There was an article in the Chicago Tribune about a recently divorced woman who found out just how much paperwork a divorce can involve. Kirsten Lang, a 32-year-old massage therapist, divorced in March, which meant she had to go through various issues, including changing her insurance plans.
Removing your ex-spouse from a policy or getting a new insurance is important–otherwise you might become over- or underinsured, or not insured at all. According to Lang, her ex-husband attempted to change the conditions of her policy, for example, add costs and include an option to have her removed without notice. Her situation got even more difficult when her ex’s employer changed plans, causing an increase of $140 to her co-payments. Lang eventually managed to terminate her old policy and got her own plan, which her ex-husband could not affect in any way.
Other insurance policies are likely to require changes as well. Life insurances might have only the other spouse as the policy owner which gives that spouse full control over any decisions about it. Needless to say, there are a number of details in a life insurance policy that you probably don’t want your ex messing with. A well planned divorce settlement is crucial in ensuring that your former relationship won’t come back to haunt you. For instance, insurance coverage can be addressed in a divorce settlement. Professional divorce attorneys know what the best course of action is and can offer invaluable help in a difficult situation.