HEALTH CARE Options for young, healthy, broke

Associated Press

WASHINGTON

They’re young, healthy and flat broke — and now the government says they have to buy thousands of dollars’ worth of medical insurance. What should tapped-out twentysomethings do?

Well, some may just do nothing. The annual fine for shrugging off the new federal insurance requirement, which is to begin in 2014, starts out at a relatively low $95, depending on income. That would be far cheaper than paying premiums.

But that doesn’t necessarily make blowing off the mandate a good idea for the fit and frugal. Millions of young people will qualify for good deals on health care if they take time to sort through the law.

Many will get Medicaid coverage at virtually no cost. Others will qualify for private insurance at a fraction of the full premiums. And health plans offered under the law will limit individuals’ out-of-pocket expenses to about $6,250 per year or less

The plans also will cover at no charge preventive care such as HIV tests, screening for depression or alcoholism, flu shots, hepatitis vaccine, contraception and pregnancy care. And insurers will no longer be able to exclude or charge extra for people who already have health problems.

Young Americans are the least likely to be insured: Almost three of 10 adults who are under 35 aren’t covered. They go to emergency rooms more than any other group except seniors.

It’s possible President Barack Obama’s health care law won’t be around in 2014, when the big changes are to kick in. Congressional Republicans and GOP presidential candidate Mitt Romney want to repeal “Obamacare” if they win the November elections. Still, with open enrollment for the law’s new state-based insurance markets scheduled for October of 2013, it’s prudent to considering options for coverage.

GOT A JOB? START THERE

More than half of Americans already are covered through their jobs. But young adults have the nation’s highest unemployment rate and also are more likely to toil in low-wage jobs without benefits.

Some employers, especially smaller businesses paying lower wages, may now drop their plans and expect their workers to get government help.

UNDER 26? LEAN ON MOM OR DAD

One of the law’s most popular provisions, already in effect, ensures that parents with family plans can keep their adult kids enrolled until they turn 26, if the children don’t have a suitable workplace option.

CONSIDER MEDICAID

Right now, Medicaid mostly covers children and low-income adults who are disabled, pregnant or raising kids. But the health care law will push states to expand Medicaid to also cover other adults with incomes up to around $15,000, adjusted for inflation in 2014.