Health Insurance Continuity in Iowa (IA 509B)

Both parties involved in divorce and their dependents are entitled by Iowa law to continued health insurance. A spouse who does not earn a wage, and is therefore not an employee in a group plan, nevertheless can continue coverage under a spouse’s employer plan. There are rules you must carefully follow, however, to ensure your coverage does indeed continue.

A member of an employee’s family, whose coverage under a group health or accident plan would normally end because of the employee’s death, termination of employment or divorce from the employee can continue coverage under the policy for the period in effect. If the continuation of coverage is a result of a divorce or annulment, the person eligible for the coverage as a spouse or a parent/legal guardian of a dependent child must notify the insurer within 30 days of the date of the divorce decree.

Within 10 days of receipt of that notice, the employer/group policyholder will provide notice of the right to continuation of the policy. That person has 10 days from the receipt of the notice to respond in writing to elect to continue coverage. Coverage will be effective within 10 days, as long as the appropriate premium is paid to the insurer. Continuation of coverage, however, will begin on the date the policy would have terminated so as to prevent any gap in coverage.

Missing a response deadline or making a late payment can mean you will lose your right to continuing coverage.