GovernmentExecutive.com

Federal employees may find themselves shelling out a lot more money for health insurance if their children don't secure their own coverage by the time they reach their early 20s. That's because the Federal Employees Health Benefits Program only provides insurance to dependents until they turn 22.

"Young adults are the fastest growing age group among the uninsured," said Colleen Kelley, president of the National Treasury Employees Union. "While the current law provides health insurance until age 22, 22-year-olds are seldom in a position to obtain health insurance themselves."

FEHBP coverage is available to spouses of federal employees and unmarried dependent children under age 22, including legally adopted children and children born out of wedlock. Stepchildren and foster children also qualify. But the only dependents older than 22 eligible for continued coverage are those incapable of self support because of mental or physical incapacities.

According to a report released last week by the Commonwealth Fund, a private foundation supporting independent research on health care issues, nearly two out of five college graduates can expect to be without health insurance at some point during their first year out of school.

Kelley noted that the law surrounding FEHBP is cutting many students off from their parent's federal health plan even before they graduate.

Nancy Kichak, associate director for strategic human resources policy at the Office of Personnel Management, said the government offers the option of temporary continuation of coverage for dependents over 22. But under the temporary option, dependents or their parents are responsible for paying the full cost for the coverage, Kichak said.

"They are always welcome to shop on the outside," Kichak said. "Usually, if they are a student, they can buy it through their [university]."

Earlier this month, Kelley told the House Oversight and Government Reform Subcommittee on the Federal Workforce that employees and their families could greatly benefit from legislation that would increase the cutoff age for dependent coverage under FEHBP to 25.

"Because young adults are healthier than older adults, it may be possible that adding more young adults to a pool of health care participants may even lower the average costs of group insurance," Kelley testified.

But according to Kichak, OPM does not view such a proposal favorably. Agency officials believe increasing the dependent care age would actually hike the costs of FEHBP group insurance, Kichak said. She did not indicate whether any studies have been conducted to assess the cost of boosting the age.

Kelley said that while OPM did a quick, informal analysis, a more comprehensive study needs to be done.

"Common sense tells you that if you add large numbers of young, healthy people to the program, that should spread out costs among everyone," Kelley said. "It should not be prohibitively expensive."

Congress has yet to tackle the issue. But Kelley said NTEU is working with a number of lawmakers in hopes of securing a proposal.

Meanwhile, many states are jumping on board to bump up the eligibility of dependents. Utah recently changed its law so that dependents don't grow out of health care coverage until their 26th birthday, regardless of whether they are enrolled in school. New Jersey provides health care coverage for dependents until their 30th birthday.

"The federal government is already behind the states on this," Kelley said. "They should be leading on this issue so the cutoff age is raised for all."

COMMENTS

• Hi all! I am a 21 year old College senior who is turning 22 in March.. 2 months before my graduation. I think that the BcBs FEP is ridiculous! I do not understand why I can not be covered until I am out of school. When I turn 22, I am going to have to be "careful" and try not to get sick or get hurt. Right now, I am trying to schedule all of my doctors appointments because come March 12, there will be no more doctors for me until I can afford my own health care. Now, please do not mistake me for one of those kids who their parents hand everything to them. I am FAR from that type of children. I work extremely hard to pay for my own tuition and work even harder to make deans list. I think that if a student can show that they are making deans list that BcBs should keep them as a dependent of the policy holder until they are done with schooling. Even my own car insurance has a deal like that one -- I make deans list, I lower my rates! I just think that it is unfortunate for many students like myself to be kicked off our health insurance policy when we turn 22. As for those who disagree, look around.. times have certainly changed since you were my age. Being a full time college student is harder now then when you were in school. TRUST ME. I am a full time college student - with a full time job of studying when I am not in class. I also work a part time job. I know that there are students out there who are slackers, but try not to generalize all college students to fall under your stereotype of kids today. There are deserving students out there who work hard and will be without health insurance come their 22nd birthday!! ...and as for NTEU Member --- your "I pay for your schooling, your transportation, to get rid of their garbage..." SERIOUSLY cry me a river then build yourself a bridge and get over it!!! We ALL pay our share of taxes, so do not make yourself come off as you are single handily paying for it yourself. Maybe you should be worrying about all the illegals coming over the boarder, having 14 kids and going on welfare with their green cards. Instead of worrying about full time students who need health insurance because they have college loans to worry about, maybe you should start worrying about your tax money going to illegal citizens welfare checks! Mm? Typical College Student Posted December 16, 2007 7:19 PM
• I think that 22 is very unreasonable, just because someone's parent/parents are government employees. The insurance would not be given "free" after 22, it would still be paid for. This brings a finacial hardship to the parents/child OR creates a difficulty for the child suceeding in school due to either having to work to gain insurance OR having no insurance and actually risking health or paying for medical needs. I can't believe that no one has corrected this sooner. Probably because no one cares about it unless you had this situation with your own child. I say it is reasonable to expect that many children may attend college for 6 years and 24/25 should be the cutoff. lisa l Posted November 29, 2007 5:36 PM
• I am astonished about the comments I am reading. I was looking for a possible solution to finding coverage for my child who just turned 22 and graduates in May. I don't understand these comments about other people paying for my child. This is not public assistance(welfare) we are talking about. It's about extending the coverage for 'my child' that I already pay for. I have a total of 7 children through marriage, so no, I am not trying to spoon-feed, or spoil them. I just want them to focus on their studies while in school, and then they have the rest of their lives to work and pay for their own insurance(hopefully). I don't think coverage should be until they finish school necessarily (some kids are on extended plans because they have transferred too many times or other reasons). But, at the same time, that should be my option if it's my child. Like I said I already pay for the insurance, I just want the option of extending coverage for my child a little longer. I called my insurance carrier and the price they quoted me was too expensive for me as some one who has been working for a very long time, yet along someone who is just starting out. I do feel the government needs to pick a standard age for when the kids are considered (Grown). They can drive by the age of 16, they can vote by 18, they can be forced to join the military by 18, they can't drink legally until 21, all while still under their parents roof, but they can't be medically covered pass the age of 22 because their parents are government employees......It should be an option!!!!!!!!!!!!!!! DeeJay Posted November 28, 2007 11:32 AM