Q.- If a family unit is eligible for subsidized COBRA coverage due to an employee’s involuntary termination of employment, and if during the subsidy period there is a divorce, will the ex-spouse be entitled to keep the COBRA subsidy?
A.- We think the answer is yes because the first qualifying event was a subsidy-eligible event. If the spouse becomes eligible for other coverage or Medicare, that would end the right to subsidized COBRA coverage.