Navigating Health Insurance after Graduation

Lawndale News Chicago's Bilingual Newspaper - BusinessNearly two million college students across the country will collect their diplomas this spring. Once the celebrations have ended, these new grads will face many important life decisions for the first time, including what to do about health insurance.

Recent reports indicate that many young adults continue to assume both financial and health risks by going without health insurance coverage. Although being able to stay on their parents’ plans until age 26 has reduced the numbers of uninsured young adults over the past few years, nearly three in ten people ages 19 to 34 are uninsured. This is the highest proportion among all age groups measured in the latest U.S. Census data.

The year 2014 will bring changes to the health insurance market that may affect many young adults, so it is important to make smart decisions today to help protect their health and finances. UnitedHealthcare’s Golden Rule Insurance Company (www.goldenrule.com) offers these tips to get started:

  • Don’t risk going uninsured. If you are eligible, consider staying on your parents’ health insurance plan until you turn 26. However, also compare the cost of staying on their plan to buying your own coverage. You may find that buying your own coverage may be more affordable.
  • If you decide to buy your own coverage, make sure to include all health costs when determining how much you can afford, including monthly premiums and any out-of-pocket costs for health care services and prescriptions.
  • Also, consider short term health insurance plans that can offer you temporary coverage for the remainder of 2013. Be sure to find a plan that lets you drop your coverage without penalty if you find a job with employer-sponsored health insurance benefits in the meantime.

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