I have a similar complaint. I was out of work for almost 6 months from Jan. 2008 - June 2008 so I took out a health policy with Equal Health. Everything was fine until I got another job (and better insurance) and tried to cancel the policy with Equal Health. I started making calls in July 2008 and finally got a call back in Aug, 2008. They assured me that my policy had been cancelled. If you call them, don't expect to reach anyone other than their answering service. (I guess they like to insulate themselves from their pesky customers.)
Fast forward to Dec. 2009, here I am still waiting for equal Health to STOP debiting my account every month. I have called them dozens of times and each time I have been assured that I am cancelled and that there will be no more money debited from my account.
Last month I got a call from Equal Health and they left a message asking me to put it in writing and send the letter to them complete with my SS#. This seems reasonable but I already sent that letter in Aug, 2008! I guess that maybe I should have sent the letter registered mail.
Bottom line is that I am also convinced that they are in financial trouble. My next letter is to the Insurance Commission for both the state of Texas (where Equal Health is based out of) and my home state of Indiana as well as a CC to the President of Equal Health.
