So you’re under 26, your uninsured, maybe about to get kicked off your school’s insurance at graduation or you just got laid off from your new job and its employer provided insurance – no worries, with health care reform you can go back on your parents’ insurance plan (or stay on it) up to age 26. How will all of this work? And when does it kick in? Check out these FAQs and other resources on how health care reform impacts young people:
FAQs on Staying on Your Parents’ Plan up to age 26
One of the greatest provisions for young people in the health care bill is the ability to stay on your parents’ insurance plan until age 26. However, some people have questions about how that will work or whether it will cost their parents’ more money. But it’s actually pretty simple. Check out some frequently asked questions:
Q. Who is eligible for the age 26 provision?
The age 26 provision is eligible for young adults whose parents have insurance plans that provide dependent coverage for children (which most plans do). The health care reform bill requires any group health plan or plan in the individual market that provides dependent coverage for children to continue to make that coverage available up to age 26.
Q. When will this provision take effect?
Young adults under the age of 26 will be able to take advantage of this provision as of September 2010, six months after the enactment of the legislation (March 23, 2010).
Q. How much will this cost my parents?
Parents will simply be paying as they did when young people were on their plans previously, at a family plan rate. However, there may be slight rate increases for family plans due to the extra years in coverage.
Q. Does it matter what state I live in?
Many states have their own laws for dependent coverage so you should look to see what rules your state has. (State Health Access Reform Evaluation (SHARE) – To get information on dependent coverage laws in your state.). The new federal law establishes a minimum level of dependent coverage up to your 26th birthday. If your state law requires more coverage than the federal law, it is likely that the state law will still apply.
Click here to learn more about reform and what it means for you.