Divorce has serious effects on health insurance benefits. Many families have family-wide health insurance coverage that are offered by their workplace and/or paid for by their company. The other spouse may be a stay-at-home parent without any access to health insurance benefits or may be employed in a position where health insurance benefits are either not offered or are offered at a high cost. After a divorce, the parent with family health insurance is no longer able to cover the former spouse. They are no longer considered to be “family” members eligible for a single health insurance plan. Negotiation and/or divorce litigation may then be required to resolve the issue of how to guarantee that everyone remains insured.
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There is a way to continue benefits without incurring additional costs if neither party has access to health insurance benefits and the cost of obtaining those benefits for the other side after a divorce becomes prohibitive. Entering into a separation agreement would accomplish this while delaying the divorce. The parties can continue to be covered by the same health insurance plan even though they are no longer married in this way. Before filing for divorce, either party may agree to wait one, two, or more years with the other. The separation agreement will cover the parties’ property, child custody, and support concerns while they stay married. For more research click here.
This is the best resolution in some situations. What happens, for instance, if both parties desire a divorce even though one spouse will continue to raise the children at home for a number of more years? They can use this choice. They can split, agree to have a divorce and all of the terms that must be agreed upon, but postpone the divorce’s finalization so that they can continue to enjoy affordable health insurance benefits.
The aforementioned situation may provide certain challenges that need to be thoroughly discussed with your divorce attorney. Your ability to file federal taxes, for instance, may change if you separate but choose not to divorce. Additionally, it is not always as simple to enforce a separation agreement as it is in other jurisdictions. Or, in still other states, one spouse may benefit from the agreement’s benefits for a year or two before filing for divorce and seeking a variety of financial relief in court. You can only get legal counsel on these matters from a divorce attorney who is authorized to work in your state. For more health tips visit our site ArticlesHubs.
In the event of a divorce, COBRA coverage is an additional choice. A person covered by a health insurance policy must be offered the option to extend such coverage, at their own expense, for a certain amount of time provided certain conditions are met, according to the federal statute known as COBRA. For instance, if you get divorced and your ex-spouse got family health insurance via his job, the latter would have to continue to cover you through COBRA after the split. Even though your coverage would now be individual rather than family, COBRA would still need you to have the same health insurance plan. You would be responsible for covering the employer’s expense for that specific insurance.
It is not unusual for a stay-at-home spouse or a spouse with fewer financial resources or career alternatives to arrange COBRA coverage and have their spouse pay for it for a predetermined amount of time after the divorce. By doing this, the spouse who didn’t have insurance is given some time to find a job that offers it or to get their finances in order so they can buy their own insurance. May you can see about What Are the Requirements for Joining Your State Health Insurance Pool.