A Healthy Gift for the Class of 2010

United Healthcare, Humana, Kaiser Permanente and WellPoint said they’re changing rules now to allow those under 26 to remain on their parent’s policy. Since this provision of the new health care reform legislation wasn’t scheduled to take effect until September 23rd, these companies are potentially doing something they’re not often accused of: doing something nice for free.

Prior to passage of health care reform legislation, most insurance companies dropped young adults from parental policies when they were no longer full-time students or at age 21, forcing them to pay for more expensive individual policies. But it would appear that this Spring’s crop of college grads will have a less expensive option: letting mom and dad continue to foot the bill while they look for work.

According to this article in USA Today, UnitedHealthcare and Humana are making this change immediately. At WellPoint, the change will take effect on June 1, and Kaiser is planning to extend coverage before September, although details aren’t quite as clear as to exact dates.

People already dropped due to age or graduation won’t be automatically reinstated, however. Those not currently covered will have to wait until September 23rd.

Yesterday, U.S. Health and Human Services Secretary Kathleen Sebelius sent letters to other insurers asking them to follow suit. Hopefully more will.

Sign up for our free newsletter

Like this article? Sign up for our newsletter and we'll send you a regular digest of our newest stories, full of money saving tips and advice, free! We'll also email you a PDF of Stacy Johnson's "205 Ways to Save Money" as soon as you've subscribed. It's full of great tips that'll help you save a ton of extra cash. It doesn't cost a dime, so why wait? Click here to sign up now.

Check out our hottest deals!

We're always adding new deals and coupons that'll save you big bucks. See the deals to the right and hundreds more in our Deals section.

Click here to explore 1,012 more deals!

Comments & discussion

We welcome your opinions, but let’s keep it civil. Like many businesses, we reserve the right to refuse service to anyone. In our case, that means those who communicate by name-calling, racism, using words designed to hurt others or generally acting like an uninformed bully. Also, comments that include links to email addresses or commercial websites typically aren't posted. This isn't a place to advertise your business.

  • Robert

    “26 or under” (home page of moneytalksnews:) and “those under 26″ (“a healthy gift” page) are not the same thing. Many other webs sites are similarly confusing about this change. I think “through age 25″ would be clearer.