Health Insurance Check-Up
How to make sure you have the coverage you need
By Roxanne M. Poon, RN, BS, CPHQ
While you may be young and healthy, an accident, sports injury, the consequence of risky behavior, or a serious illness could change that and lead to an unnecessary financial burden if you are uninsured. In addition, being uninsured may cause you not to seek health care when you need it, and when you do access care, it may be at a very high cost. According to a study in 2008 by the U.S. Government Accountability Office (GAO), approximately 20% of students aged 18 to 23 (1.7 million) were uninsured in 2006.
There have been many efforts to reduce the number of uninsured college students. Some colleges (30% nationwide, according to American College Health Association) require their students to have health insurance. Other colleges have joined together to purchase health insurance, increasing the availability for their students. Some states have implemented health insurance requirements for college students, or expanded dependents eligibility for private insurance plans beyond 18 years of age if attending college full time.
Let’s look at your options:
College- or University-sponsored plan: A college plan can be a good low-cost source of coverage, which meets the needs of its student population by providing for preventive health care (flu shots, immunizations, and the such), as well as mental health care and prescriptions. These plans often vary school and/or location.
Parent’s Health Coverage Plan: This is one option. The 2010 Health Care Reform has made it an even better option. Under the Patient Protection and Affordable Care Act, you are able to stay on your parents’ plan up to age 26 unless you are eligible for health coverage through your employer. However, you do need to be aware of any stipulations or limitations as to where you may go to get care or treatment. Because many students attend college far from home, the student may be outside of the coverage area for the parents’ plan. Coverage may not even be possible or there may be limited access to services and/or much higher co-pays.
Miriam Brown, a student at St. Olaf College in Northfield College is on her parents’ insurance. “I got very sick when I was out-of-state,” she says. “But I was fortunately on a ‘guest plan’ that extended my parents’ coverage to my state. I recommend this for students because then they get the benefit of their parents’ care without having to be in the same region as they are.”
Employer-sponsored plan: If you have a job, you may be eligible for health insurance, even if you don’t work full time. Some employers allow coverage if the employee works at least 20 hours a week.
COBRA: This is a short term option that allows an extension of coverage. Under COBRA, you as a dependent child can continue coverage for 36 months after you become ineligible. Although you will need to pay a portion of the health insurance premium, this can help fill the gap between the time after graduation and before you get a full time job.
Do your research. Talk to your parents. Know the conditions of your plan, specifically your deductible, any required co-pays, out-of-pocket limits, and your maximum coverage.
Be prepared. Health insurance is a tool to help keep you well and prevent a potential financial catastrophe that could affect your credit rating and even future employment long after your student debts are paid.
ROXANNE M. POON IS A REGISTERED NURSE WHO WORKS AS A QUALITY IMPROVEMENT SPECIALIST AT A MAJOR TEACHING HOSPITAL IN NEW JERSEY.
Find Out More
Click for more on health insurance options from HealthCare.gov.
Click for more on student health insurance options from YoungInvincibles.org.