Del. Norton Introduces Bill Requiring Health Insurers to Directly Reimburse Divorced Parents for Children's Medical Expenses

WASHINGTON, June 1 -- Del. Eleanor Holmes Norton, D-D.C., issued the following news release on May 31, 2022:

Congresswoman Eleanor Holmes Norton (D-DC) today introduced the Ensuring Child Health Coverage Compensation in Divorce Act, which would require all health insurers to directly reimburse a divorced parent who pays for reimbursable out-of-pocket medical expenses. In a divorce, one parent typically is court-ordered to provide health insurance for a child, but the other parent may pay for reimbursable out-of-pocket medical expenses. Under the Employee Retirement Income Security Act of 1974, group health insurers are required to directly reimburse the parent who pays for reimbursable out-of-pocket medical expenses. However, other health insurers are not required to do so. This issue was raised by one of Norton's constituents.

"Families facing divorce are experiencing significant hardship," Norton said. "My bill would ensure that children are getting necessary medical care while easing administrative burdens on families."

Norton's introductory statement follows.

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Statement of Congresswoman Eleanor Holmes Norton on the Introduction of the Ensuring Child Health Coverage Compensation in Divorce Act of 2022

May 31, 2022

Today, I introduce the Ensuring Child Health Coverage Compensation in Divorce Act of 2022. This bill would require that when a court directs a non-custodial parent (including a stepparent) to provide health insurance for a child, the other parent can get reimbursed directly from the insurer for any out-of-pocket medical expenses for the child incurred by such parent, regardless of the source of insurance.

In a divorce, one parent is typically court-ordered to provide health insurance for the child to prevent the child from being uninsured. However, the other parent may pay for out-of-pocket medical expenses for the child that are reimbursable by the insurer. Under the Employee Retirement Income Security Act of 1974, group health insurers are required to directly reimburse a parent who pays for reimbursable out-of-pocket medical expenses when the other parent has been court-ordered to provide health insurance for the child. However, other health insurers are not required to directly reimburse the other parent.

This bill would provide the same requirements for all health insurers to ensure that the parent who pays for the out-of-pocket medical expenses is reimbursed.

I strongly urge my colleagues to support this bill.