Barbara Sadler: Insurance After Divorce

Divorce demands personal, emotional and financial adjustments. In addition to legally finalizing your divorce, you will likely have to make other changes, including adjustments to an existing insurance policy. After divorce, strategically transitioning of homeowner’s insurance, healthcare, life and car insurance is necessary ensure adequate coverage.

ADJUSTING YOUR INSURANCE POLICIES AFTER DIVORCE

If you are divorcing or recently divorced in Salt Lake City, Utah, because I am a divorce lawyer, I have some tips to prevent over insurance, under insurance and the risk of no insurance at all:

Health insurance: Most likely, you will need to change health care providers after divorce. While staying on a spouse’s insurance may save you in the short-term, failing to report a divorce could result in denied coverage or accusations of insurance fraud. If you don’t have insurance through an employer, you may be eligible for COBRA, a temporary extension of coverage. Medicaid, is also an option, if you qualify. You will also have to decide the best policy for your children.

Life insurance: Usually a life insurance policy is owned by the primary earner, with the spouse covered on an attached policy. After divorce, a spouse would have to be released from the policy, buy additional policies, or name a different beneficiary. Insurance coverage can be detailed in a divorce settlement.

Car insurance: When sharing a residence, it is likely that you will also share a car insurance policy. After divorce, you will likely move out and need to adjust your policy. Generally, automobile insurance can be negotiated in an alimony agreement.

Home owner’s insurance: After divorce, you should be able to reduce payments, especially if a spouse has moved out and removed belongings. If you have moved out and are now renting, you may want to invest in an additional policy.

When dealing with the financial overhaul of a divorce, you want to make sure your rights are protected. An experienced attorney can review your legal options and help you protect your interests through strategic negotiation and settlement.

CAN MY TAX REFUND BE INTERCEPTED OVER UNPAID CHILD SUPPORT?

From considerable anxiety to prison time, you may experience many challenges if you are a parent who is unable to pay child support. However, you should be aware of the other ways unpaid child support could affect you, such as your ability to receive your tax refund. In Salt Lake City, Utah, trying to resolve child support matters promptly is critical.

According to the Department of Administrative Services, your state tax refund can be intercepted in Utah if you owe back child support. If the state does intercept your tax refund, the funds will be used to pay off your child support debts. Before your refund can be taken away by the state, a judicial or administrative judgment reflecting your child support balance must be in place. Before your Utah tax refund is intercepted, the Office of Recovery Services will send you a mailing which informs you that you may lose your refund.

If you cannot pay child support, you may be facing any number of burdens. Perhaps you recently lost your job or are experiencing financial challenges for another reason. When you miss child support payments, the ramifications can have a serious impact on your life as well as your child’s life. As a result, you should do whatever you can to address the situation. For example, you may be able to reduce your payments by modifying your child support order.

Free Consultation with Divorce Lawyer in Utah

If you have a question about divorce law or if you need to start or defend against a divorce case in Utah call Ascent Law at (801) 676-5506. We will help you.