Date: May 21, 2009
For more information contact: Jim Guidry, (608) 264-6239 or jim.guidry@wisconsin.gov

Attention Graduates: Don't Forget About Health Insurance

Madison, WI—While most high school graduates are thinking of moving on to college, and college students are hoping for new jobs, the Office of the Commissioner of Insurance (OCI) urges students to also think about health insurance coverage.

When enrolled in college, many students are covered by their parents' health insurance policies. However, most insurers require that the student be enrolled full time to maintain coverage unless they are on medical leave. Full-time students on medical leave are eligible to remain on their parents' health insurance policies for up to one year after leaving school. And, students who stay enrolled under their parents' policies should make sure to understand how the policy works before they leave for college. While emergency care is mandated to be covered, for routine or follow-up care, students may need to return to their home town to access the health care network contained in their policy.

College graduates who enter the workforce also need to consider the various health insurance options available. Before accepting a job offer, inquire of potential employers about health care benefits, or, if the employer does not provide health care coverage, check into purchasing an individual health insurance policy. In today's world, it is not a good idea to go without insurance coverage for health care, no matter what your age.

"As you sort through job prospects, don't always make salary your sole priority," said Sean Dilweg, Wisconsin Insurance Commissioner. "Health coverage may be the most important benefit you can receive, and it's important you weigh your options before making a decision. While you're young and healthy you don't always feel that you need health insurance. In fact nearly a fifth of young single adults decline employer health insurance in order to save money."

However, forgoing health insurance is a dangerous decision. Accidents and unforeseen illnesses can be financially devastating. Plus, there are a variety of plan types that can provide you with the coverage that you want. The OCI offers tips for the college grad on finding insurance:

• If you want to save money on your premium dollars and still be covered for that unforeseen catastrophic event, look for a policy with a higher deductible such as $3,000 or $5,000.
• Consider your family's health history before declining an employer's health policy. If your family has a history of certain types of illnesses, it's a good idea to get the coverage while you can. You may not be able to enroll at a later date.
• For periods of no coverage between graduation and landing your first job, consider checking to see if you can extend your parents' coverage. Some colleges also offer graduates interim coverage through the university plan or an alumni association. You can also use the internet to contact a health insurer or insurance agent to purchase your own short-term coverage.
• If you feel you can't afford regular health insurance, think about purchasing a high-deductible major medical policy that only covers very serious or catastrophic health costs. These plans offer lower premiums and help you cover bills for major medical events like surgery, hospitalization or emergency room care. The deductible is your responsibility, so make sure you have enough funds available to cover it should the need arise.
• Consider a Health Savings Account (HSA) partnered with a high-deductible health plan. HSAs can be set up individually, or sometimes as an option through employers. They allow you to accumulate and spend pre-tax money for health expenses via an account that you own and can take with you when you change jobs.

There are many resources available to you if you have questions about obtaining health insurance coverage. One option is to contact a licensed independent insurance agent or health insurance company. You can also contact OCI with any insurance questions, concerns or complaints at 800-236-8517.

Created by the Legislature in 1871, Wisconsin's Office of the Commissioner of Insurance (OCI) was vested with broad powers to ensure that the insurance industry responsibly and adequately met the insurance needs of Wisconsin citizens. Today, OCI's mission is to lead the way in informing and protecting the public and responding to its insurance needs.