After divorce is final, I will be receiving a refund check from the homeowners insurance company

[Emily Wells]

Jurisdiction

Alabama

Hello all! I hope I'm putting this question in the right category. My divorce was final in March 2021. My ex-husband recently decided to switch homeowners insurance companies, and it is my understanding that the renewal for his original policy was already paid out of escrow. The old insurance company is mailing a refund check for a little over $2000. at the time the policy was initiated in 2018, we were still married. I was listed as primary mainly because I was the one who did all the legwork, got the policy started, etc. This refund check will be coming to me, and it is not a two party check… It is made payable to me only.

when this check arrives, am I legally responsible for giving him any portion of it? Our divorce was fairly cut and dry, and I went over the settlement agreement last night looking for something relating to this. The only thing I found relating to the house was that he was going to keep it. It didn't mention anything about insurance policy proceeds or anything of that nature.

 

[mightymoose]

Given that the divorce is final and the matter was not specifically addressed, I would expect you are not obligated to share it.
If he believes that you are then it is up to him to take action to obtain it.
If he is already raising the issue it will likely be easiest for you to simply share it and be done with it.

 

[PayrollHRGuy]

I have to disagree with mightymoose.

As mentioned in your other post some percentage is likely owed to your ex because he was awarded the house in the settlement. The amount will depend on the timing and what was in your divorce decree.

 

[adjusterjack]

I was listed as primary

There is no primary or secondary on an insurance policy. There is only "Named Insureds" who are equal parties to the contract regardless of the order in which they are named.

Legally, you owe him half. Maybe even all of it since he got to keep the house. Had it been a claim check for damage yet to be repaired he would have been entitled to all of it in order to repair the house.

The insurance company should have made the check payable to both of you. That mistake doesn't change the fact that you are both equally entitled to any proceeds of the policy in the absence of any agreement to the contrary.

If you want to keep it, keep it. That's up to you.

 

[adjusterjack]

You wrote the following on the other site:

A couple months ago when he decided to change companies, I had to fill out the paperwork and E sign the documents to get my name removed from the policy. that's when they told me that I was the primary on the policy.

Who is "they"? Your agent? I have found that many insurance agents barely know the names of the policies that they sell. There is no such differentiation in the policy.


Again, in the absence of an agreement as to who gets what, the refund belongs to each of you equally.

 

[Red Kayak]

the renewal for his original policy was already paid out of escrow

Was the renewal paid before or after the divorce was finalized?

If the renewal was paid after the divorce was finalized, then ALL of it should go to him. After all, he got the house, and the time to argue about the money in the escrow account is before the divorce is finalized.

If the renewal was paid before the divorce was finalized, then 50/50 seems reasonable.