Understanding the Impact of Divorce on Health Insurance

Divorce is a significant life event that brings with it many financial and emotional challenges, one of which is navigating health insurance. If you are going through a divorce, understanding how it impacts your health coverage is crucial for ensuring that you and your children remain protected. Whether you’re covered through your spouse’s plan or you hold the family policy, there are a few key things to keep in mind.

Losing Coverage After Divorce

If your health insurance is through your spouse’s employer, it’s important to note that divorce typically means you will lose this coverage. Most employer-sponsored plans only cover the employee and their legal spouse. Once the divorce is finalized, you will no longer be eligible to remain on your ex-spouse’s plan, leaving you responsible for finding your own health insurance.

For many, the loss of health insurance can be sudden and overwhelming. Fortunately, the federal law COBRA (Consolidated Omnibus Budget Reconciliation Act) allows you to temporarily extend your health coverage for up to 36 months after the divorce. However, this coverage can be expensive because you will be responsible for paying the entire premium, including the portion your spouse’s employer previously subsidized.

Options for Health Coverage Post-Divorce

If COBRA seems too costly, there are several other options to explore. You may be able to obtain health insurance through your own employer, if available. Additionally, the Affordable Care Act (ACA) provides access to the health insurance marketplace, where you may qualify for subsidies based on your income. Divorce is considered a “qualifying life event,” which means you can enroll in a new health insurance plan outside of the typical enrollment period.

If you have children, their health insurance is another important consideration. In most divorce settlements, it is common for one parent to be designated as responsible for maintaining the children’s health coverage. Be sure that this is clearly outlined in the divorce agreement to avoid confusion later on.

Legal Considerations

Navigating health insurance after divorce can be legally complex, especially when considering factors like COBRA, children’s coverage, and negotiating terms of the divorce settlement. Ensuring your health insurance needs are addressed during the divorce process is essential to avoid coverage gaps and financial strain.

Divorce and Family Law Attorneys in Maryland

If you’re facing divorce, it’s important to carefully consider how your health insurance will be impacted and to explore all available options for maintaining coverage. Given the complexities surrounding health insurance in divorce cases, it’s highly recommended to seek legal advice to protect your rights and ensure all aspects of your financial well-being are handled properly. For professional legal guidance, the Law Offices of Sandra Guzman-Salvado can provide experienced divorce counsel to help you navigate these challenges and secure your future. Contact us for help now!