Ralph E. Frahm & Erika C. Frahm - Page 9




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               During 2000, Mr. Frahm, as Ms. Frahm’s employer, issued to             
          Ms. Frahm certain checks that were drawn on a joint business                
          checking account (business checking account) that Mr. Frahm                 
          maintained for the payment of expenses for, and the receipt of              
          income from, his farming business.  Mr. Frahm issued those checks           
          to pay Ms. Frahm certain wages and to reimburse her for the                 
          premiums for Mr. Frahm’s Wellmark Plan C policy, the premiums for           
          Ms. Frahm’s AARP policy, the premiums for Ms. Frahm’s Conseco               
          policy, and the noninsurance medical expenses that Ms. Frahm paid           
          during that year.10                                                         
               On a date not disclosed by the record prior to February 1,             
          2001, Mr. Frahm decided to terminate the Wellmark Plan C policy             
          and completed a preprinted application form entitled “Application           
          for Individual Health Benefit Plans Blue Care, Secure Blue, and             
          Secure Blue Select” (Mr. Frahm’s Wellmark Secure Blue Select                
          application).  In that application, Mr. Frahm applied to Wellmark           


               10The parties stipulated that Mr. Frahm issued to Ms. Frahm            
          certain checks included in the record that were drawn on the                
          business checking account as payment of her wages for 2000 and as           
          reimbursement for the insurance premiums and the noninsurance               
          medical expenses that she paid during that year.  We have found             
          that during 2000 Ms. Frahm paid premiums of $6,252.60, and not              
          the $6,254 that the parties stipulated she paid, for Mr. Frahm’s            
          Wellmark Plan C policy.  See supra note 4.  We are unable to                
          ascertain from the record whether Mr. Frahm, as Ms. Frahm’s                 
          employer, reimbursed Ms. Frahm for the $6,252.60 of premiums that           
          we have found she paid for Mr. Frahm’s Wellmark Plan C policy               
          during 2000 or whether he reimbursed her for the $6,253.60 of               
          premiums for that policy requested in Ms. Frahm’s 2000 employee             
          benefit expense form.                                                       






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