While many college students may not fully understand how college student health insurance works, it’s important for them to understand why they need coverage and what their options are. Without insurance, doctor visits, emergency rooms, and prescription medications can be expensive. Fortunately, students often have several options to ensure they are covered while in school. For example, staying on your parent’s plan, enrolling in a college/student health insurance plan, purchasing a plan through the ACA Marketplace, or qualifying for Medicaid. All these programs are different and target different students based on their financial and living situation.
Keep your parents’ plan: Common health insurance options for college students
Under the Affordable Care Act, students can remain covered by their parent or guardian’s health insurance plan until age 26. Typically, this is one of the most affordable health insurance options for college students, especially those attending school in their home state. Parent-retention plans often give you access to an extensive network of health care providers. This option is best for students who attend college in the same state with an in-network provider. For out-of-state students, home plans may not have many in-network doctors or hospitals near campus. Students may find themselves incurring high out-of-pocket costs or needing to return home for affordable care, which increases costs.
Clarifying college students’ misunderstandings about health insurance
There are many myths and misunderstandings among college students when it comes to health insurance. In this video, we highlight some common myths about college and health insurance that should help parents and students better manage their insurance needs.
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Hidden College Costs: Going to college comes with a lot of hidden costs—and for many students, the most expensive mistakes they make happen before they even set foot in a classroom.
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Believe the common myths: From campus health care rules to insurance age limits, students often fall into common assumptions about health insurance, but nothing could be further from the truth.
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Risking your semester savings: An unexpected health issue or emergency room visit can wipe out months of savings if you rely on bad advice or outdated information.
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Why you need to watch: Before you sign up for a campus plan or assume you don’t have insurance, watch this short video that busts four health insurance myths every college student needs to stop believing.
College/Student Health Insurance Plan
Many college students wonder the same question: “Does college offer student health insurance?” Many colleges and universities offer their own health insurance to college students that is designed to be both comprehensive and affordable. These plans include coverage of medical services on campus as well as local health care providers near campus. Student health plans typically cost around $1,500 to $2,500 per year, which may be paid for through tuition or a separate fee. Student health plans are the best option for students who are not on their parents’ plan or for out-of-state students whose family plan does not offer local coverage near a college or university. In other words, these are affordable health insurance plans tailored for college students. These plans are generally ACA compliant and include mental health services, prescription drugs, and preventive care options. Since they are designed for students, they tend to be more affordable than market plans. However, student health plans may not be suitable for everyone. Off-campus insurance may not be an option, and some students may want the flexibility to have their own medical services off-campus.
ACA College Student Marketplace Program
ACA Marketplace plans are often the best health insurance option for college students who are financially independent or do not qualify for a parent- or college-sponsored plan. Marketplace plan prices vary by location, plan type, and income. Many students qualify for subsidies that significantly reduce monthly costs, sometimes as low as $0 to $75 per month, making these programs affordable for students who work part-time or have limited incomes. Marketplace plans come in different tiers: Bronze, Silver, Gold and Platinum, which balance monthly premiums and out-of-pocket costs. Bronze plans have lower premiums but higher deductibles, while gold and platinum plans have higher premiums and lower costs when receiving care. Students should choose a plan that meets their anticipated health care needs. One advantage of ACA plans is that they offer an extensive network of providers in the state where the student lives, making them ideal for out-of-state students who want local coverage close to campus. However, marketplace plans may have higher deductibles and out-of-pocket caps than parent plans or student health plans.
Medicaid: Affordable Health Insurance for College Students
Medicaid is a national health insurance program for low-income individuals, including health insurance for no-income college students. If students’ family income is below a certain threshold, they may qualify for Medicaid, which often costs little or no money per month. Medicaid covers a wide range of medical services and is an excellent option for eligible students. That said, Medicaid eligibility and coverage vary by state, and students must apply in the state where they are considered a resident. Students who attend college out of state may need to reapply or seek coverage elsewhere. Therefore, Medicaid is often a better option for students who attend school in their hometown.
Choosing the best health insurance for college students
Choosing the best health insurance for college students is all about understanding your needs, your location, and your available resources. Whether you stay on a parent plan, join a student plan, explore the ACA marketplace or qualify for Medicaid, our goal is to ensure you have access to affordable, reliable care when you need it. Whether you’re looking for health insurance for 19-year-old college students, health insurance for 18-year-old college students, or health insurance for college athletes, knowing your options can keep you healthy and covered during college.
