In Florida, there are many different things that are a part of the divorce agreement beyond just custody and property division. One key area that people need to consider is life insurance. Instead of using a standard approach that many use, parties to a divorce should consider their own specific situation and what may happen years in the future.
The most obvious issue with life insurance is how much coverage is necessary. This is not always an easy question to answer since spouses need to have an idea of the expenses necessary for raising the children. Other costs such as college tuition are also difficult to forecast. These same considerations are present when the divorce agreement provides for alimony.
Moreover, the insured’s health condition may change for the worse in the future. Even if they remain healthy, the cost of the premiums may escalate dramatically as time passes because life insurance costs more when someone ages. This could mean that the spouse may not be able to afford the required coverage in the future or it could be burdensome to maintain that constant level of coverage. These are things that people may not think about when they are in the midst of divorce along with the changes it means in their lives.
A divorce attorney’s role is to help keep their client aware of details such as this and the ramifications that they could have in the future. They may suggest various solutions to their client that could help provide insurance in a flexible way that accounts for future contingencies. Life insurance is not always the easiest thing for the average person to understand, especially how it works in tandem with a divorce and future financial arrangements.