Health Care Reform May Affect Institution Insurance Plans
Friday, October 16th, 2009
The Senate Finance Committee’s recently approved health care bill specifies two sorts of health care plans: employer-provided and individual policies purchased through an insurance exchange. To much of the population, this would seem to cover all the forms of insurance, but those affiliated with college and universities know there’s a third way: college- and university-issued insurance. Health insurance plans issued by institutions of higher education fall into another category, “limited duration products” according to the Health Insurance Portability and Accountability Act of 1996 (HIPAA).
This may be an inadvertent mistake, and representatives of the American College Health Association have written to Senators requesting clarification.
The Government Accountability Office (GAO) reports that, in 2007, 67% of college students 18-23 received health insurance through employer-provided plans (likely their parents’ plans); 6% used Medicaid and the like; 20% were uninsured, and 7% had insurance through another private plan, such as an college-issued program.
Student insurance plans were offered at 71% of private institutions, 82% of public institutions and 29% of two-year public institutions in 2008, reported the GAO.

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