A few weeks ago, I gave a general overview of the health care bill. This time, I’ll be going more in depth as to how health care reform changes that take effect this summer will financially affect the 70 million young Americans known as Generation Y.
What the savings are starting this summer:
1. Under 19 and you can’t be denied. You can no longer be excluded for pre-existing conditions and forced to pay super high rates. This will go into effect for the nineteen and up crowd in 2014. Until then, you can buy into a high-risk pool.
2. Preventative care will be free. Planning on taking a trip around the world this summer? Thanks to the health care bill, preventative care is now free. This means that you can get travel immunizations free of charge, along with STD tests, vaccines, and OBGYN visits, all of which are crucial for us Generation Yers.
3. You can stay on your parents plan until 26. This is a big deal, especially in this economy. How many recent college grads will end up employed with full benefits? Not too many.
What will affect Gen Y later (2014)
As mentioned earlier, health care companies will not be able to discriminate against anyone based on pre-existing conditions.
The government will provide increased funding towards community health centers.
There will be greater access towards information on health care plans. States will receive funding to establish consumer assistance offices. This means filing complaints and appeals will become a much simpler and less stressful process.
Insurance companies can no longer discriminate based on gender. Before reform, women typically paid a third more for health care.
States will expand Medicaid to adults without children beginning in 2014. Furthermore, a nationwide pilot program will launch to help hospitals and doctors provide better patient care under Medicare.
Tanning salon junkie? Starting in July, a ten percent tax will be imposed on tanning salon services. This will help to pay for reform.
Prepare Or Face Some Penalties – So what do you do if you’re under 26 and your parents don’t have health insurance? And your job doesn’t come with benefits? Or even more likely, you’re unemployed? Unless you sign up for a separate health care plan, you will face a tax penalty along with the rest of the country. Those without coverage will be mandated to pay a $695 fine. Ouch!
Don’t Get Caught In The Middle – And what about the time between now and six months? There are a big chunk of us that will have graduated before the 26 and under provision goes into action, myself included.
Solution: If you’re stuck in between a rock and a hard place, I would recommend signing up for a short-term health care coverage. You won’t get all of the benefits under a Cadillac type of plan, but some health insurance is better than none. Check out the below links to see what type of coverage you could receive.
http://www.assuranthealth.com/corp/ah/
http://www.ehealthinsurance.com/ehi/WelcomeQ409.ds?mcei.app.terminalID=__tid__1_
Also, part of the health care bill included a provision for the Secretary of Health and Human Services to setup a website that will help you find the most affordable health care option. Once this plan is put into action, hopefully it can help you get the best bang for your buck!
Want more info on health care reform? Check out http://www.kff.org/healthreform/sidebyside.cfm
