If you are the non-custodial parent (the parent who pays child support and who has visitation), then under Texas law, you are responsible for paying for your child or children’s health care premiums. However, the insurance coverage cost is deducted from your net income before calculating the percentage for child support.
Are there limitations on how much you pay for health care?
Yes. The law creates a limitation on the amount of a non-custodial parent’s income that may be ordered paid for health insurance premiums. The limitation is set at 9% of your net income based on the premium being a “reasonable cost” for insurance.
How does health care coverage relate to parents whose employers provide coverage?
If you are the custodial parent and your employer provides health care coverage and the amount is a “reasonable cost,” then the court will order you to provide for your child’s coverage.
If your employer doesn’t provide coverage, but the custodial parent’s employer does, at a “reasonable cost,” then the court will order you to reimburse the other parent for the health insurance coverage for the child.
How does health coverage work when you have more than one child to cover?
For example, if more than one child is being covered on the dependent coverage, then the cost of the premium shall be divided by the number of children covered. The court only assesses the cost to the non-custodial parent for the children being addressed before the court in the child support case.
Are there any other factors that figure into paying for health care insurance?
The allocation of unreimbursed medical expenses is also made — usually 50/50 — but that can also vary based on the disproportionate earnings of the parties.
Our attorneys at C.E. Borman & Associatescan help you make important decisions about child support and calculating health care coverage.