- With rising unemployment, health care costs, and insurance premiums, more people are uninsured and rely on public health programs. Whether an employer discontinues health insurance coverage, employment is terminated, or a person divorces a spouse who is the insured employee, an individual still may qualify for a health care plan, as there are health insurance options available for the uninsured.
- COBRA coverage allows individuals and their dependents the option of continuing on an employer's group health care plan even after employment ends. Temporary coverage may continue for 18--36 months. However, in order for a person to qualify, an employer must have 20 or more employees. Anyone enrolled in another group health plan is not eligible to receive COBRA coverage. Some group health plans also require a waiting period excluding coverage for pre-existing conditions. The cost for COBRA coverage includes 100 percent of the premium due plus 2 percent for administrative fees. Although COBRA coverage may seem expensive, an individual health insurance plan can cost much more.
- Medicaid is a program jointly funded by federal and state governments that provides medical care to individuals who meet certain eligibility criteria. While eligibility requirements vary among states, qualifying individuals generally must have low incomes and limited resources. The medical services available to those who are eligible also differ from state to state. In some cases, if people who lose their jobs or have the number of hours they work reduced and can no longer afford to pay the premiums for their current health insurance plan (particularly COBRA premiums), Medicaid may help pay the premium even if an individual does not otherwise qualify for the Medicaid program. To find out if you qualify for assistance, contact the Medical Assistance Office in your area.
- Many states now offer high-risk insurance pools, which make health care available to individuals who otherwise do not qualify for health insurance coverage. These public programs are established by states so that certain uninsurable individuals who have been turned down by private insurers can obtain health insurance coverage. People who may be eligible include those who have been rejected by other health insurers; have had health insurance benefits reduced or certain medical conditions excluded; have a qualifying health condition; or have been involuntarily terminated from another health insurance plan. In some states enrollment is limited based upon the availability of funds. Because many of these states must limit enrollment, it has become necessary to establish waiting lists. Other states offer the option of converting a group health plan to a non-group policy. In most cases, conversion policies are more expensive and do not offer the same benefits covered by a person's former group health plan. The primary advantage of choosing a conversion policy is that a person cannot be turned down for coverage, and the policy may not include a new pre-existing condition exclusion period. Laws governing conversion policies can also differ from state to state. Contact your state insurance commissioner's office for additional information specific to your state.