At The Age Of 26
As a young adult, you can be covered by your parent’s health insurance plan until you turn 26 years old.
Your parent’s health insurance plan will however have to include dependents. Once you are on your parents plan you can generally stay until the age of age 26, even if you get married, have a kid or adopt one, start or leave school or even if you are out of your parents house.
Turning 26 And Special Enrollment
At age 26 you are dropped from your parents health insurance cover as a dependent and this is where you need to start enrolling for different health coverage.
There are some options that you can rely on to get your own health insurance at age 26.
When you are covered by your parent’s Marketplace plan:
· The plan enables you to keep staying on your parents plan until the year ends.
· If you were no longer tax dependent by the time coverage ends on December 31, then you can apply for the Marketplace plan by yourself for the following year during Open Enrollment.
· Based on your income, you can qualify for tax credits and other savings.
· You can enroll for Marketplace plan on your own if you are tax dependent by the time you age off your parents plan.
But this will not qualify your for tax credit and savings and furthermore you will have to pay the full price.
When you are covered by your parent’s job-based plan:
· The coverage usually ends at the end of your 26 birthday month.
You can check with the employers company when the coverage ends exactly.
· You immediately qualify for Special Enrollment Plan when you lose your coverage plan at end of your 26 birthday month.
This will allow you to enroll outside the yearly Open Enrollment Period. Your Special Enrollment Period has 60 days period that starts before your birthday.
· You can enroll before your 26 birthday which will allow you to start enjoying the coverage on the first day of the month when you lose the coverage.
· If you enroll with the 60 days after your birthday, coverage will start on the first day of the month after you have picked a plan.
You may be eligible to qualify for some pre
mium tax credits and other savings based on your income level.
As a young adult it is important that you enroll early enough so as to prevent a time gap in coverage.
Apart from these low cost coverage through the Medicaid or Marketplace, you can have other coverage options through your employer or the university which you can easily qualify for.
This enables your transition from depending on your parent’s coverage plan to having your own health insurance at age 26 smooth and simple.