May an early retirees spouse, surviving spouse, or dependent, while receiving health benefits from a plan sponsor under COBRA, be considered an early retiree?
Yes. The Affordable Care Act (ACA) at section 1102(a) permits a plan sponsor to receive ERRP reimbursement for early retirees, and for “eligible” spouses, surviving spouses, and dependents of such retirees. We interpret the statutory term “eligible” to mean that the individual is an “eligible” “spouse”, “surviving spouse” or “dependent” if he or she qualifies for, and has coverage under the terms of the plan, as a spouse or dependent of an early retiree (or the surviving spouse of an individual who was an early retiree upon his or her death), in instances where the spouse, surviving spouse, or dependent qualifies for and has such coverage under the terms of the plan generally, and in instances where such individual has coverage under the terms of the plan by operation of Federal and/or state law, such as COBRA. To the extent a former spouse of an early retiree has coverage under the terms of the plan by operation of state and/or federal law, we interpret the statutory term “spouse” in
