Ohio couples normally have a multitude of insurance policies these days. Auto insurance, homeowners insurance, renters insurance, life insurance and health insurance are some of the most popular. Separating those policies is an important part of the settlement process in a collaborative divorce.

Not handling these policies correctly, or forgetting to deal with one at all, can cause problems later. For example, if an ex-spouse is still unintentionally the beneficiary of a life insurance policy, and the policy holder passes away, the policy's proceeds would be distributed according to the beneficiary designation and against the policy holder's likely wishes. Forgetting to remove an ex-spouse from your health insurance plan can also create headaches for everyone.

Knowing how to deal with each type of policy is important. Spouses will need to decide, now that they are again single, perhaps with children, what their insurance needs are. In some cases, a spouse who needs assistance in meeting certain insurance payments may be able to work out an arrangement where those costs are addressed as part of an alimony settlement.

Taking care of these details with precision leaves more time and energy to deal with other issues involved in a collaborative divorce, such as property division and, for parents, child custody. But working through the array of a couple's insurance policies is an essential part of the divorce process, and an Ohio couple intent on having an amicable divorce will appreciate making sure that nothing will come up later that has the potential to cause discord.

Source: Reuters, "How to untangle your insurance plans in divorce," Geoff Williams, Sept. 11, 2012