Articles Posted in Health insurance

As a result of the recent tummult in Washington DC married couples are avoiding getting divorced in fear that their health coverage will also get terminated.  The health care uncertainty in Washington, D.C. is causing some separating couples to press pause on their divorces, financial planners and divorce attorneys say.

 Indeed, some couples have put their divorces on ice until there’s more clarity out of Washington, D.C . For some, that means staying married and entering into a post-nuptial agreement that leaves them legally together but spells out the separation of assets and terms of a possible future divorce. For others, that means finalizing divorce papers but holding off on sending them to the courts for processing. A decade ago, it was common for couples to get a legal separation instead of a divorce if they wanted a spouse to retain coverage. But that avenue has largely closed, as companies no longer allow a legally separated spouse to stay on their employer plan, says Andrew Vaughn, a Chicago divorce attorney and founder of NuVorce.

Because this country is one of the only developed nations where coverage is tied to employment and, often, marital status, health insurance has always been a factor in American divorces. Even before President Donald Trump’s election last November threatened the future of the ACA, couples with a non-working spouse in the midst of chemotherapy tended to stick together for fear of upending treatment, says John Slowiaczek, president of the American Academy of Matrimonial Lawyers.

If you ever wonder how Health insurance is covered during a divorce, child custody battle or a Paternity Lawsuit, the answer is not as complicated as it might seem.  The Family Law court system along with the Department of Child Support Services has a lot of authority to order a party to pay for Health Insurance of a minor child. As in the Case of Divorce, the Judge can order a party who employed and Health insurance is available through their employer that they ensure their child. In addition, if they are financially able to pay Health insurance for the minor child the Court can order them to pay Health insurance or purchase a policy for children.

The most common and probably the most cost effective means to insure a minor child of a Paternity or a Divorce is through the employer.  Often employers will cover not only the party but minor children.  After in inquiry by the Court of the parties employment and or economic situation can easily determine that that either the Mother or Father is able to ensure the children

The law provides under Family law Code section 3751 that “in any case in which an amount is set for current support, the court shall require that health insurance coverage for a supported child shall be maintained by either or both parents if that insurance is available at no cost or at a reasonable cost to the parent.” It further goes on to talk about a rebuttable presumption about who shall pay for the health insurance of the minor children.  The main issue of Health insurance is that it be reasonable for the parties.  And reasonable to according to the Judicial system is not to exceed 5% of the gross income of the Mom or Dad.