What Health Care Reform Means for Students and Young Adults

March 26, 2010, WASHINGTON – Recently, the House of Representatives approved health insurance reform legislation that aims to bring down the skyrocketing costs of health care.

“This bill will help young adults who are just starting out,” said Congressman Bart Gordon. “Students in college and recent graduates often find themselves in unpaid internships or at companies that do not offer affordable health insurance. This bill ensures that a traffic accident or appendicitis doesn’t put a young person on a path to financial ruin.”

Gordon encouraged Middle Tennessee students and young adults to learn how the bill will affect them. There are 63,000 young people in Gordon’s district who could benefit from policies in the bill, such as extensions of dependent coverage and new catastrophic coverage options.

If you are under 26 and do not have health insurance through an employer:

• Your parents will have the option of keeping you covered by their existing family policies as a dependent until age 26, as of September 2010.

If you are under 30 and do not have health insurance through an employer:

• The bill will establish new, inexpensive catastrophic insurance policies that offer protection in case of catastrophic health care costs.  These policies will meet the bill’s requirements about minimum coverage for individuals under 30.

If you are seeking health insurance as an individual at any age:

• Beginning in 2014, you may receive a tax cut to help you purchase your own insurance from the private sector. A family of four with an income of up to $88,200 would qualify for the credits.
• You will be able to purchase an insurance plan as an individual from private insurance companies competing in an exchange. Individuals participating in the exchange will receive group rates similar to those enjoyed by employees at large companies or members of unions.
• Because the bill will not create a government-run insurance program or public option, you will not be applying for government-run care.
• You will be able to choose from a menu of options from existing private insurance companies, similar to those available to Members of Congress through the Federal Employee Health Benefits Plan.