Health Insurance for College Graduates
The Chicago Tribune had a great article on Sunday on the topic of college grads and health insurance, which is fitting since graduation season fast approaching. 
The realities are many for you college graduates entering the "real world", including finding your own health insurance. That's because the majority of insurance companies won't cover dependents once they turn 23—meaning new grads often have to fend for themselves.
Don't worry, it's not as scary as it seems. Here are a couple tips to make things easy (and affordable):
- Shop around. In most states, health insurance companies can determine their own rates and coverages—meaning similar policies can be sold for very different prices. Be sure to compare multiple quotes from an online quoting service like InsureMe to find the best deal.
- Look into a temporary policy. If you know you'll be starting a job with benefits in the months to come, look into temporary policies, which offer high-deductible, short-term coverage. Check with your college or university benefits office as most have alumni programs to help recent grads.
- Check out other options. If you think you'll need long-term insurance (in case your new job doesn't come with health benefits), you'll want to look into individual health insurance, as well as a health savings account (HSA). According to the Tribune, as long as your deductible is $1,050+, you can make tax-deductible contributions to your HSA and the earnings grow tax-deferred. Research your options and see what kind of plan is right for you.
- Know what's covered—and what's not. I know, you thought reading was optional after getting the degree. Sorry to be the bearer of bad news, but you need to know what's covered in your health insurance policy so you don't have any [unpleasant] surprises down the line. And make sure the policy covers major medical expenses. If it doesn't, you don't want it.
The bottom line: Don't forgo health insurance. Studies have shown that medical expenses are the leading cause for personal bankruptcy...talk about a rough way to start your new "adult" life.
When I finished school I was booted off my parents' health insurance and had to buy a temporary policy. It was the best solution for me, but you'll need to find what works best for you and your health needs. So shop around and take advantage of resources like the university benefits office to find the coverage you need at a price you can afford.
Oh, yeah. And welcome to the real world. Better cut your hair and get a job like the rest of us. :)
