January 17th, 2024 – A little known regulatory change in 2023 will have a big impact on many young Coloradans and pregnant women in 2024. Beginning January 1st, insurance policies sourced through Connect for Health Colorado are required to keep dependents who turn 26 on their parent’s health insurance plans until the end of the calendar year.
In the past, when a parent’s son or daughter turned 26, they were forced off their parent’s policy that same month. This caused problems if the child had already met their deductible or out of pocket maximum, as any new individual plan they would enroll in would have a brand new deductible and out of of pocket maximum that still operated on a calendar year basis. So, if the 26 year old potentially had to meet two deductibles and out of pocket maximums in a single calendar year.
Starting January 1st of this year, 26 year olds are allowed to stay on their parent’s Connect for Health Colorado or Colorado Connect health insurance plan through the end of the calendar year. This regulation was already in place for the federal marketplace, but Connect for Health Colorado and Colorado Connect now require it in Colorado as well.
However, if a parent has an adult child who is not a tax dependent, they would be wise to compare the costs of keeping the child covered under their company’s plan versus having the child get their own health insurance coverage. Depending on the income level of the non-dependent child, they may qualify for reduced premiums or even free health insurance through the Connect for Health Colorado marketplace or Health First Colorado.
It is important to understand that this new requirement only applies to plans sourced through Connect for Health Colorado and expressly does NOT apply to employer sponsored health insurance or even off-marketplace individual plans.
Also new in 2024, Coloradans who become pregnant will have a new 60 day Special Enrollment Period based upon their pregnancy. The qualifying life change event date will be the date that the health care provider certifies the pregnancy.
Colorado Health Insurance Brokers helps businesses and individuals with their health insurance needs across the state of Colorado.
