After graduation, insurance issues plight many University graduates.
Health coverage rates for University graduates are continuing to be an increasing problem many students are concerned about. The University’s Student Health Insurance policy gives students a one month grace period after graduation before they are dropped from the University’s coverage plan. These strict policies leave students questioning how necessary health insurance really is, and how they can afford it.
Christopher Dave is a 2009 University alumni and currently carries no health insurance. He said being burdened with health insurance policies is too expensive for graduates to afford, especially when the job market is so competitive.
“With my parents’ health insurance policy, I would be insured until one month after I graduated,” Dave said. “I was notified by my parents that I should not go to the rec center as often. You can’t be under your parents’ health insurance policy forever, but if they gave you a year after you graduated to maybe get a good job that would allow me to work for benefits, it wouldn’t be as big of a concern.”
For many graduates, the solution to finding affordable health insurance is simple: find a job that carries health benefits. But with the recent economic recession, finding a job at all may be a challenge, let alone having one with health benefits. According to a survey conducted by the National Association of Colleges and Employers, nearly 80 percent of students graduating in 2008 did not find a job until nearly 8 months after graduation. Until graduates find a job that pays a steady income, they will be one of the millions left without health insurance and at the risk of high-expense medical bills.
While many graduates feel their options are limited, The Universities GradMed program helps students receive low coverage rates based on a 30, 60, 90, or 120 day pay period. According to the company’s Web site, after the $500, $1,000 or $2,500 deductible, GradMed pays 80 percent of the next $5,000 of usual and customary medical expenses. Graduates are able to choose from any of their preferred health care providers and medical physicians.
The American Insurance Administrators is the marketer of the Universities GradMed program and has been supplying college graduates with suitable health insurance since 1978. According to the company’s Web site, over 300 college alumni associations have selected the AIA as their key provider in health coverage. The AIA provides affordable health coverage for 500,000 graduating students each year, making the AIA the largest company of its kind.
Jeff Roedel is the CEO of AIA and said their program is unfamiliar to a lot of graduates and many are not even informed of the AIA’s benefits.
“It’s shocking to me how many students are unaware of our [AIA’s] services,” Roedel said. “It would be a terrible thing for someone to be involved in a situation where they were unable to have health insurance and had to pay medical bills out of their pocket. We’re just trying to give an outlet to affordable health insurance all young graduates can afford.”
As insurance rates continue to rise and more students are being docked from their parents’ plan, evaluating the alternatives may be worthwhile. Under Ohio state law, graduate students are still considered full-time students and are still qualified for being covered under their parents’ account. Graduates who are pursuing their doctorate degree, however, are exempted from this policy.
“I was not informed by the University of any kind of alumni health benefits,” Dave said. “I would definitely like to have some kind of notification so I don’t end up being more in debt than I already am. Anything is better than nothing.”