Health Insurance: You Have a Choice

As a result of the new federal health care reform law, college students can expect to pay more for insurance due to new required minimum coverage levels for the Vermont State College insurance plan.

According to Wayne Hamilton, dean of administration for Lyndon State College, the federal health care reform law has raised the bar on minimum insurance coverage requirements for students on the college's health care plan.

"Many student health insurance plans currently offered across the country, including Lyndon's, do not meet the new mandated minimum coverage levels," said Hamilton, in an email response. "Typically, colleges and universities have attempted to maintain affordable insurance by offering plans with basic coverage levels. As the federal law now stands, we may be unable to continue that practice."

Due to the required increase in services, to qualify as basic coverage, students should expect to see a jump in the cost of Lyndon's health care plan. Hamilton explained that this jump was inevitable unless amendments are made to the new health care law.

Since being signed in March 2010, the federal health care reform law has been challenged and taken to federal appeals courts in multiple states throughout the country. In 2011, the law was upheld as constitutional in several federal appeals courts; however, because the health care law requires that Americans be insured, this part of the law was deemed unconstitutional in one federal appeals court and has been taken to the U.S. Supreme Court.

As of the fall 2011 semester, 11 percent of the LSC student populace was covered by the VSC insurance plan. The remainder of the student body will not be affected should costs increase, Hamilton explained. 

A state-sponsored plan for students is another possibility that may be on the horizon for the VSC, as an alternative to the college health care plan.

 "Until recently, there were no insurance options for some students who were not covered by their own or a parent's plan," said Hamilton. "As we move forward, we will evaluate whether it is in the best interest of students to offer coverage under a college plan or to allow students to obtain coverage under a state-sponsored plan."

Paula Chamberlin, administrative assistant of health and counseling, acknowledged that the VSC health insurance plan is expensive, but offers a good, basic college plan through the carrier, Consolidated Health Plans.

"It's a great plan for a college student that has this type of a facility on campus because the services we offer here are outstanding. You're not going to find that on a lot of campuses," said Chamberlin.

Chamberlin explained that there is no deductible that needs to be met and the plan covers a student if they travel overseas. Coverage is for the entire year, not just while a student is on campus. If someone is seen outside of the Brown House; however, they would need to fill out a claim form to receive coverage.

Daniel Haycook, a senior liberal studies major, voiced his concerns about the challenges associated with health care, in general, for young adults.

"The cost is ridiculous. It's so much money for crappy insurance. You're paying so much for insurance you need," said Haycook.

One of the conditions of the Affordable Care Act states that a parent's health plan can now carry a child until they are 26.

"While I do not have a great deal of personal experience with obtaining insurance since I am still on my parent's plan, I appreciate the fact that I am able to stay on my parent‘s plan until I am 26 years old," said Emma Shattuck, a senior global studies and social science major.

According to the government's health care website, "Children can join or remain on your plan even if they are: married, not living with you, attending school, not financially dependent on you, or eligible to enroll in their employer's plan."

"In terms of young adults, the Affordable Care Act is a winner," said social science professor, David Plazek, in an email response. "Young adults can now stay on their parent's health insurance until they are 26.  That, in itself, will dramatically cut the numbers of uninsured as 20-somethings are much more likely than other demographics to go without health insurance."

Vermont also offers state coverage to people who are not on their parent's, the VSC's, or their own plan. Green Mountain Care is a plan for Vermont residents and premiums are dependent on income and household size.