COBRA & WC

I have an employee who has been out on a work related injury since May 2001. She has since been declared "Permanent and Stationary". We have kept her on our Health Insurance and have not been collecting her premium contributions. Can we at this time offer her COBRA? FYI...she is "sue happy" and has done this to another employer in the past. So my main concern is to have all of our duck in a row before we proceed with any action.
Also, can we put a policy in effect that allows us to collect their premium contributions to the company while on an extended WC injury? And if so, is there a sample policy available?

Traci

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