Insurance for College-Age Children

The State Health Plan has some advice for parents who’ve been insuring college-age sons and daughters: Keep those newly minted graduates on your policy a little longer.

Normally, college graduates lose eligibility through mom and dad’s insurance on June 1 following graduation. But a change may be in the works.

Proposed legislation would allow all currently enrolled State Health Plan dependents to keep their coverage if they are under age 26, regardless of their student status. (Current law requires dependents 19 to 26 years old to be full-time students for coverage.)

College-age dependents who are dropped from their parents’ coverage this summer will not be allowed to enroll until  July 2011, when health care reform takes effect. At that time, the State Health Plan will cover all dependents up to age 26, regardless of student status.

If the proposed legislation fails this year, college-age dependents will be removed retroactively and offered COBRA coverage.

Benefits consultants are contacting employees who planned to drop dependents from coverage this summer. Questions? Contact your benefits consultant.