Domestic Partners Insurance Rules

Many states have domestic partnership laws for how insurance companies can treat domestic partners. In states that have no such laws, city and county governments sometimes establish domestic partner registries and some set related rules for insurance companies operating in the area. Most insurance companies recognize that employers often offer benefits to domestic partners regardless of the jurisdiction in which a partner works and set their own rules in areas where no local law is in place.

Definition

• Exact definitions change depending on the locality, but most states and municipalities define domestic partners as two consenting adults not married or partnered with anyone else, not related by blood (usually no closer than second cousin), and sharing a living space. Some localities require domestic partners to prove that they share living expenses or only allow same-sex couples and those over 65 to register. Most insurance companies, in addition to local requirements, ask domestic partners to show evidence of cohabitation, shared expenses and monogamy.

State Rules

• The states offering comprehensive domestic partnership rights (California, Oregon, New Jersey and Washington) require all insurance companies that offer joint policies to married couples to offer identical joint policies to registered domestic partners. Domestic partners can deduct the cost of insurance from their state tax returns (though because the federal government does not recognize domestic partnerships, insurance premiums cannot be deducted from federal returns).

Recognition, Health and Insurance

• The fight for domestic partnerships and other forms of legal recognition, other than marriage, for partnerships usually begins with rights revolving around health. In most areas that recognize domestic partnerships, the first rights offered (or the rights considered "basic") are hospital visitation rights, next-of-kin rights, inheritance and joint filing on insurance and state tax forms.

Employers

• Many employers -- including most Fortune 500 companies, many universities and government agencies -- offer health insurance benefits to domestic partners. The exact rules and regulations change depending on the company and local factors (such as company headquarters and employee location), but most employers simply offer identical plans to couples that meet the conditions of the plan's domestic partner definition.

Private Policies

• Most insurance companies offer plans to domestic partners who seek coverage outside of an employer-based group plan, regardless of the couple's location. Plans are typically identical to those offered to married couples in everything except the initial conditions that a couple must meet to qualify. Even if you are self-employed in a state that expressly bans recognition of domestic partnerships, you can privately file jointly for a plan with a national insurance company. You will have to meet the company's conditions to be considered as domestic partners, and the plan will be more expensive, as you cannot deduct it from taxes.