Maintaining health insurance coverage during and after a divorce is vital if you have been covered under your spouse's plan. In Arizona, your spouse cannot cancel or modify your coverage while the divorce case is ongoing. However, there are steps you can take to ensure uninterrupted coverage and protect yourself from costly medical bills.

The first step is to review the current health insurance policy. If your spouse’s employer provided the coverage and you are a beneficiary, contact the benefits administrator to understand how divorce will affect you. Typically, employer-sponsored plans end coverage for a divorced spouse on the date of the divorce.

These are the insurance options you can consider for the post-divorce scenario:

1. COBRA coverage — The federal Consolidated Omnibus Budget Reconciliation Act (COBRA) might allow you to continue your current health insurance coverage temporarily after divorce. Under COBRA, you can maintain the same plan for up to 36 months but you will be responsible for the full premium, including the portion previously covered by the employer. While this can be expensive, it may be a viable short-term solution as you explore other options. Note, however, that COBRA is available only if your spouse’s employer has 20 or more employees.

2. Employer coverage — If you are employed, check if your company offers a group health insurance plan. Divorce may qualify you for a special enrollment period to join your employer’s plan outside the usual window. Employer-sponsored coverage is often more affordable than individual plans, since the employer usually shares the cost of premiums.

3. The Marketplace — You can purchase individual coverage on the Health Insurance Marketplace (healthcare.gov). Losing coverage due to divorce qualifies you for a special enrollment period, so that you can sign up for a plan outside the normal window. Subsidies may be available based on your income, reducing the cost of premiums.

4. Arizona Medicaid (AHCCCS) — If your income decreases significantly after divorce, you may qualify for Arizona’s Medicaid program, the Arizona Health Care Cost Containment System. AHCCCS provides low-cost or free coverage for individuals with limited income, offering comprehensive benefits.

During the divorce process, consider negotiating terms in the settlement to address health insurance. For example, if you anticipate needing COBRA coverage, you might request your spouse to cover part or all of the premiums for a set period. Courts in Arizona do not mandate this, but it can be agreed upon voluntarily.

If you have children, ensure that their health insurance needs are addressed in the divorce agreement. Arizona law typically requires one or both parents to provide health insurance for the children, with costs factored into child support calculations.

Taking proactive steps to secure health insurance during and after a divorce ensures financial stability and peace of mind. An Arizona family law attorney can help you understand how these health insurance issues might factor into the overall settlement of your divorce. 

If you are considering a separation or divorce in Arizona, the attorneys at Clark & Schloss Family Law, P.C. in Scottsdale are ready to assist in all aspects of your case. For a free initial consultation, call us at 602-789-3497 or contact us online.