2008 Woodie Awards
Resolution to help dependent young adults with insurance
MELISSA WEINMAN
Issue date: 4/1/08 Section: Variety
Graduating seniors have a lot on their plates - finding a job, moving and getting a new health insurance plan, among other things.
Some legislators propose reducing stress by allowing graduates to remain on their parents' insurance plan until age 25.
A committee from the National Conference of Insurance Legislators composed a resolution, which proposes extending dependent health benefits for young adults. NCOIL is a committee that began to encourage state legislators to solve insurance problems within their jurisdictions.
"This is an incremental measure that many state legislatures are considering as a means of reducing the number of uninsured in their respective states," Jordan Estey, a staff member of the conference, said in an e-mail.
Traditionally, dependents, or those who often receive benefits from a parent's health insurance plan, are no longer covered when they turn 19. Some plans allow students to remain covered until they graduate.
"Most people are insured through their employers (or their spouse or parent's employer); employers typically exclude coverage of adult children unless they are enrolled in school," said Monica Gaughan, assistant professor in the department of health policy and management.
But young adults, ages 19 to 34, are the largest and fastest growing group of uninsured.
The Commonwealth Fund reported there were nearly 14 million uninsured young adults in 2006, up 2.5 million since 2000.
The cost of health insurance premiums have risen over the past few years, making buying a new plan unappealing to many young adults whose employers may not offer benefits.
"The medical price index is substantially higher than the consumer price index, which means that the cost of health care is increasing in price at a faster rate than the rest of the economy," Gaughan said.
So far, 17 states have passed laws extending coverage for young adults, but Georgia is not one of them.
The resolution, initially brought before legislators Feb. 29, was, "deferred until the summer meeting" Estey said, because of "concerns it could potentially drive up costs, it's something our legislators want to look at. As of right now, [the conference] does not have an official position on the issue."
Gaughan said though it has disadvantages, a high deductible health insurance plan is recommended for recent graduates. These plans have lower premiums, or general fees, but require users to pay a larger portion of their medical bills.
"If the graduate works for an organization that offers employer sponsor health insurance, then he or she should definitely participate in the plan," Gaughan said.
Some legislators propose reducing stress by allowing graduates to remain on their parents' insurance plan until age 25.
A committee from the National Conference of Insurance Legislators composed a resolution, which proposes extending dependent health benefits for young adults. NCOIL is a committee that began to encourage state legislators to solve insurance problems within their jurisdictions.
"This is an incremental measure that many state legislatures are considering as a means of reducing the number of uninsured in their respective states," Jordan Estey, a staff member of the conference, said in an e-mail.
Traditionally, dependents, or those who often receive benefits from a parent's health insurance plan, are no longer covered when they turn 19. Some plans allow students to remain covered until they graduate.
"Most people are insured through their employers (or their spouse or parent's employer); employers typically exclude coverage of adult children unless they are enrolled in school," said Monica Gaughan, assistant professor in the department of health policy and management.
But young adults, ages 19 to 34, are the largest and fastest growing group of uninsured.
The Commonwealth Fund reported there were nearly 14 million uninsured young adults in 2006, up 2.5 million since 2000.
The cost of health insurance premiums have risen over the past few years, making buying a new plan unappealing to many young adults whose employers may not offer benefits.
"The medical price index is substantially higher than the consumer price index, which means that the cost of health care is increasing in price at a faster rate than the rest of the economy," Gaughan said.
So far, 17 states have passed laws extending coverage for young adults, but Georgia is not one of them.
The resolution, initially brought before legislators Feb. 29, was, "deferred until the summer meeting" Estey said, because of "concerns it could potentially drive up costs, it's something our legislators want to look at. As of right now, [the conference] does not have an official position on the issue."
Gaughan said though it has disadvantages, a high deductible health insurance plan is recommended for recent graduates. These plans have lower premiums, or general fees, but require users to pay a larger portion of their medical bills.
"If the graduate works for an organization that offers employer sponsor health insurance, then he or she should definitely participate in the plan," Gaughan said.
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