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Health Insurance In An Unmarried Relationship

Thanks to the gay rights movement and theconcerned that domestic partner benefits will
increase of both unmarried heterosexual anddrive up costs. For example, it's possible
homosexual couples living together throughoutthat the less-expensive HMO may raise
Texas and the United States, the workplaceobjections, while the more expensive
trend toward domestic-partner benefits isPreferred Provider Organization (PPO) or the
improving the lives of many committedtraditional indemnity plan may not. If you
couples, regardless of sexual orientation orhave questions about your plan, talk to your
marital  status.human resources department or call the
insurer  directly.
As of March 1, 2006, only 49 percent of the
Fortune 500, 78 percent of the Fortune 100Share  the  power
largest corporations, and a small percentage
other, smaller businesses, organizations andIf you're the partner holding the policy, it
educational and government entities offereddoesn't necessarily mean you can make any
health benefits to employees' domestichealth care decisions for your significant
partners, according to a recent study by theother if or when he/she is unable to make
Human  Rights  Campaign  Foundation.them. Married couples have much broader
rights. A healthcare power of attorney can
And while it's true that the number ofovercome what could be a big issue in an
companies involved is relatively small, thereemergency. It has nothing to do with money.
are some very large employers, such as theIt simply allows the person you designate -
Big Three automakers, who have jumped on thein this case, your partner - to make medical
bandwagon. The number of individuals affecteddecisions on your behalf if you are unable.
also is limited, but the unmarriedIt also can ensure that if you become ill,
couple-count is on the rise and manyyour partner will be able to visit while
unmarried households include children whoyou're in the hospital. The document, which
could be important beneficiaries ofshould be prepared by an attorney, can also
domestic-partner  health  insurance.specify the names of physicians and limit the
use of life-extending procedures. But it
If your employer or your partner's employerdoesn't have to be that complicated. Keep the
offers domestic partner benefits, here arecompleted document someplace, other than a
some  things  to consider before you sign up:safety deposit box, so it is accessible when
you  need  it  most.
Follow  the  Rules
It's  Over  and  You're  Moving  On.
Most companies require that your significant
other be 18 or older, not related to you byMost employer-sponsored group policies
blood or married to someone else. You andrequire that you inform the company
your partner must live in the same permanentimmediately if your living situation changes.
residence in an exclusive, emotionallyA recent federal court decision left open the
committed, financially responsiblepossibility that COBRA could cover domestic
relationship, similar to marriage. You may bepartners. COBRA is the Consolidated Omnibus
required to show you share a lease or aBudget Reconciliation Act - federal
mortgage, an insurance policy, utility bills,legislation that requires many businesses to
a  joint  checking  account,  etc.keep former employees and their dependents on
the group health plan for a limited period.
The  Taxing  SituationCOBRA regulations allow a divorcing spouse to
keep the estranged spouse's insurance for up
While the IRS allows the cost of healthto 18 months. The federal court decision said
benefits for married spouses and dependentsthis didn't specifically exclude domestic
to be tax deductible, it hasn't yet given thepartners. But the likelihood an unmarried
same rights to unmarried couples. So thepartner will be able to claim COBRA is slim.
amount of money that your employer pays forThat means that the partner could be left
health insurance for an unmarried partner andwithout his or her own insurance with little
any children will be included as taxableor  no  notice.
income  on  your  W-2.
With only 49 percent of Fortune 500 companies
Insurers  May  Not  Agreeand an even smaller percentage of small
businesses offering health benefits to
While your company may be willing to pay foremployees' domestic partners, this still
these benefits, not all health insuranceleaves a large majority of unmarried couples
companies whose plans are available to anwith possibly one individual in the
employee may agree. Some insurers arerelationship uninsured.



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