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DOCTOR, DOCTOR…. GIVE ME THE NEWS!
Let’s talk health insurance, separation, and divorce. For many people, one of the concerns about getting legally divorced is that they will lose their health insurance. In the state of North Carolina, you have sixty (60) days after your divorce is entered to notify your insurance company that you are no longer married. This means a few things:
- For the spouse who no longer has health insurance through their now ex, it is a qualifying life event (QLE) or a Special Enrollment Period (SEP) https://www.healthcare.gov/coverage-outside-open-enrollment/special-enrollment-period/ for the Health Insurance Marketplace. The normal open enrollment period is from November through January but in cases of divorce, there is typically a 60-day period permitting you to also choose insurance through the marketplace at other times based on your divorce being entered with the courts.
- Check with your employer to see if they offer coverage prior to a divorce to determine whether health insurance premium amounts can be factored into alimony or separation agreements prior to the divorce.
- Your children are still “eligible” to be covered under your or your spouse’s health insurance coverage until they are 26 under current Federal law BUT your spouse is not obligated to cover them unless it’s built into the separation agreement or divorce. This is especially true for children after they are 18 so if you expect your child to need health care coverage during university or early adulthood, factor that in at the time of your divorce.
- For the 60 days after divorce, you MAY still be eligible for COBRA coverage on your former spouses insurance policy but you would need to pay it unless it’s set out in your agreements or divorce. An important note, COBRA comes at a steep cost. It is 100% of the premium since the employer doesn’t assist and usually a 2% surcharge for administration.
Plan ahead to make sure that you stay insured.