Health Insurance Values » HealthLog with Dave Keller

Insurance matters as
independence grows

This time of year congers up images of children in backpacks walking to the school bus as well as young adults loading boxes into cars and leaving for college.

Once these degree-seeking men and women set foot out of mom and dad's door and into academia, they start gaining independence. With each passing year, that independence grows, and soon they find themselves responsible for things such as rent, car payments and even health insurance. I would guess that most do not give health insurance a lot of thought. They are probably healthy and believe they will stay that way for many years.

That is why this segment of uninsured people is known as the "young invincibles." What they fail to realize is that one accident or illness could create financial strain that could devastate their lives for years to come. With the start of a new year, it is time to remind parents and students that continuing health insurance coverage once a parent’s plan is important.

Around 80 percent of 18- to 23-year-old college students were insured under a private or public health care plan in 2006, according to a 2008 United States Government Accountability Office Report to the Committee on Health, Education, Labor and Pensions, U.S. Senate. Sixty-seven percent of those students were insured through their parents’ employer-sponsored coverage. Seven percent were privately insured and 6 percent were publicly insured through programs such as Medicaid.

The 20 percent without insurance have options - COBRA, short-term medical insurance and limited benefit medical to name a few. If you have—or you are—an uninsured student, consult your insurance broker or agent about what best fits your situation and budget.

Not only do students risk their health by not insuring themselves, they risk their financial future. Leaving college with student loans and medical debt does not make for an easy start in the world. This school year, remember the importance health insurance plays in your student’s journey to independence.

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