The end of a marriage in Texas is a complicated process due to the various financial, emotional and practical implications it has for both parties involved. For this reason, overlooking a basic item like insurance coverage can be easy during divorce proceedings. Still, it is important to examine how one’s insurance coverages might change following the divorce and what needs to be done to prepare for this.
First, a law called COBRA is in place in part to help divorced individuals who are not earning income to remain under the employer health insurance plans of their ex-spouses for as many as three years following their divorce proceedings. This can be convenient for divorced individuals, though it is often not cost-effective. Fortunately, more practical insurance options for health care may be available and thus worth looking into, particularly since the Affordable Care Act was enacted in late 2017.
Life insurance is another essential consideration during divorce, particularly for someone who expects to receive alimony from his or her ex-spouse after the divorce. This is because alimony usually stops when the paying spouse passes away. If the alimony recipient does not inherit other assets that can replace the alimony payments, he or she could sustain these payments via a life insurance policy that the alimony recipient takes out on the ex-spouse.
Getting divorced can seem overwhelming. However, an attorney in Texas can help a client navigate the financial aspect of the divorce proceeding. The attorney will focusing on ensuring that the client’s best interests are upheld so that the client achieves the most secure financial position possible once a final judgment is issued.