Yes Indeed I went to your test chat and yes I had the time out error although its a bit different than mine issue in you chat Ie8 would time out but if you type sometime it will reappear and resume working, at my site it would time out but if you type anything the error "you must be connected to send message would show up" and you have to refresh the page in order to work again..
Another fellow "bhootnath" went there and saw the same, although at his site this wouldn't happens I tested With same IE8 and it did not time out once.. and he is using same version than mine the only differences are that he is using a dedicated server on linux, and you are using hostgator and I did too use Hostgator but stopped using it because I thought they were the cause of my time out issues..
I am now using my own server, using Linux ubuntu server Jackalope and that issue with the timeout also would came up.
I was thinking if the refresh delay its not working properly with IE8 but cant really understand how would I go to test it or do something..
