M is for Medical Insurance after Divorce – “COBRA” May Help

M is for Medical Insurance after Divorce – “COBRA” May Help

medical insurance after divorce - COBRA is an option
Your health is your most important asset! Take steps to insure that you are covered by medical insurance after your divorce.  Plan ahead you don’t want to have a gap in your medical coverage.

If your spouse works for a company that employs 20 or more people, you are eligible to apply for continued health insurance coverage in this company’s plan. Under a Federal law known as “COBRA” (Consolidated Omnibus Budget Reconciliation Act). But you must notify the administrator of this plan within 60 days of becoming divorced.

  • Although this law can help if you have no alternative health care options, please consider the following:

  • If you can obtain health insurance through your employer—this may be more cost-effective.
  • Under COBRA, you will be responsible for the entire amount of the premium. This means the portion that your spouse’s employer is paying will no longer be deducted from your cost.
  • Keep in mind that COBRA coverage only last for up to 36 months.
  • Do you homework and look for an option that best suits your income and needs.

Keeping all this in mind; If you are not employed or your employer does not offer health benefits finding options that are less expensive and more permanent, the COBRA coverage may be beneficial. It can give your future health needs more stability as well as provide you with greater peace of mind.

Please discuss all your options with your divorce attorney, financial advisor and medical insurance specialist before you make any decisions.

Answers from AZ

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