Young Adult Health Insurance Options: Navigating ACA

When a young adult turns 19, they are no longer eligible for their parent’s health insurance. This can be a stressful time for families, as they need to find affordable and comprehensive health insurance for their young adult.

The Affordable Care Act (ACA) provides several options for health insurance coverage for young adults. One option is to purchase a plan through the ACA marketplace. These plans are available to individuals and families who do not have access to affordable health insurance through their employer.

Income Requirements
Income requirements for ACA plans are determined by the Federal Poverty Level (FPL). In 2024, the FPL is $13,590 for an individual and $27,750 for a family of four. Individuals with incomes below 138% of the FPL are eligible for subsidies to help pay for their health insurance premiums.

Types of Plans
There are several types of ACA plans available, including:

Bronze plans: These plans have the lowest premiums but the highest deductibles and out-of-pocket costs.
Silver plans: These plans have slightly higher premiums than bronze plans, but they also have lower deductibles and out-of-pocket costs.
Gold plans: These plans have the highest premiums but the lowest deductibles and out-of-pocket costs.

Catastrophic Coverage
For young adults who are healthy and do not anticipate needing much medical care, catastrophic coverage may be a good option. These plans have very low premiums but very high deductibles. They are only designed to cover major medical expenses, such as hospitalization or cancer treatment.

Employer-Sponsored Insurance
If a young adult is employed, they may be eligible for health insurance through their employer. Employer-sponsored insurance is often more affordable than individual plans, and it may provide more comprehensive coverage.

Medicaid
Medicaid is a government health insurance program for low-income individuals and families. Medicaid eligibility is determined by income and household size. Young adults who meet the income requirements may be eligible for Medicaid coverage.

Finding the Right Plan
The best way to find the right health insurance plan for a young adult is to compare plans from different insurers. You can do this through the ACA marketplace or by contacting an insurance agent. When comparing plans, it is important to consider the premiums, deductibles, out-of-pocket costs, and coverage for essential health benefits.

Our Licensed Agent Can Help
If you are struggling to find affordable and comprehensive health insurance for your young adult, our licensed agents can help. We can compare plans from different insurers and help you find the plan that is right for you. Contact us today for a free consultation!