New health care law for adult children?

[SuzyQue]

Originally Posted by SuzyQue View Post
I too was thrilled to hear this when it went into effect as I have a 24 year old daughter graduated from college with no job insurance. But my husband is retired from Chrysler and they seem to be going against everything the Health Care Reform Act is saying. They say she has to be living at home (ok), unmarried (ok), and we have to be able to claim her on our income tax which we can't because she is too old, and that's why she was taken off our policy to begin with. Anyone else running into this brick wall?

This is all wrong.......26 or younger and are not required to be a student or tax dependent.

Exactly. When I call the union rep they just "read" the same information that was in the pamphlet they sent, but can't answer as to why. I've read over and over about it online, Dept. of Treasury Patient Rights, Federal Register/Vol. 75, No. 92, and all the info on the US Dept. of Health & Human services site, and I can't find anywhere that it says, employers can continue to enforce their previous requirements, which is exactly what they are doing. I even called the IRS to see if there would be any changes in the age of qualify dependents so I could claim her for insurance purposes (not for a deduction) but they didn't think there were any changes.

 

[disfan07]

If the compnay offers coverage for dependents, you're adult child can stay on the insurance until they are 26. They can be in or out of school, married or unmarried, other insurance or no insurance (this depends on the compnay and isurance though i think). If they are married and have a child, the child can also be on the insurance but their spouse cannot.

This is one of the best things that has happened. It gives me another 5 years on the insurance (which is great because i am considered uninsurable by individual plans and we have no idea what the heck we are going to do when that really becomes an issue) and my brother who turned 24 last august did not find a job so he went back to school and this meant that my parents did not have to pay for individual insurance or cobra. He has another 1 1/2 years left on my dads insurance.

 

[daughtersrus]

Exactly. When I call the union rep they just "read" the same information that was in the pamphlet they sent, but can't answer as to why. I've read over and over about it online, Dept. of Treasury Patient Rights, Federal Register/Vol. 75, No. 92, and all the info on the US Dept. of Health & Human services site, and I can't find anywhere that it says, employers can continue to enforce their previous requirements, which is exactly what they are doing. I even called the IRS to see if there would be any changes in the age of qualify dependents so I could claim her for insurance purposes (not for a deduction) but they didn't think there were any changes.

If the compnay offers coverage for dependents, you're adult child can stay on the insurance until they are 26. They can be in or out of school, married or unmarried, other insurance or no insurance (this depends on the compnay and isurance though i think). If they are married and have a child, the child can also be on the insurance but their spouse cannot.

I just got off the phone with the State Board of Insurance. Our plan does not have to abide by the law because they are self-funded/self-insured. My DD#1 is under 26yo but because her employer offers coverage, she is not able to be part the plan that DH gets through his union.

Many government and union plans are self-funded so I would check and be sure. That could be the reason that so many people are getting different answers.

 

[3boymthr]

Keep in mind that many of the laws' provisions, including this one, don't take effect until the plan's anniversary date, following the effective date of the change in the law. This provision went into effect in September so depending upon when your plan renews you may have to wait until August in order to be able to add on your dependent.

 

[Mommee]

I too was thrilled to hear this when it went into effect as I have a 24 year old daughter graduated from college with no job insurance. But my husband is retired from Chrysler and they seem to be going against everything the Health Care Reform Act is saying. They say she has to be living at home (ok), unmarried (ok), and we have to be able to claim her on our income tax which we can't because she is too old, and that's why she was taken off our policy to begin with. Anyone else running into this brick wall?

Dh works for one of the Big Three. The information we got in the mail said that we need to be aware that there was no change in what is considered a dependent. My guess is that because they had restrictions in place already, they get to keep them.

 

[scbelleatheart]

It was cheaper for us to put our 2 on individual policies similar to ours until they can get insurance thru work. By keeping employee/spouse only vs. a family plan the savings were considerable since they are young and in good health. It's a temp type policy good for a max of 2 years. $2500 deductible (same as ours per person) runs $78 a month.

 

[SuzyQue]

I just got off the phone with the State Board of Insurance. Our plan does not have to abide by the law because they are self-funded/self-insured. My DD#1 is under 26yo but because her employer offers coverage, she is not able to be part the plan that DH gets through his union.

Dh works for one of the Big Three. The information we got in the mail said that we need to be aware that there was no change in what is considered a dependent. My guess is that because they had restrictions in place already, they get to keep them.

This pretty much answers my "why" question, thanks. Any suggestions on good, cheap medical insurance for college graduates? Maybe I should start another thread lol.

 

[daughtersrus]

This pretty much answers my "why" question, thanks. Any suggestions on good, cheap medical insurance for college graduates? Maybe I should start another thread lol.

When DD#1 graduated last Dec, she was able to purchase insurance through the university for a very minimal cost that lasted until May. After that, she got a high deductible policy with BC/BS to cover her until Sept. At that point, she was already hired by the school district but wouldn't have insurance until Sept 1st.

The rep at the university suggested Gradmed.com

 

[sherry7]

OP checking back in....

Thanks for the answers everyone. I'm glad to know he will still be on our medical insurance in the event he has to take a year off college.

Coincidentally, I got this letter in the mail today from DH's union. Here's an except:

Dear Members,
The purpose of this Correspondence is to make you aware of the many changes that will be occurring within our Health Plan Coverage for the years of 2011. Most of these changes were necessitated by the passage of the Health Care Bill by Congress earlier this year. Blah, blah, blah....those changes also carry a very heavy price tag and that fact means that there are some unpleasant side effects as well. Blah, blah, blah...the following changes will go into effect on January 1, 2011. Deductible: There will be a $200 per person annual deductible for medical charges with a $600 annual family maximum.

We didn't have a deductible before, so basically it is going to cost us $600 per year. But, everyone on DH's plan is paying that extra deductible now, regardless of whether they are covering an adult child. That doesn't seem quite fair, does it?

I'm thankful to have good medical coverage though, so I really can't complain too much about $600 a year I suppose. Me, DS, and DD are actually primary on MY plan (not DH's), so hopefully I can just have our claims submitted to my insurance rather than his and avoid most of the $600 deductible.

 

[PatsMom]

Exactly. When I call the union rep they just "read" the same information that was in the pamphlet they sent, but can't answer as to why. I've read over and over about it online, Dept. of Treasury Patient Rights, Federal Register/Vol. 75, No. 92, and all the info on the US Dept. of Health & Human services site, and I can't find anywhere that it says, employers can continue to enforce their previous requirements, which is exactly what they are doing. I even called the IRS to see if there would be any changes in the age of qualify dependents so I could claim her for insurance purposes (not for a deduction) but they didn't think there were any changes.

Your problem may not be the self funding of the insurance. You mentioned that your husband is retired so I am assuming your coverage is through a retiree health plan. Those plans do not have to provide coverage to age 26 unless they choose to do so. My husband is retired from a major utility and we've already gotten a notice explaining that in order to contain costs and continuing offering coverage as long as possible they are sticking with the requirement of being a full time student and tax dependent to qualify for coverage. And we are paying her premiums - they do not contribute to her or my coverage, just my husband's.

So she will have to find a job quick when she graduates, go on COBRA, or find an individual policy.