Can I Switch Insurance if My Spouse Gets a New Job?

If your spouse lands a new job, you may wonder if you can switch your health insurance to their new employer’s plan. The answer is usually yes – with some caveats around timing and enrollment periods.

Switching health coverage can potentially save you money on premiums and out-of-pocket costs. But the rules vary for changing policies during open enrollment vs. outside the normal period.

Below we’ll explore when and how you can switch to your spouse’s insurance if they change jobs.

When Can I Enroll in My Spouse’s New Work Plan?

You have a few options for switching to your spouse’s health insurance after they start a new job:

During open enrollment: Most employer health plans follow a calendar year schedule, with open enrollment starting in the fall for coverage beginning January 1. As long as the new job’s coverage also starts on January 1, you can simply drop your existing insurance and enroll in your spouse’s policy.

Special enrollment period: If your spouse’s new coverage takes effect at a different time, you may qualify for a “special enrollment period” to switch right away if you recently lost coverage. Getting married and having a baby also trigger special enrollment.

Life events: Certain circumstances like moving or losing your job allow you to drop coverage outside of open enrollment. You can use this as an opportunity to switch to your spouse’s insurance.

New hire waiting period: Your spouse may need to complete a waiting period before becoming eligible for health benefits. Once eligible, they can add you to their policy.

The optimal route will depend on your specific situation. Below we’ll explore these options in more detail.

Switching Coverage During Open Enrollment

The easiest way to switch insurance plans is by making the change during your regular open enrollment period. Here are some key things to know about changing coverage at this time:

• Most employer open enrollment periods run from November 1 through December 15 for the upcoming plan year starting January 1. However, your employer may follow a different schedule.

• Verify that both your existing health plan and your spouse’s new employer plan follow the same coverage period. If not, you may have to wait until they align.

• Review the new health plan’s costs, coverage details, provider network and prescription drug formulary to ensure it meets your needs. Does your doctor participate in the new plan? Are your medications covered?

• Inform your employer you will be terminating your coverage in their health plan at the end of the year and provide your spouse’s insurance details. No other action is required on your employer’s part.

• Your spouse simply needs to list you as a covered dependent when they enroll in their new company’s health plan.

With proper timing during open enrollment, switching your health insurance from your employer to your spouse’s new employer plan is typically seamless. Just be sure to meet all enrollment deadlines.

Special Enrollment Periods

If your spouse’s new health coverage starts on a different date than your employer’s plan, you may still qualify for a “special enrollment period” to switch right away under certain conditions.

Here are some common situations that can create a special enrollment period:

• New job: If your spouse is starting a new job, most group health plans allow the new employee to enroll immediately rather than waiting for open enrollment.

• Involuntary loss of coverage: If you lose your employer health coverage due to job loss, reduced hours, or expiration of COBRA, you can enroll in your spouse’s plan provided you do so within 30 days.

• Exhausting COBRA: When your COBRA continuation coverage ends, losing this coverage triggers a special enrollment period to switch plans.

• Moving: Relocating to a new ZIP code or county where your current health plan isn’t available can allow you to switch to your spouse’s policy right away.

• Marriage: Getting married entitles you to enroll in your new spouse’s employer health plan outside the normal open enrollment period.

• Having a baby: You can add a newborn or adopted child to your spouse’s health insurance immediately rather than waiting for open enrollment.

• Court order: If you gain custody or are required to provide coverage for a dependent per a court order, you can add them to your spouse’s plan quickly.

Each special enrollment situation has specific time limits, such as 30 or 60 days to make changes. You also must provide documentation like a marriage or birth certificate. But special enrollment gives you a way to switch insurance sooner if circumstances require it.

Changing Coverage After Losing Your Job

Losing your job-based health benefits is considered a qualifying event that opens up special enrollment opportunities. So if you or your spouse leaves a job, you can make coverage changes right away rather than waiting for open enrollment.

Here are some key steps if you want to switch to your spouse’s plan after losing your employment:

• Notify your former employer so they terminate your coverage properly on the date your employment ended.

• Consider electing COBRA temporary continuation coverage which can protect you during any gaps between jobs.

• Alert your spouse’s employer that you lost coverage so they can add you to their policy. Provide documentation showing your prior coverage termination date.

• Submit your special enrollment request promptly within the 60 day window because delays can jeopardize your ability to enroll.

• Make sure to provide accurate information when filling out new plan enrollment forms to avoid issues.

Also keep in mind that if your spouse leaves their job, you will likely lose coverage under their employer plan. This gives you a special enrollment opportunity as well to find alternate coverage.

Waiting Out Initial Waiting Periods

Many employer health plans impose a waiting or probationary period before new employees become eligible for benefits. These waiting periods are usually 30, 60 or 90 days.

If your spouse must complete an initial waiting period at their new job before gaining health plan eligibility, here are some options to bridge the gap in coverage:

• Consider sticking with your current employer insurance during the waiting period, then switching at the next open enrollment.

• Find a short-term insurance policy that covers you temporarily for a month or two until your spouse’s coverage kicks in.

• Extend your prior employer coverage for up to 18 months under COBRA while you wait to become eligible under your spouse’s policy once the waiting period ends.

• Enroll in a 30-60 day short term health insurance policy until your spouse can add you to their employer plan. This can be cheaper than COBRA but provides limited benefits.

• Go without coverage temporarily knowing you can enroll in your spouse’s plan once the waiting period is over. But this risks paying out-of-pocket if medical issues arise.

While waiting periods can be frustrating, taking advantage of short-term coverage options or COBRA allows you to switch plans without gaps in health benefits.

Adding a Spouse to New Employment Coverage

Once your spouse completes any probationary periods with their new employer and becomes eligible for health benefits, they can enroll and add you as a covered dependent.

Here are some tips for getting signed up:

• Make sure your spouse submits a completed enrollment form listing you as their spouse within the specified timeframe, usually 30 days. Most employers will not cover you retroactively if you miss enrollment deadlines.

• Double check that the new health plan covers spouses. A small percentage of employers exclude them.

• Provide documentation such as a marriage license, tax returns, or utility bills showing you are your spouse’s legal spouse.

• Be prepared to submit a special enrollment form requesting coverage within 30 days if your spouse originally waived benefits but wants to add you later.

• Add any other eligible dependents like children when your spouse enrolls to get the entire family covered.

Following these steps will help ensure you and your spouse take advantage of new employer health benefits in a timely manner.

The Bottom Line

If your spouse takes a new job, you most likely have opportunities to switch your health insurance coverage to their employer’s group plan. This can provide savings and better benefits in many cases. Pay close attention to the timing of coverage periods and qualifying events to smoothly transition without any gaps in coverage.

While each situation is unique, keeping these key enrollment and eligibility rules in mind allows you to make smart choices if your spouse gains new employment. Discussing options with both your spouse’s employer and your own will help you select the best health benefits for your family.