Q.- An individual at our company changed from an employee to an owner-operator. With the employment change, he lost his right to employee health coverage. Do we have to give him the right to continue the coverage under COBRA?
A.- If he was not terminated from employment, it sounds like there is not a COBRA qualifying event. Simply changing to an class of employee that is not eligible for the health plan is not a situation that would require continuation of coverage under COBRA. If he was terminated from employment in connection with the change in employment status, the right to continue coverage under COBRA should be offered to him.
