GOLDEN VALLEY, Minn. - Like other adult things, choosing your first health insurance plan seems scary - until you actually do it. Many young adults have enjoyed the ability to remain covered on their parent’s health plan. However, after turning 26, you will be on your own.
Under the ACA, generally, you can stay on your parent’s healthcare plan until you turn 26, regardless of whether you live with them. Because different healthcare plans have different rules, it’s best to determine in advance when coverage will end following age 26.
Here are some options for enrolling in a healthcare plan:
- Enroll in a plan provided by your employer.
- Confirm if you qualify for COBRA coverage under your parent’s plan. Through the Consolidated Omnibus Budget Reconciliation Act (COBRA), you may be able to retain coverage under your parent’s healthcare plan for up to 36 months after turning 26.
- Sign up for a plan through the Health Insurance Marketplace.
When evaluating your health plan choices, invest the time to understand the what type of health plans are available to you.
Get familiar with the terms, features and likely costs you will incur. Terms may include: Deductible, Premium, Copayment, HDHP (High Deductible Health Plan), HSA (Health Savings Account), FSA (Flex Spending Account), PPO (Preferred Provider Organization).
The bottom line? Choosing a healthcare plan may take time. While you can wait until the 60-day period after your 26th birthday to apply for health insurance, it’s best to begin researching and comparing plans as early as possible. Deciding between various plan options may feel overwhelming if you haven’t assessed your needs or weighed the pros and cons of the insurance policies that are available to you.