Generally, one spouse is insured under the other’s employer sponsored medical plan. Ever wonder what happens if the insurer is not informed about the divorce? The New Jersey Law Blog provides the frightening details of one such case.
William Roseman, the Mayor of Carlstadt in Bergen County, New Jersey, and his former wife, were convicted of stealing health insurance benefits. One may ask, how do you steal heath insurance? The answer is by failing to inform your health insurance carrier of entry of the final judgment of divorce.
Most insurance policies require the insured to inform the insurance carrier of changes in circumstances, like divorce.
New York requires parties to a divorce to acknowledge that they will no longer be entitled to medical insurance by virtue of marriage after the divorce is granted (Medical insurance may be available under COBRA).