Health insurance for children of divorced parents in Wyoming

Both of the divorced parents of a Wyoming child may be required to provide health insurance coverage.

Whenever a court enters a child support order, it is also required make orders regarding the medical support of those children.

Medical Support of Minor Children

Health insurance coverage is one part of medical support, and cash medical support is the other part. Medical support generally includes paying for medical, dental, optical and orthodontia expenses. It can also include other things, such as counseling, and occupational and physical therapy, if the child needs such care.

Health Insurance Coverage

Under Wyoming law, a Court shall require that “one (1) or both parents shall provide insurance coverage for the children if insurance can be obtained at a reasonable cost and the benefits under the insurance policy are accessible to the children.” Once again, this means health insurance coverage, and dental and vision coverage, at the very least.

The questions then become:

  1. What is “a reasonable cost” for health insurance?, and
  2. When are the benefits of the insurance policy “accessible” to the children?

Fortunately, the Wyoming legislature has defined both of those terms for use.

Reasonable Cost

Reasonable cost means the cost to provide health care coverage is no more than five percent (5%) of the providing party’s income (WS 20-2406(a)(xiii). This is 5% of gross income.  Before taxes, and other deductions.  Therefore, if you work forty hour weeks at $9/per hour (grossing $1,560 per month), and the insurance coverage for your children costs $78 per month or less, then you must buy that insurance coverage.

If both parents can obtain insurance coverage for a reasonable cost, then both parents will have to get insurance for the kids. The two insurance companies will figure out which will be the “primary” and which will be “secondary.” In either case, both parents will be better off, because with double coverage, there will be fewer out of pocket costs.

Accessibility

“Accessible” means the health care insurance plan is available and provides coverage for the child residing within the geographic area covered by the insurance plan.

This means that if you can buy insurance coverage through your employer for less than 5% of your income, but then you must buy the coverage.

It also means that you buy coverage through your new wife or husband’s employer your employer for less than 5% of your income,  then you must also buy the coverage.  However, if you work in Wyoming and your child lives in Hawaii, and your employer’s insurance provider only covers children that reside in Wyoming, then you do not have to buy the coverage.

Conclusion

There are several situations where both parents can be ordered to provided health insurance coverage for their minor child.

Therefore, if you can get health insurance coverage for your children at less than 5% of your gross income, then buy it.

By Steve Harton