Tulsa World: Young adults put off health insurance

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Young adults put off health insurance
About 300,000 of Oklahoma's uninsured are between 18 and 32.

Megan Myers, who has no health insurance, reads the label Thursday of one of the prescription medicines she takes daily in her northwest Oklahoma City home. JIM BECKEL / THE OKLAHOMAN

By VALLERY BROWN NewsOK.com
Published: 3/8/2009 4:14 AM
Last Modified: 3/8/2009 5:29 AM

Insurance industry experts estimate that 20 percent of Oklahoma's population is without health coverage. Of that 600,000 people, about half are between the ages of 18 and 32.

Confusion about plans, a hands-off attitude toward health care and a lack of urgency contribute to the problem, state Insurance Commissioner Kim Holland said.

But all it takes is one illness or accident to sink a young adult into a financial hole. That's what almost happened to Walter Floyd, 24.

"I know I'm vulnerable and that anything could happen at any time. It makes me think to be careful," Floyd said.

Young and lucky

Some would probably call Floyd lucky.

Floyd, a recent college graduate, doesn't have health insurance. He can't afford it and is waiting until he becomes eligible for medical coverage through his employer.

In 2007, Floyd was in a car accident on Interstate 35 near Guthrie. The helicopter flight to Oklahoma City and the cost of surgeries and stitches left him with a $60,000 medical bill.

Because he was an uninsured student without the financial means to pay, the hospital came to an agreement to dismiss the debt.

"It would have changed my life," Floyd said. "I was really prepared to sacrifice everything."

Floyd also has asthma. His medications would cost him nearly $300 per month, but a relative in Texas helps him obtain cheaper drugs from Mexico.

"The fact that I need insurance is definitely on my mind, but I'm optimistic," he said. "I know that it will change."

Megan Myers, 29, is also living without insurance. Currently between jobs, she thinks paying for her medical expenses makes more sense than paying high premiums and deductibles.

"It's a risk I'm taking. You do think about it, and it makes you a little nervous. I'm keeping my fingers crossed," she said.

Not an isolated problem

Although this age group is generally considered healthy, rates on individual policies with lower monthly rates often have high deductibles ranging in the thousands of dollars, said Holland.

"Some of these young people are at the beginning parts of their career who feel they can't afford health insurance," Holland said.

Many young adults can't be claimed as dependents of their parents and are not eligible for government assistance.

Oklahoma was ranked 43rd in overall health and 42nd in the nation for health insurance coverage in the 2008 "America's Health Rankings" report. The report compiled data from the Centers for Disease Control and Prevention and other agencies.

By the numbers

$4,704: The average annual premium for single coverage in 2008.

$680: Amount paid by insured individuals per year to cover the uninsured.

$1,127: The amount insured individuals will pay for the uninsured in 2010.

300,000: Approximate number of uninsured Oklahomans 18-32.

SOURCE: The Kaiser Family Foundation and Health Research & Educational Trust, The Oklahoma Insurance Department, Families USA

What’s being done

In Oklahoma, most insurance companies allow young people to remain on their family’s insurance policies while they are in school.

Insurance companies usually cut this benefit when children of policy holders are between 23 and 25 years old.

A few states have increased this cap, allowing dependent students to remain on their parents’ policies longer.

According to a 2007 National Conference of State Legislators report, several states now require insurers to cover dependents longer.

South Dakotans can continue dependent coverage up to age 29, and New Jersey requires dependent coverage of unmarried children without dependents of their own up to age 30.

Holland said Oklahoma’s insurance providers have indicated they would not be against raising the cap as long as current eligibilities remain in place. But this may increase costs.

State legislators are now debating measures that would provide for alternative accident and health insurance.

These plans would not cover all of the state-mandated health benefits but would be tailored for individuals under 40 who need coverage for emergencies and accidents.

Also being discussed is the formation of a Health Care for the Uninsured Board that would act as a point of contact for the uninsured to have questions answered about insurance and to help them seek out providers.

vbrown@opubco.com

By VALLERY BROWN NewsOK.com

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	Report Comment Robyne Rohde, Edmond (3/8/2009 2:09:07 PM) Thanks to the Tulsa World for a much better article than the Oklahoman. Sure the insurance companies are going to jump on allowing the insured to keep their dependents on their plan...it increases profits because the family plan is over twice as expensive as a plan for just the husband and wife. The insurance monopoly in Oklahoma will increase profits with little to no risk....so don't think they or our Insurance Commissioner is doing anyone any favors.
	Report Comment Robyne Rohde, Edmond (3/8/2009 2:19:13 PM) While we are talking about insurance coverage I would like to give you some figures: 7500: Number of children in Oklahoma with autism 500: Number of children with autism added to the existing roles each year $19.92: The YEARLY amount insured individuals would pay for children with autism in 2010 if the insurance monopoly provided coverage. Per 2 independent cost/benefit studies, including one paid for by the state of Oklahoma. $3000.00: The average out of pocket costs for medically necessary treatments parents pay for their children with autism. $1200.00: The average cost of family insurance premiums per month paid by families whose children have autism. Put these figures together and it just doesn't make sense that autism isn't covered by the big insurance monopoly in Oklahoma....the only reason it isn't is because paying for autism coverage would cut into the HUGE profits big insurance companies make in Oklahoma...oh, and it would cut into the PAC money they give to our Republican legislators.
	Report Comment Robyne Rohde, Edmond (3/8/2009 3:12:22 PM) I meant to say: $3000.00: The average MONTHLY out of pocket costs for medically necessary treatments parents pay for their children with autism.
	Report Comment Loven Life*, Sh0NkA (3/8/2009 5:25:45 PM) I thought the numbers were higher! I am one. And so lucky I am never sick. I could careless as long as my kids have insurance.
	Report Comment Wayne Rohde, (3/8/2009 11:06:04 PM) There will be a Stop the Insurance Discrimination/ Insurance Reform Rally at the capitol Wed April 1 1pm
	Report Comment Wayne Rohde, (3/8/2009 11:06:28 PM) That is April 1st at 1pm
	Report Comment emotional_sting, tulsa (3/9/2009 6:35:53 AM) health insurance is priced beyond the means of most people. i had to decide if i wanted to pay my rent or live outdoors and pay for COBRA... the "snake" didn't prevail.

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