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A recently signed bill was passed to include provisions for health insurance for dependents under the age of 26. This bill allows young adults to remain on their parent's health plan until they reach the age of 26. Most health plans drop dependents from healthcare coverage when they graduate from college or turn 19. The government has recently released information about how this new bill will work. If your current health care plan covers dependents the new rules will begin to apply to your case on or after September the 23rd 2010. The new rule allows the policyholder's dependents to remain covered to the age of 26 as long as they are not eligible to a plan sponsored by an employer. If the dependent was dropped previous to the new rule, they can re-enlist if they aren't eligible to an employer sponsored plan. The dependent doesn't have to live with their parents and they don't need to be listed as dependents on their parent's tax return. Dependents are given a period of 30 days to decide whether or not they desire to enroll. To date, only 65 insurance companies are allowing students who have graduated from college to stay on their parent's health plans. If your health plan doesn't allow coverage of dependents this means you won't have to cover your children until the beginning of 2014. Children can re-enlist if they don't have any employer sponsored plan until then. According to NYT estimated projected costs for each new enrollee are $3,380 in 2011, $3,500 in 2012 and $3,690 in 2013. The White House also revealed some serious statistics: more than 30% of young adults have no insurance. Living without any insurance is extremely risky and this new law may offer many young adults the luxury of having an affordable health insurance plan they may not have been able to afford before the new law. Living uninsured is akin to being on a ship without a life jacket, the chances you'll need one are slim, but being safe is always better than being sorry.
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