Plain English Breakdown
The official summary states the rule applies 'as specified,' but the provided text excerpts do not list those specific details or exceptions.
New Rules on Keeping Insurance Active During Divorce
Starting in 2027, this law adds a rule that stops people from letting their insurance plans end because they did not pay bills or renew them during divorce and custody cases.
What This Bill Does
- Adds a new rule starting January 1, 2027, that stops both parties in court cases from letting an insurance plan lapse due to nonpayment of premiums.
- Stops both parties from failing to renew their existing insurance coverage while the case is active.
- Keeps all previous rules that stop people from canceling, transferring, or changing beneficiaries on these policies.
Who It Names or Affects
- People involved in divorce cases (dissolution of marriage).
- People involved in legal separation or nullity of marriage proceedings.
- Parents and children covered under the Uniform Parentage Act where support may be ordered.
- Parties holding life, health, automobile, or disability insurance for themselves or their children.
Terms To Know
- Temporary Restraining Order
- A court order that stops people from taking certain actions while a legal case is ongoing.
- Lapse for nonpayment
- When an insurance plan ends because the required fees were not paid on time.
Limits and Unknowns
- The new rules only apply to cases starting or active after January 1, 2027.
- The law applies specifically to insurance held for the benefit of parties and their children for whom support may be ordered.