The divorce process can be challenging enough as it is, as couples try to divide their personal lives, their assets and even their child custody and child support obligations. Unfortunately, insurance companies have little interest in making this process easier on families. All too often, couples across the country, including in Georgia, come to find that dividing insurance plans and straightening them out generally can be just as complicated as the settlement process as a whole.
A number of challenges face divorced many individuals seeking independence from their ex-spouses. In some cases, a lack of cooperation from one spouse can make it all the more difficult to be released from a policy — or, by contrast, to continue to receive coverage as laid out in the settlement process.
One further complication is that the lack of employment at the time of a divorce could make it difficult for some former spouses to get the coverage they need. As a result, they’re often forced to pay for insurance on their own — and at a much higher cost.
When it comes to health insurance, it’s important to notify the insurance provider of changes in marital status. A failure to do so can constitute insurance fraud. If necessary, divorced individuals are often eligible for temporary health coverage under the federal COBRA program.
Life insurance, though, is another matter. Sometimes individuals can struggle to be released from a policy, and former spouses may be resistant to cooperate in such matters. To avoid this mess, it is best to address life insurance in the divorce settlement process.
The same rule applies for home, car and other forms of insurance, as well as how children will continue to be covered after the divorce. If you can handle these issues while you have an experienced lawyer working on your behalf, you’ll be much more likely to enjoy a clean break and accommodating insurance coverage after your divorce has been finalized.
Source: Reuters, “How to untangle your insurance plans in divorce,” Geoff Williams, Sept. 11, 2012
- Our experienced family law firm has handled all aspects of divorce for our clients throughout Fulton County and Georgia for many years. For information on our firm and practice, and how we can help you, please visit our Georgia Divorce page.