Rock the Vote Prez & HHS Secretary Talk Health Care for Young Adults

Submitted by Vinti Singh on May 12, 2010 - 3:53pm
PrintPrintEmailEmail
Speaker Pelosi et al announce a key provision impacting young adults in health

American children who have health insurance through their family plan will be able to stay on as dependents until their 26th birthday, under the expansion of the health care bill.
 
Rock the Vote President Heather Smith and U.S. Department of Health and Human Services Secretary Kathleen Sebelius discussed the nuances of the provision Tuesday in a live web chat sponsored by HHS, the seventh in a series on health reform. YPNation brings you the highlights here.
 
The provision becomes mandatory on Sept. 23, exactly six months after President Barack Obama signed the bill, and all companies will be required to hold an open enrollment that month so young adults can reenroll.
 
But many kids will graduate from college in May, Sebelius said yesterday during the Webcast, and may have to spend three or four months without coverage. So she reached out to insurance companies to see if they might consider early implementation.
 
“The response has been very good,” Sebelius said. “Sixty-five of the major insurance companies…said we think this is a good idea too…So if you’re looking at a college graduation in May, you don’t have to be uninsured and then reinsured.”
 
Insurance companies benefit because they save on the administrative costs of dropping someone and adding them later, Smith added.
 
Smith suggested adult children contact their insurance company directly to see if they are are participating in early implementation, and if they are not, to advocate that they do.
 
In addition:

  • The law prohibits insurance companies from tacking on a surcharge for 21- to 26 year-old dependents, Sebelius said.
  • Any adult child under 26 can return to the plan, regardless of their marital status, education status and how long they have been unenrolled.
  • Students can drop their student plan and come back on their parents’ plan.
  • Although the law redefines what dependent coverage means, it does not require companies to offer coverage for families, Sebelius said.

Some people may be concerned that adding so many people to the insurance pool will drive costs up, said Jenny Backus, acting assistant secretary for public affairs for HHS and the Webcast's moderator. But insurance premiums are expected to rise less than one percent as a result of adding this population, Sebelius said. In fact, the 21- to 26 year-old age group tends to be healthier than their 55-year-old or 75-year-old counterparts. So the risk is spread over a greater pool for a lesser price.
 
Young adults, age 18 to 29, are currently the most underinsured group of people in this country. Nearly half are struggling to pay medical bills and one in six has a chronic disease, Smith said.
 
Smith credited the provision to young people's participation in campaigning for health care reform. Because of their involvement the expanded health care bill addresses their needs, she said. 
 
Watch the Web chat:
 

 
(Photo caption: Speaker Pelosi and Reps. Chris Van Hollen and Kathy Dahlkemper joined a coalition of 20 youth organizations from 30 states to announce a key provision impacting young adults in health insurance reform legislation. Krisja Hendricks from New York spoke at the press conference; Creative Commons license.)
 
Read more from YPNation on health care reform.