Divorce creates several challenges, including issues surrounding health insurance coverage. Many couples face uncertainty about managing health insurance when they decide to end their marriage.
Understanding the available options helps ensure that both spouses continue to have adequate coverage.
Health insurance during the divorce process
During the divorce process, both spouses must maintain health insurance coverage. In many cases, one spouse relies on the other’s employer-provided health plan. In New Jersey, courts may issue temporary orders requiring the spouse with coverage to keep it until the divorce finalizes. This ensures both individuals have access to medical care while navigating the divorce.
Options after divorce
After finalizing a divorce, the spouse who relied on the other’s health insurance loses eligibility for that coverage. However, there are options to stay insured. One option is COBRA, which allows the spouse to continue coverage under the same plan for up to 36 months. Although COBRA can be expensive, it provides time to find new insurance.
Another option is to obtain individual health insurance through the marketplace. The Affordable Care Act (ACA) guarantees coverage regardless of pre-existing conditions, making it easier for divorced individuals to find a suitable plan. If children are involved, both parents should ensure their health needs are covered, usually by keeping them on one parent’s plan.
Considering costs and coverage
When navigating health insurance during a divorce, you must consider both the cost and the level of coverage needed. Courts may include health insurance as part of the overall settlement to protect both parties.
Finding the right path forward
Health insurance can be a complex issue during a divorce, but understanding the available options and planning ahead helps divorcing couples navigate this challenge and ensure continuous coverage during and after their divorce.