Divorce? What you need to know

Over a million women will go through a divorce this year in the US, if the figures of the Census Bureau remain similar to last year, AOS.

Divorce? What you need to know -

The emotional and psychological balance can not be measured, but the financial impact as possible.

financial bombs Besides the direct costs of a divorce which can be accessed on a spreadsheet, there are hidden there, if not recognized or addressed, could explode and destroy a woman, divorced AOS future carefully rebuilt.

There are countless financial pitfalls divorcing or divorced women face. I, AOM will highlight a few to watch:

Health Insurance

If your spouse was the one who carried out the health insurance benefits (and society has more than 20 employees), then you may be eligible to continue coverage under COBRA for 36 months. Meanwhile, you can find a job that offers health insurance coverage, or you can look for individual coverage on the open market. This solution is difficult if you have a preexisting condition. Some states do have a guaranteed program that waives a preexisting condition if you come from another plane. However, much is in the air with the reform of health care, so it preferable AOS to speak with an agent to understand your options.

life insurance

If you were covered as a dependent under your spouse's group plan, AOS, you, Äôll need to check to see if the benefits are portable (meaning that you can continue your coverage if you pay the premiums) or if coverage ends when you are no longer a dependent. If you are healthy, it makes sense whether an individual policy bought on your own is a better deal. It may be cheaper than carrying on group coverage. If you have a health problem, it makes sense to keep the benefits of the group if That, AOS possible.

If you have an individual policy, you can be OK, although it, Smart SOA to examine the amount to make sure it is adequate for your dependents, given your new marital status . In addition, in all cases, check your beneficiaries to ensure that your former spouse is no longer included, unless this is your intention.

qualified plans

Another common mistake is not to consider the beneficiary of a qualified plan (retirement account). Under federal law, your spouse is the beneficiary of your plan by default, unless a waiver is signed. When you go through a divorce, you need to make this change. Otherwise, if something were to happen to you and you were married, for example, your ex-spouse not your current spouse would get the money.

Disability Insurance

Disability Insurance, which provides income if you become ill or injured and unable to work, becomes critical when you are alone, as your support system has been halved. There are more than second or pay the same amount of savings and investments to rely on if something were to happen. This cover can often be obtained through your work; keep in mind that coverage ends when your work done. Or you can buy an individual policy on your own. Either way, the key is to know before something happens this type of coverage you have and how much of your income, it will cover.

In your 50s? Long-term care insurance

If you are in your 50s, it, Smart SOA to address the long-term care insurance. Historically, the most financially troubled individuals were older, divorced women, because they have less social security benefits have often been out of the workforce and many times do not have a pension. Long term care insurance is there for you if you need care, so you won, AOT need to tap into the money set aside for retirement.