The next part of the Affordable Care Act goes into affect today, Thursday, September 23, 2010. Now, it is possible for young adults to be covered under their parent’s health insurance policy. This is the next step in a series of upcoming changes to health insurance that will be slowly rolled out between now, and 2014.
Previously, we saw the Pre-Existing Condition Insurance Plan (PCIP) That part of the plan was designed for people who had been refused health insurance coverage by a private insurance company specifically because that person had a pre-existing condition. One purpose of the Affordable Care Act is to create, or provide, quality health care for all Americans, at an affordable cost. Another purpose is to set up regulations that prevent insurance companies from treating their customers in certain ways.
The newest part of the Affordable Care Act provides health insurance coverage to young adults who are under the age of 26. This group can now be covered under their parent’s health insurance plans. Of course, this means that the parents must currently have health insurance, and that their health insurance policy must cover children. It seems to me that young adults who are under the age of 26, whose parents lack health insurance, are out of luck. Considering how many Americans are without any form of health insurance right now, I don’t think this new part of the Affordable Care Act will be able to help all young adults to get health insurance coverage. But, it will allow at least some of this group to be covered, so it is a step in the right direction.
Young adults under age 26 can either join their parent’s health insurance plan now, or can remain on it if they were already covered. It does not matter if the young adult is single, or if he or she is married. The young adult does not need to be living with his parents, or financially dependent upon them in order to qualify for this plan. All that is required is that the young adult is an American citizen, is under the age of 26, and is fortunate enough to have parent’s who not only have health insurance, but also have the kind of policy that covers their children.
Right now, private insurance companies are not required to offer this kind of health insurance to young adults through their parent’s policy if the young adult is able to get their own health insurance. Specifically, this means that if the young adult is able to get health insurance through his or her job, then he or she is not eligible to be covered by their parent’s health insurance plan. This is expected to change in 2014.
Image by Mykl Roventine on Flickr