By: Dr. Mike Gora
Q. My husband and I are going through the divorce process, and have been for about six months. We have a mediation coming up. To prepare, I sat down with a friend of mine to go through her divorce settlement.
Last night my friend and I were discussing insurance issues. I have been married for over 20 years, and we are both 45 years old, and in good health. We have two kids, one in college, one a sophomore at Pine Crest. I have not worked during the marriage. My husband makes good money. We have always had health insurance and life insurance, through his employment with a public company.
Can you tell me what kind of insurance protection I would get if the case went to court? Would the judge have to give the children and me the same health insurance we have now? Would he give me life insurance to pay for alimony and child support, in the case of my husband’s premature death?
A. Let’s discuss the life insurance first. Legislation and appellate decisions have made it much harder for a trial court to award life insurance as security for alimony or child support then it was 10 years ago. It would be best to reach a settlement on all issues at your mediation, including the insurance issues.
However, if there is a trial and an appeal the trial court, to be sustained on appeal of an award of life insurance must establish:
1. That there are “special circumstances” requiring the insurance. That seems to mean that there has to be some special risk to your husband’s health, or, perhaps some special condition that would prohibit you from ever earning your own support, or being able to support your minor child.
2. That the insurance is affordable, after making the distribution of assets, and deducting the cost of the alimony and child support from you husband’s earnings. Non-marital assets of both parties must be considered.
3. And that the proceeds of existing or new life insurance are necessary to secure the alimony and/or child support.
You have also asked about health insurance coverage. The court will probably require your husband to continue to supply health insurance for your minor child, but cannot do so for you or your college-age child. Most group policies would cover the college age child at no additional cost, through college, and your husband may well agree to do so.
Federal law does not allow you to continue on your husband’s group health plan indefinitely, but creates, through a process referred to as COBRA, 18 month’s worth of coverage at an expense close to what your husband’s company is paying to cover you. You can choose to go with that plan or purchase your own. The cost of your insurance will be considered as one of your needs to be covered alimony.
Michael H. Gora has been certified by the Board of Specialization and Education of The Florida Bar as a specialist in family and matrimonial law, and is a partner with Shapiro Blasi Wasserman & Gora P.A. in Boca Raton. Mr. Gora may be reached by e-mail at mhgora@sbwlawfirm.com.