4 Heath Insurance Options for a 26 Year Old

The Affordable Care Act (also known as Obamacare) allows an individual to stay on their parents health insurance plan until the age of 26.

When someone turns 26, they can no longer stay on their parents plan, and they will have to look for their own coverage.

The good news is that young folks usually have several affordable options.

#1) Obamacare/Healthcare.gov

If coverage was lost at no fault of their own (meaning they aged off of their parents plan) the 26 year old will have a qualified life event. This means they will have a 60 day window to enroll into a healthcare.gov or marketplace plan. Remember, these are the plans that are required by law to cover preexisting conditions.

#2) Short-Term Medical

Young healthy folks may also qualify for “short-term medical” coverage, but keep in mind that these plans act more like a catastrophic plan. Usually these policies do not cover preexisting conditions and typically are less comprehensive.

#3) Employer Coverage

Another option to look at is your employer coverage (if offered). Premiums can vary here; however insurance for the person who is working is usually reasonable. Keep in mind though that the price may increase dramatically if you add your family to your work’s insurance plan.

#4) Medicaid

Finally, if all of these options mentioned are too expensive, you could always try to apply for Medicaid. Just keep in mind that Medicaid eligibility is determined by the state.

If you have any questions about health insurance, always speak with a licensed professional.