Divorce can be a traumatic experience for all those involved. One of the hardest things to deal with for any divorcing couple, including those in Clinton Township, is how to split up their property. One property division item that may be overlooked, but that is no less important, is a couple’s insurance policies.
When a couple has been together for an extended amount of time, typically they share several types of insurance polices, which could include home and car, life and health, as well as disability or long-term care. Each of these policies can have a different impact on both individuals after a divorce is final.
It’s common for a married couple to share their medical coverage through one of the spouse’s employers. After divorce, both individuals can still receive benefits, however one party may have to switch coverage to their employer or pay the entire monthly premium of the current plan. For those spouses who don’t work it’s probably a good idea to ask for additional settlement money to help cover the costs of medical insurance.
It’s also important to understand how pricing on car and home insurance policies can change with divorce. People may lose certain discounts if their policies are no longer grouped together. Couples also need to make sure their life insurance policies reflect whom their beneficiaries will be; it may even be necessary to obtain a completely new policy after divorce.
Making the necessary changes to one’s insurance policies can play a big role in a person’s life immediately after a divorce, especially health or car insurance. If a person is considering divorce he or she may want to speak with an experienced divorce attorney to better understand all the important factors of splitting up insurance policies.
Source: Source: Fox Business, “How to uncouple your insurance in divorce,” Michele Lerner, May 31, 2013.