As a student, you lead a pretty busy life. You go to class, work at your part-time job or internship, come home at night to do homework, and go out on the weekends when you can. Money’s usually tight, but it’s okay because this is the time of your life when you’re only responsible for you. And you don’t need a lot, right? Unfortunately, in your early twenties, it’s easy to think of yourself as invincible, when in fact you can get sick or injured just like anyone else. The reality is that college students are at a high risk for unintentional injuries, and are much more susceptible to viruses because of close quarters, high stress levels, and lack of sleep. The fact is, you never think you’re going to have to see the doctor until you do, and when that time comes, it’s a good idea to be prepared. So now that you’re living alone, away from Mom and Dad, how do you know you’re covered for those unexpected accidents? Here are seven affordable ways you can make sure you’re protected:
Mom and Dad
Under the new Affordable Care Act, you’re allowed to remain under your parent’s insurance until you’re 26 years old. If you plan on going to school out of state, however, you should check with your parent’s insurance provider to make sure you’re still covered. Your provider will be able to tell you where you’ll be covered at your new campus, and for what. If you see any holes in the coverage, such as for emergencies and accidents, you might need to look into supplemental coverage. It’s also a good idea to schedule your routine preventative check-ups for when you’re back home.
University coverage
If you’re not covered by your parents insurance, or you’re an older student, another place to look for coverage is your school. A lot of colleges offer health plans, and either work with insurance carriers or pay claims straight from the school. A college-provided plan premiums are often grouped together with your tuition and board, which means in some cases you can use student loans for health insurance costs. One thing to remember when it comes to school-provided health plans is that the coverage may be more limited. So, make sure you read up on what’s covered and what’s not, so you’re informed.
Catastrophic coverage
Offered to individuals under the age of 30, catastrophic coverage is another option for the younger generation.. These policies tend to be more affordable on a month-to-month basis, and some cover initial preventative care visits at no extra charge. The catch is that the deductible is usually extremely high, sometimes more than $6,000. This means that in the event of an emergency, you’d have to pay that $6,000 deductible before your catastrophic coverage would kick in. It’s also important to remember that tax credits won’t pay for this type of coverage, so it’s a good idea to shop around and compare more comprehensive plans before you settle on this option.
Subsidized Affordable Care
Under the Affordable Care Act, any American can sign up for health insurance. You can check out the marketplace to see what plans fit you best. There are many options, each offering different levels of coverage and price. Additionally, if your income is at least 100%, but no more than 400%, of the federal poverty level, you’ll qualify for tax credits that could make the plan you choose more affordable.
Short Term Health Care coverage
If you’re transitioning from school to a potential job (where benefits may be included), or if you’re in the market for a new job, you might be wary of committing to a long-term insurance plan. In this situation, it may be in your best interest to purchase a short-term coverage plan. Short-term plans can be purchased for time periods anywhere from 30 days to 12 months. Though this plan probably won’t cover preventative care, prescriptions, or pre-existing conditions, you will have security in the event of a disaster or accident.
Medicaid
Michigan recently expanded their Medicaid eligibility, under the Healthy Michigan plan adults aged 19-64 who earn up to 133 percent of the federal poverty level may now enroll. Remember that if your parents still claim you as a dependent on their tax return, it will be their income that will determine your eligibility for the Medicaid coverage.
Thinking of forgoing health insurance?
Health insurance can be a hassle, there’s no doubt about it. So you might be thinking, “I’ll just skip it, what does it matter anyway?” Well, did you know that you can be penalized if you don’t have health insurance? However, if you make less than $10,000 a year, you’re not required to file income taxes, which also means you’re not required to purchase health insurance under the Affordable Care Act. So even if you think you don’t need health insurance you should be informed about your options and the potential penalties that declining coverage could pose.
