When people in Oregon decide to divorce, they may navigate a complex range of issues, including property division and child custody. In the legal, financial and emotional complications surrounding the end of a marriage, it can be easy for people to leave questions about insurance aside. However, insurance policies may need review before, during and after divorce in order for both parties to understand how their coverage will change and what policies they will need to purchase after the dissolution is final.
Health insurance is one of the policies most commonly affected by a divorce. Even when both parties are employed, it is often easier and cheaper for one spouse to provide coverage through their job for the entire family. Divorce is considered a qualifying life event under the Affordable Care Act, so people will be able to enroll in their own employer’s policy after the divorce is finalized. In addition, spouses who do not work outside of the home have options. They may access the health care marketplace in their state to select a policy after the divorce. In addition, COBRA coverage can allow people to keep their former insurance if they pay all the premiums. COBRA can be costly, however.
It is also important to deal with life insurance during divorce negotiations. In most cases, people will want to change the beneficiary on their life insurance policies to avoid unintended results. However, if one party is paying spousal support, the other may maintain a life insurance policy to continue those payments if the paying spouse passes away.
There are a number of issues that couples may need to navigate when negotiating a divorce settlement, including insurance. A family law attorney may help a divorcing spouse reach a fair agreement on issues like property division and spousal support.