Coverage for College Students: Are They Still Protected Under Your Plan?

As a parent, sending your child off to college means you’re already thinking about tuition, dorms, textbooks, and meal plans. But what about their health insurance coverage? Whether they’re headed across the state or across the country, one question often goes overlooked: will they still be protected under your plan?

The answer is far from being a one-size-fits-all solution. Let’s break down the options available, the rules you need to know, and how to ensure your student is covered without overpaying or leaving gaps in care.

1. Staying on a Parent’s Employer-Sponsored Plan

Under the Affordable Care Act (ACA), children can stay on their parent’s health insurance plan until age 26, regardless of whether they live at home, attend school, are married, or are financially independent. This is often the simplest route, but it comes with caveats.

A key concern: provider networks. Many employer-sponsored plans have regional or local networks. If your student attends school out of state, they may be “out of network” for routine care, meaning fewer provider choices and higher out-of-pocket costs.

A 2023 report from KFF (Kaiser Family Foundation) found that 7 in 10 parents don’t know whether their children’s providers are in-network when away at school.

2. University-Sponsored Health Plans

Many colleges and universities offer their own health plans, often with automatic enrollment unless the student provides proof of other coverage. These plans can be affordable and convenient, with on-campus health centers and no network restrictions for local care.

However, they typically only offer coverage during the academic year, and may lack robust out-of-area or summer coverage. Also, some don’t cover dependents and there may be limitations on certain types of care.

3. ACA Marketplace Plans (a.k.a. “Obamacare”)

If your student is no longer on your plan or you don’t have employer-based coverage, a policy through the Health Insurance Marketplace may be a great option. These plans are guaranteed issue, and subsidies may be available depending on income (which can be based on the student’s income if they file taxes independently).

Marketplace plans also provide coverage for preventive care, mental health, prescriptions, and essential benefits, something especially valuable for students managing chronic conditions or ongoing treatment needs.

4. Medicaid (If They Qualify)

In states with expanded Medicaid, low-income students may qualify based on their own income. This can be a valuable safety net, but not all students will be eligible, particularly if their parents claim them as dependents.

What to Watch For:

• Check network availability near campus, even if staying on a parent’s plan.
• Consider medical needs like mental health, prescriptions, or ongoing care when evaluating plan options.
• Compare out-of-pocket costs, deductibles, and premium differences.
• Don’t double-pay. Opt out of the school plan if you’re already covered elsewhere (but only after confirming adequacy of coverage).

Final Thoughts

Health insurance may not be as exciting as dorm decor or class schedules, but it’s just as important, especially when your student is hundreds of miles away. Don’t assume they’re covered. Take time to review their options, compare networks, and build a plan that makes sense for your family.

If you need help evaluating your coverage or exploring alternatives, reach out. We’re here to help make this transition smoother and safer for your student.