As of 2022, KFF reported that 51% of companies offer spousal coverage for health insurance. Many couples take advantage of this to be able to choose the most affordable insurance option.
However, in the event of a divorce, this can pose an issue for the spouse who is using their spouse’s insurance coverage. It is important to make sure you understand how the end of your marriage will impact your health coverage.
Temporary coverage
In the event that your spouse removes you from his or her health insurance plan due to divorce, you may be eligible for temporary coverage under the Consolidated Omnibus Budget Reconciliation Act. COBRA allows you to continue the same health insurance coverage for a limited period, typically up to 36 months.
Affordable Care Act marketplace
Another option for obtaining health insurance after divorce is the ACA Marketplace. The Affordable Care Act provides options for individuals and families to purchase health insurance plans. You can explore different plans and choose one that fits your needs and budget.
Medicaid
If your income and circumstances change significantly after divorce, you may be eligible for Medicaid, which provides health insurance to low-income individuals and families. Eligibility can change each year, so check the requirements with the state before applying.
Employer-sponsored plans
If you have access to employer-sponsored health insurance through your job, it may be a viable option. Employment or personal changes might allow you to get coverage outside the enrollment period.
Health insurance during and after divorce is a complex issue that demands attention and careful planning. By understanding your options and taking a proactive approach, you can ensure you maintain proper coverage.