employee.
The common example of this is to terminate for filing fraudulent claims.
Anyone have any ideas or experience this before?
If the COBRA participant does not return calls and does not respond to mail or fax, is there any way to terminate them from COBRA or can they essentially hold the group hostage at the current carrier?
This is certainly not one of the regular reasons for which you can terminate COBRA, the only thing I can think of is that if a current employee were to refuse to go through underwriting, you might have grounds to terminate them from the plan, and COBRA does allow you to terminate a COBRA participant for any reason that would warrant terminating an existing employee.
The common example of this is to terminate for filing fraudulent claims.
Anyone have any ideas or experience this before?