Health Insurance and Divorce in Minnesota – Who Pays?

Federal and state laws protect the continuedotherwise terminate under the policy, which ever
availability of health insurance coverage to divorcingoccurs first. There are several common ways health
couples and their children. At the start of a divorce, ainsurance is dealt with once a divorce is finalized.
restraining provision in the Summons prohibits the 
alteration or cancellation of any health, medical, or lifeExample #1: Jane and John each have health
insurance policy currently in effect. This means thatinsurance available to them through their respective
neither party may cancel coverage or change theemployers. COBRA coverage does not apply
type or amount of insurance coverage being providedbecause a separate group insurance plan is available
for a spouse or the parties' children without the court'sto each person. Even if John was covered under
permission.  When a divorce is finalized, MinnesotaJane's group policy during the marriage, COBRA
law and the Consolidated Omnibus Budgecoverage does not apply because John has his own
Reconciliation Act of 1985 (COBRA) allow for thegroup plan available. Generally, Jane and John would
continuation of health insurance benefits for a formerbe responsible for maintaining their own health
spouse for a specific period of time.insurance policies.
  
Health Insurance Coverage for Children after aExample #2: Jane does not have health insurance
Divorce:available to her and during the marriage she was
 covered under John's employer's health insurance plan.
If a person has dependent health insurance coverageCOBRA coverage is available to her. To continue
available to him or her through an employer, thathealth insurance coverage under John's plan, Jane has
person will be able to continue to maintain coverage60 days from the date the divorce is finalized or 60
for the children after the divorce, even if that person isdays from the time she receives notice from the plan
the non-custodial parent. The cost of that coverage isadministrator of her intent to elect COBRA coverage.
then apportioned between the parties. For example, ifOnce elected, coverage is available for a maximum of
Jane and John both have dependent coverage36 months. Usually, Jane is responsible for her portion
available through their respective insurance plans, theyof the health insurance cost. While COBRA coverage
can choose which plan is most cost effective for theiris generally more expensive than health coverage for
children. When child support is calculated, each parentan active employee, it is often less expensive than
is required to pay a percentage of the insurancebuying private health insurance.
premium, based upon their portion of the parental 
income available for support. The cost of unreimbursedExample #3: Jane does not have health insurance
medical and dental expenses (such as deductibles andavailable to her and during the marriage she and John
co-pays) is usually shared based on the samewere covered under his small business's health
percentage.insurance policy. If John's employer has fewer than 20
 employees, COBRA coverage is not available to Jane
If only one parent has dependent health insurance, thatas the law does not apply to John's employer. Jane
parent will be ordered to continue to provide healthmust then look for coverage through a private insurer.
insurance coverage and each parent's share of theThe parties can negotiate who will be responsible for
cost will be calculated as described above.paying the insurance premiums.
  
Health Insurance Coverage for Spouses after aExample #4: Jane and John are self-employed. During
Divorce:the marriage, they maintained an individual insurance
 plan as a couple. COBRA coverage does not apply.
In Minnesota, it is against the law for a health insuranceEach party would be responsible for obtaining his or
policy to terminate coverage for the spouse of anher own health insurance coverage. The parties can
insured solely because of a divorce. Instead, the lawnegotiate who will be responsible for paying the
requires that the coverage afforded to the insured'sinsurance premiums.
former spouse continues until (1) the insured's former 
spouse becomes covered under any other groupTo speak with a lawyer about your health insurance
health plan, or (2) the date the coverage wouldconcerns during a divorce call 952-746-4111.