One major consequence of divorce for many New Jersey residents is the loss of health insurance. Health insurance should always be addressed during the divorce process so that each party to a divorce understands his or her rights and options.

A university study that was conducted last year found that each year nearly 115,000 women become uninsured as the result of divorce. Additionally, many of these women do not obtain new health insurance very quickly after the divorce, due to financial and other issues. As the Affordable Care Act is scheduled to go into effect in 2014, the options for those who lose health insurance coverage in divorce will change.

As it stands, many people who either lose coverage under their spouses’ employer-sponsored health insurance policies – or who opt to continue on the plan with COBRA coverage – struggle to find a new policy because of pre-existing medical conditions. Historically, pre-existing conditions can make it very difficult to obtain affordable health insurance coverage, but beginning Jan. 1 insurance companies can no longer charge people more money or deny coverage because of such conditions.

Another change that may affect those going through a divorce is that it is supposed to become easier to compare the prices of competing health insurance companies. Having a clear estimate of future health insurance costs can be important in order to ensure a fair spousal support or alimony arrangement.

Health insurance issues will remain an important divorce issue in the wake of the Affordable Care Act, but the landscape will be altered. Those who are pursuing divorce should talk to their family law attorneys about these issues in order to protect their interests.

Source: Market Watch, “Obamacare could ease divorce’s final sting,” Sept. 25, 2013