Navigating Health Insurance During a Divorce in Ohio

What Ohio divorce health insurance options are available?

Securing Your Future: Ohio Divorce Health Insurance Options to Consider

Going through a divorce comes with many challenges, and it’s easy to overlook some important details amidst the emotional and legal complexities. One critical factor that often gets sidelined is health insurance. Understanding how your health insurance will be affected by the divorce is important, as it plays a significant role in your financial stability and well-being during and after the process.

Coverage During Divorce

Pursuant to Section 3105.71 of the Ohio Revised Code, during divorce proceedings, if you are covered by your spouse’s health insurance plan, then your coverage typically remains in effect until the end of the month in which the divorce is finalized. This provision is one of the Ohio divorce health insurance options that can offer peace of mind during a tumultuous time. Confirm the details of your policy, and any relevant court orders, as this will impact your coverage.

COBRA Coverage for Non-Insured Spouses

If you are a non-insured spouse relying on your partner’s employer-provided coverage, COBRA (Consolidated Omnibus Budget Reconciliation Act of 1985) may offer a temporary solution. COBRA allows certain employees, retirees, and family members to continue their group health insurance coverage for a period of 18 to 36 months after losing benefits. COBRA generally applies to private-sector employers with 20 or more employees, as well as state and local governments, but does not cover plants sponsored by the federal government or churches.

To be eligible for COBRA coverage, your group health plan must fall under COBRA’s requirements, and you must experience a “qualifying event” and be a qualified beneficiary at the time of that event. A “qualifying event” is one that results in the loss of group health coverage, such as divorce or legal separation from a covered employee, which qualifies the spouse and any dependent children. Other examples of qualifying events include a reduction in the number of employment hours and termination of an employee’s employment for reasons other than gross misconduct.

A qualified beneficiary is anyone covered by the group health plan the day before this loss of coverage occurs. Many individual states, like Ohio, have “mini-COBRA” laws that extend similar benefits to employees of smaller companies with fewer than 20 employees. Contact the Ohio Department of Insurance to see if “mini-COBRA” Ohio divorce health insurance options that might apply to you.

Alternative Options and Special Enrollment

In addition to COBRA, other Ohio divorce health insurance options like Medicaid or private insurance plans may offer more affordable or better-suited coverage. You can also explore options in the Health insurance Marketplace, where losing employer-based coverage qualifies you for a special enrollment period. Marketplace plans may offer tax credits to lower monthly premiums and cost-sharing reductions, making coverage more accessible.
If you or your dependents lose eligibility for continuation coverage, special enrollment opportunities under the Health Insurance Portability and Accountability Act (HIPAA) may be available.

HIPAA allows for special enrollment in an employer plan if a dependent losing eligibility had other health insurance coverage when they declined coverage in the plan with which they now wish to enroll in. Further, you must request special enrollment within 30 days of losing your previous coverage. To qualify for special enrollment in a Marketplace plan, you must choose a plan within 60 days before or after the loss of your employer-based coverage.

Ohio Divorce Health Insurance Options for the Employed and Unemployed

Once the divorce is finalized, both parties will need to secure their own health insurance. If you are employed and your employer offers health benefits, enrolling in their plan may be the best option among Ohio divorce health insurance options. Then, you can enroll in that plan after your divorce AND YOU DO NOT HAVE TO WAIT for the next open enrollment period. If you are unemployed or your employer does not provide health insurance, then you might consider obtaining individual coverage through the Affordable Care Act (ACA) or through private insurers. Residents of Ohio can learn more about these matters and search for suitable insurance plans through CareSource.com.

Negotiating Insurance Terms

Including health insurance considerations in divorce settlement negotiations is important! What premium will the ex-spouse now have to pay monthly to replace the coverage he/she received during the marriage? These costs are a factor the Court may consider when determining the appropriate level of alimony!

Also, if one spouse has a more comprehensive health plan, you may negotiate for them to cover dependents as part of the settlement. These terms can clarify which parent is the primary policyholder for children and outline cost-sharing responsibilities. Transparent provisions for ongoing health insurance can help you avoid disputes and ensure consistent coverage for any dependents.

Health Insurance Coverage for Children

For parents, child coverage is another important consideration following a divorce. Children may remain on their other parent’s health insurance plan even after the divorce is finalized. The Ohio Revised Code § 3119.30(A) stipulates that, in any case where a child support order is issued or modified, the court or child support enforcement agency must identify who will be responsible for the children’s health care coverage and include this information in the child support order.

The order will specify that both parties are liable for any health care expenses for the children not covered by private health insurance, following the application of a formula established by the court or agency. This is called “cash Medical Support” Click here to read a blog article we posted3 years ago about how that works.

Conclusion: Proactive Planning and your Ohio Divorce Health Insurance Options

Divorce can greatly impact your health insurance, so it’s crucial to understand Ohio divorce health insurance options early. By understanding your options and including health insurance as part of your divorce negotiations, you can protect yourself from gaps in coverage. Taking the time to address this early on in the divorce process can save you from complications down the road and give you peace of mind as you move forward. For more information on health insurance throughout the divorce process, read our previous blog post here.

PUBLISHER’S NOTE:

I want to thank Taylor Mawer, a second-year student at the University of Dayton School of Law, for writing this article. Taylor is clerking with Holzfaster, Cecil, McKnight & Mues this semester. You will be reading more from her in the weeks to come! Well done Taylor!

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