During Divorce, You Want to Ensure That You Do Not Neglect These Two Insurance Accounts
Divorce can be an extremely difficult process for people and their families. During this time, it can be easy to overlook important bureaucratic items that need to be taken care of. However, when it comes to insurance policies, this is one area you do not want to neglect.
Below, we discuss the primary types of insurance that you need to address during this time and how to make sure you are taken care of with respect to these policies:
When it comes to health insurance, it is common for one spouse to be covered under the other spouse’s employer-based health plan. This can create a bit of confusion during the process of divorce in terms of the covered spouse figuring out how to continue their coverage or obtain other health coverage.
The Consolidated Omnibus Budget Reconciliation Act or “COBRA” was passed in order to allow the spouse to continue that same health coverage under their ex’s employer plan for up to three years after the divorce. However, while COBRA can be convenient, it is no longer necessarily the most affordable solution since the Affordable Care Act was passed years ago. Now, there are a number of affordable health insurance options for folks who do not have an employer-based plan and cannot afford their own private plan. In addition, COBRA has a time limit of three years, which can make it inconvenient.
Life insurance is another important consideration during divorce. Life insurance payments also carry the added benefit of continuing even if the paying spouse passes away, unlike spousal support.
It is important to address life insurance issues as a result of the divorce with your divorce attorney, as life insurance can be important asset to consider as part of the divorce decree, and you also want to make sure that, walking away from a marriage, you retain a certain amount of control over your life insurance policy so as to not risk lapses in payment or changes being made by someone else that could affect you. It is also important that you and your attorney make all of these arrangements before the divorce is finalized and ensure that all the relevant requirements have been met, such as ensuring that the paying spouse is insurable in the first place.
Work With An Experienced Divorce Attorney
Like many other issues that come up during divorce, dealing with insurance policies can be overwhelming and sometimes confusing. However, just like everything else, you want to make sure you know what you have going on so that you are taken care of in moving forward.
Contact our experienced West Palm Beach divorce lawyer at the office of William Wallshein, P.A. today to find out how we can help ensure that you are taken care of in terms of ensuring a smooth transition of your insurance policies and everything else during divorce.