Call for an initial consultation: 510-402-1579
We Speak Korean – 한국어로 도와드릴수 있습니다

Don't Make A Move
Without Knowing Your Options

Newark Family And Estate Law Blog

A divorce means you will likely lose some of your assets and benefits, which may also include your health insurance. If you own your own insurance policy, you should not have any worries. However, if you receive coverage from the health insurance policy of your spouse, you may face a loss of coverage once your divorce is complete.

The potential loss of your coverage is an issue you should keep in mind as you negotiate your divorce settlement. WebMD explains that you do not necessarily have to lose your coverage if you get it from the policy owned by your spouse. There are a few options available to keep your coverage.

Negotiate for coverage

You can work out a lot of divorce issues with your spouse if your spouse wants to negotiate, and insurance coverage is no exception. You may negotiate an arrangement where you and any children you have will continue to receive coverage from your spouse’s policy. Be aware that this arrangement may add a premium that your spouse will have to pay. If so, your spouse might resist this arrangement.

The COBRA option

Because of a federal government law known as COBRA, you have another way to retain coverage after your divorce. If your spouse receives coverage from an employer that also employs at least 20 other workers, COBRA lets you to keep that coverage for up to 36 months. You will have to notify the administrator of your spouse’s plan within a 60 day period of your separation or divorce.

This option does come with added expenses. If you choose COBRA coverage, you will need to pay the premiums on that plan yourself. While some spouses can handle the expenses, you might find you can afford your own insurance coverage at a cheaper price. It may benefit you to find out what premiums you will have to pay before trying this option.

Having a California will ensures the distribution of your assets, such as bank accounts, property and treasured belongings, to loved ones. A comprehensive estate plan also minimizes your family’s tax burden and can avoid complications with probate. We often help clients draft a plan that provides for their loved ones after they pass away.

Kiplinger reports that once your estate plan is in place, choosing the right executor is paramount. An executor is a person that steps in and takes over for you after you are gone. Duties include settling debts, selling property distributing assets according to your wishes.

Appoint a knowledgeable executor

Being an executor is an important job. Take some time to consider your choice before appointing them as your representative. Although it is not necessary for them to have training as accountants or attorneys, they must be responsible.

This person will communicate with your accountants, attorneys and heirs, making decisions as questions and concerns arise. Executors get paid a commission for completing their duties, so expect the person to handle it as he or she would any job.

Consider these factors

Another point to consider is their availability. You may trust your best friend from college implicitly but selecting them as your executor may not be practical if they live across the country. The duties of an executor are often time-consuming, with complex issues. If your representative has a complicated family life, serious medical issues or a stressful job, they may not be the best choice.

An effective estate plan evolves. Updating your will, trusts and powers of attorney can ensure that you have a solid plan in place in the event you become incapacitated or pass away unexpectedly. This can make your executor’s job easier and the distribution process smoother.