Obama's Health Care Reform: A Game-Changer for Students

Strategic Insights -

College students have long struggled to access affordable health insurance, with one in six Americans lacking coverage. A staggering 30 percent of people 26 and younger were without health care, according to the Department of Health and Human Services. However, under Obama's health care reform, young adults can remain on their parents' insurance until age 26, regardless of their education status or living arrangements. This policy change is set to benefit over one million young adults in 2011.

Key Takeaways:

  • Obama's health care reform allows young adults to stay on their parents' health insurance until age 26, a provision that will benefit over one million young adults in 2011.
  • Insurance companies can no longer deny care based on age, ending discriminatory practices that have driven up costs for young adults.
  • The government is enforcing health insurance requirements on businesses with 50 or more employees, ensuring that all workers have access to affordable coverage.
  • Employees earning less than $88,000 per year will be eligible for government subsidies to make insurance more affordable.
  • The Student Aid and Fiscal Responsibility Act eliminates the Federal Family Education Loan Program and replaces it with the Direct Loan Program, which will save the federal government $61 billion, funding more Pell Grants for students with financial need.
  • The bill fundamentally makes college more affordable, as well as relieves stress in the competitive job market outside the college campus.

Statistics:

  • 1 in 6 Americans lack health insurance (Department of Health and Human Services).
  • 30 percent of people 26 and younger do not have health care (Department of Health and Human Services).
  • Over 1 million young adults will benefit from the health insurance provision in 2011 (Health and Human Services).
  • Employees earning less than $88,000 per year will be eligible for government subsidies for health insurance.
  • The Direct Loan Program will eliminate the need for private lenders, saving the federal government $61 billion in subsidies (Student Aid and Fiscal Responsibility Act).

Sources:

  • Department of Health and Human Services
  • Health and Human Services
  • Student Aid and Fiscal Responsibility Act (S. 3770, 111th Cong., 2009-2010)