3. Parents’ Health Insurance Coverage (if you are under age 26). A new addendum in President Obama’s healthcare plan stipulates that you can get coverage under your parents health insurance plan as an adult until age 26 without being a full-time student or dependent. Convenient as that is, however, it is only available if you don’t have group healthcare options, and it does not cover your spouse or dependents.
4. Organizational Membership. According to Paul M. Hamburger, a partner and head of benefits practice Proskauer Rose LLC in Washington D.C., you can purchase individual health insurance through memberships in organizations like unions (such as the Screen Actors Guild (SAG)), alumni associations, professional organizations or the AARP.
5. High Deductible Health Plans (HDHPs). Another kind of health insurance that Hamburger suggested is more commonly referred to as catastrophe coverage. “This variety features very high deductibles ($50,000) and is designed to protect you in the event of a catastrophic injury or illness. The premiums for this type of coverage are very inexpensive,” says Hamburger. “A High Deductible Health Plan will cover you as a stopgap until the new healthcare coverage kicks in 2014.”
Of course, individual circumstance will likely determine your best option for health insurance. For instance, according to Jeff Williams, President of Health insurance of Washington, even if group coverage is available, an individual catastrophic plan is probably cheaper. But if you are on the older side of the average age at your company, it is probably cheaper to go on COBRA, rather than get quotes for an individual plan for a 55-year-old.
“It is hard to generalize because COBRA runs the gamut as far as what it covers and the range of deductible,” says Williams. “They are simply the company health plan without a discount.”
