My D has a 15 day gap between the end of the extension of her grad school coverage and the start of her employer coverage. Unfortunately, New York State doesn’t allow gap policies. So far as I’ve been able to research, her only alternative is to enroll in an ACA program, pay for the first month even though she doesn’t need a full month’s coverage, and then cancel. In that scenario, the option is to gamble on her not being hit by a truck and buy a $200 catastrophic coverage policy ($7000+ deductible) or spend hundreds more on one of the richer policies (bronze or silver). This strikes me as so ridiculous, but there seem to be no alternatives.
If I’ve missed anything, please let me know. If not, let me know what you think about her taking the chance on a catastrophic plan for 15 days in order to save many hundreds of dollars. Note that even the pricier plans that are within her means (i.e, emptying her bank account or borrowing from us) come with substantial deductibles.
I would absolutely take the gamble if I did not have any conditions that could send me to a hospital during those 15 days. And I would be extra cautious during that time. The only downside is if the job offer is rescinded…
Thanks for the input. It’s convincing me to tell her to enroll in the catastrophic plan. She is generally in good health, with a few ongoing prescriptions, none of which are prohibitively expensive. She is already employed–there just has a waiting period before new employees can enroll in the company medical plan. That’s the source of the whole problem. I don’t think she is low-income enough to qualify for Medicaid, since she’s been earning a good salary for several months.
My son is experiencing something similar, but moving from one job to another with COBRA eligibility. I agree that a catastrophic policy is worth the peace of mind. In any case, to me the whole idea of health insurance is to protect against catastrophic costs. I’m old school that way.
With her current school plan could she go on Cobra? If so, one usually has up to 45 days before one has to pay the premium. She could pay the premium if she should need it. I know people do that when they change jobs - some employers do not provide insurance until 30 days later, so you are gapped for a month.
We have the same issue when DS comes home from Lebanon, December 18 through January 19. He needs to see his doctor and also get his wisdom teeth out. I can’t do anything about him for December (he has a pre-existing condition that makes it impossible to get a gap policy), but I’m adding him to our Anthem policy for January. Thank God that Anthem is back in Maine in 2019 - they pulled out of the state last year. Our total premium for January for the four of us will be “only” $1,906. With Harvard Pilgrim, the policy for only three of us would have been $1,940.
Of course, the coverage is so crappy that his medical costs will fall under our deductible, but at least we’ll get the “discounted” prices.
We’re just reeling from all our medical costs this year. I still have to get a colonoscopy in December, too. Then I got a message yesterday that I need to see the gynecologist and get a repeat ultrasound. Good God.
I’m risk adverse and would likely buy the catastrophic coverage for 15 days, but you can do as other suggest and wait to pay the premium until after she’s already covered under the employer’s plan and then never bother to pay, if that suits you and her. It sounds like you have a path for this, which is the main thing. Glad it’s an affordable option.
I paid for Aug-Dec for our S on an individual plan when he aged out of the family plan, the U plan had ended and he was going to be allowed to rejoin our family plan Jan 1. I just was uncomfortable with him having any gaps in coverage and the peace of mind was worth it to me. I believe our premiums were over $300/month for those 3.5 months, so over $1000 total. Health is just one of those things that can be crazy expensive, so best to be always insured, IMHO.
She is 27, we are on Medicare (some of us here are OLD!). So no hope there.
Btw, COBRA does not include student health plans, just employer plans.
It gets worse. Even though her current coverage ends mid-month, the catastrophic coverage wouldn’t kick in until 12/1. She would have had to apply by 10/15 to get coverage by 11/1, but she just wasn’t focusing on the issue at that point. (Tell your kids to plan ahead!) So at best she’d be paying $200 for 3 days of coverage and go completely without for the rest of November. If insurance companies won’t start new coverage until the first of the month (which is what the ACA state rep told me), then why should they be allowed to terminate continuation coverage mid-month? And on another note, why do employers impose a waiting period on coverage? I assume they fear someone would take a job on the eve of major surgery and then quit, but is that a real risk, especially in the case of a professional, which is what my D is?
I’m going to tell her to enroll in the catastrophic plan for the stupid 3 days, and tell her not to cross any street in NYC for the rest of November. And stay away from all people. And dogs. And staircases. And knives. And any food that has been known to cause food poisoning, ever. I’m sure it’ll all work out just fine. AARGH!
Can you call the plan she’s currently on and ask how much it would cost to extend it for 15 days (or whatever the gap is)?
The problem with going uninsured for even a day is that even though the risk of catastrophic illness or injury is low, the financial consequences could be astronomical and life-altering.
I would have paid for a whole month of insurance in December, but Anthem said DS isn’t getting back in the country until the 18th, he can’t be covered at all that month! Crazy rules.
