Healthcare -- A Lot Happens Right Away
Many Americans will feel the effect of health reform this year, as significant changes start to go into effect. During 2010:
- Children will not be denied coverage due to a preexisting condition.
- Young adults will be able to stay on their parents' health plans to age 26.
- Insurance companies will be prohibited from revoking coverage when people become ill, and from setting lifetime limits on benefits.
- Small businesses will be eligible for new tax credits to offset their premium costs.
- People with preexisting conditions will be eligible for subsidized coverage through a national, high-risk pool.
- New limits will be set for the percent of premiums that insurers can spend on nonmedical costs, e.g., administrative or profit, and, beginning in 2011, carriers that exceed those limits will be required to offer rebates to enrollees.
- Medicare will provide $250 rebates to beneficiaries to help with prescription drug costs (with greater help coming in future years).
- Medicare will eliminate cost-sharing for preventive services in Medicare and private plans so they are free.
Does anyone know when, specifically, the young adults being able to stay on parents' plan goes into effect? And what additional costs are permitted? Thanks in advance. I'm the mother of a teenager turning 19 end of September and I am thrilled at the prospect of being one of the first to benefit from health care reform!!
Specifics will emerge as the implementing regulations are issued. Our reading at this point: It looks like this provision takes effect as of early Fall 2010. The law does not provide specifically for regulation of the premium costs for this coverage. There may be a regulation to clarify it. But in the absence of regulation, it will be up to the employer or the relevant collective bargaining process. The easiest and most logical course would seem to be just to continue to include your son as a "dependent" with the same employer/employee split of the premiums as for any other dependent coverage as under the current plan.