thstone, thanks for the info on the CEC bulbs. I may try some standard Osram bulbs and monitor it to see it gets any worse.
particlewave, Woody also mentioned he commonly sees 986 tail lights with some minor melting, so you could be right about it being a design issue. As the authority on all things light related, do you think it is worth trying to straighten and reinforce the inner plastic with a heat gun and some high heat epoxy?
Gelbster, thanks for the LED link. Those look like a good solution, and have the correct polarity, but I'm still not sure if they would be error free. It looks my '99 986 does not have a CAN Bus system, so I don't have to worry about an error code, but I'm not sure about the cruise control being affected. For $20, I may give them a shot.
Thanks for the replies!