QUESTION: A former employee who left our company a year ago has been receiving COBRA coverage under our major medical plan. He has been called to active duty in the uniformed services. We understand that USERRA imposes continuation requirements on health plans, and that active-duty members of the uniformed services are automatically covered under the military’s health care program (TRICARE). Does USERRA give our former employee any continuation rights under our plan? And can we terminate his COBRA coverage when he becomes covered under TRICARE?
ANSWER: You are correct that USERRA requires health plans to offer continuation coverage under certain circumstances. Specifically, USERRA gives continuation rights to employees who—
- have health plan coverage in connection with their employment; and
- are absent from employment for service in the uniformed services.
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