Can You Cancel or Change Your Insurance During Divorce?
The short answer is NO, do not ever change your insurance during a divorce. The courts prohibit it and changing insurance without court approval will be very detrimental to your case. It is understandable for spouses to start wondering about insurance policies after they separate and file for divorce. Certainly after divorce is final, they need to make appropriate changes. They may have to decide which spouse's group health insurance should cover the children, whether to change beneficiaries on a life insurance policy, or how to modify car insurance. Homeowner's and renter's insurance are other concerns. Divorce alters lifestyles and makes adjustments necessary. Yet, to be safe during divorce, spouses should discuss any ideas about changing insurance with a Texas divorce lawyer before doing anything, or otherwise put their ideas on hold. In many counties, the court will issue Temporary Restraining Orders and, later, Temporary Injunctions, that prohibit changing many things, including insurance.
Legal restraints in Montgomery County, Texas
While the divorce case is in progress, residents filing for divorce in Montgomery County must abide by the Montgomery County Standing Order. Under this order the courts prohibit either spouse from the doing the following regarding insurance:
- Withdrawing or borrowing against the surrender value of life insurance policies unless their actions fall under activities authorized by the standing order
- Changing children or the other spouse as beneficiaries or altering such terms on life insurance
- Changing or canceling casualty, automobile, or health insurance policies regarding marital property, persons, or children
The court’s view on resolving insurance and other issues Ideally, divorcing couples can work together for the best interests of the family. What to do about insurance policies should involve input from both sides. Often couples working out disagreements through mediation or other dispute resolution methods address and resolve ways for insurance to benefit all parties, including the children. The courts encourage parties to settle their conflicts whenever possible without court intervention. Contact a Texas divorce attorney for legal help with divorce.