Student John Q.
What students don’t know about health insurance; Are you sure you have health insurance?
By Page Fitzsimmons
For many high school students across America college is the next exciting step to take after graduating. Families begin the college selection process expecting the education investment to be worth it all in the long run. Families and students sink into debt, focused with their “eyes on the prize,” determined to finish a race of time and money.
But, what many do not realize is that other living expenses on top of tuition cost can push an individual’s economical limit.
“I am $7,000 in debt because of medical bills,” said Katelyn Berry, who is a full-time student at the University of Oregon. “I have three jobs to support myself while going to school, and working that much takes time away from my schooling.”
Many aggrieved students are experiencing a large debt burden due to medical cost, which causes them to work more jobs therefore many are spending less time on school.
One major finance factor of living expenses many college students overlook is having health insurance to help cover medical costs. Not every college student can afford to purchase health insurance.
But, a major financial stress that can cause students to drop out is the cost of their medical bills.
According to a study done by the Council for Aid to Education and the National Governors Association in 2001, only about 42 percent of college students actually finish their degree and graduate. The percentage of students graduating has continued to decline since this study was done.
Due to the cost of higher education, college students have a huge debt burden as it is, without worrying about medical bills. If every college student had affordable and adequate health insurance, maybe more students would finish college and graduate.
But, would Congress requiring universities to regulate students to purchase mandatory health insurance change this economical burden?
Students should be able to focus on finishing their degree instead of stressing about how they must pay their medicals bills.
Some political, economical, and culture or environmental factors about Congress requiring universities to regulate students to purchase and have adequate health insurance raise some questions about whether or not this public policy would benefit college students or not.
According to University of Oregon Health Center Coordinator, Debbie Alley, a study showed that around 30% of students do not have medical health insurance. Of these students, and many others who have chronic diseases or are disabled, are forced to drop out due to medical bills and costs.
Due to this serious factor, Florida State University has required students since 2007 to purchase mandatory health insurance while enrolled (whether they needed it or not). A report done by the Office of Program Policy Analysis and Government Accountability showed the efficiency of mandatory health insurance at all 11 Florida state universities. This report showed more students graduate when they have adequate and reliable health insurance.
As one of the richest countries in the world, ironically the U.S. has not had universal health care, until now. Obama’s recent health insurance reform bill will not, unfortunately, benefit students’ health insurance. It just extends the age (to age 26) for those who are on their parents’ health insurance. This will be beneficial to a total of sixty percent of students, who are supplemented by their parents’ health insurance.
Americans simply cannot afford to pay more expensive taxes for universal health care that is not going to benefit every American. The bill also, does not benefit States that have already been proactive about their universities joining together and mandating students to maintain adequate health insurance.
Currently, as there is no bill in place that mandates universities to require students to have adequate health insurance while attending college, many students continue to struggle with their economical conditions to stay in school.
Looking at the Issues
Other countries that have universal health care have shown that they benefit culturally, economically, and socially by taking care of everyone in society. There is a major need for universal health care coverage in America, because people are dying from preventable causes everyday with out it.
According to T.R. Reid, author of The Healing of America, “hundreds to thousands of people die each year in America from preventable causes” because they cannot see a doctor due to not having health insurance.
Health insurance providers should supply adequate and reliable health care to everyone, at any time, in any medical situation.
This has been debated for years in the U.S., but many people in the American society just seem to drop the issue because having adequate health insurance means having more money. America being the one of the richest countries in the world, Americans have realized it’s a debate that it sometimes useless to discuss. Nothing it free. Having more adequate health insurance equals more money, and more money equals POWER!
If a public policy were to be made into a state bill, enforced by Congress, to require students to maintain purchase of mandatory health insurance, a question raised about if it would dramatically increase the tuition cost of attending college comes to mind. And, would this make college unaffordable?
Universities usually only offer health insurance plans from one provider because there is not a large demand to purchase health insurance through the school. With only one health insurance provider there is no competition, and this causes the cost of the health insurance to be a great deal more than it should be. If a health insurance provider has no other provider company to compete with, then the price will be a set price.
Tips to know about Health Insurance
Students and universities must bargain to get the lowest price for health care insurance. Universities must create competition for health insurance providers otherwise health insurance will cost more and become a financial burden for students rather than help.
Student health insurance is more expensive vs. employee health insurance because there are less people going to college compared to the general working population. So, due to the limited demand for affordable student health insurance, there is little competition between health insurance providers.
Enforcing a mandatory purchase of health insurance, students would experience an increase in tuition, but by only a small percentage. The good of an increase in tuition would weigh out the long-run cost of medical bills. It would not make college more unaffordable than it already is. It is economically more efficient for subscribers to have more health insurance options.
Health Insurance Discrimination
If someone is born with a chronic disease or a handicap, doesn’t that person deserve adequate health insurance that will provide reliable and useful medical services? And, why should that person have to pay for being born with a handicap? This is something more people (health insurance providers) should look at.
“Fundamentally, in every country, health care reflects a country’s moral values,” stated by T.R. Reid, of Washington Post. Many health insurance providers have evaded the American Disabilities Act (1990) that was enacted to protect people with disabilities from discrimination.
But, the Office of Health and Human Services, in Massachusetts, argues that health insurance can be expensive for anyone who wants adequate coverage; no one group or “type” of person is targeted. Some of the states that mandate student health insurance provide private insurers. Generally, private insurances are more expensive.
Because handicapped and chronic diseased people are seen as a liability for health insurance providers, due to their medical needs and costs, their health insurance is more expensive.
What needs to be done?
Culturally, the United States is best traditionally known for honor, freedom, and gives an opportunity to succeed in life. Most would even call this “the American dream.” So, shouldn’t that legacy go on by supporting better health care? Every American student deserves to succeed without having to worry about financial burdens that should be covered and taken care of by health insurance providers.
With six states (California, Idaho, Minnesota, Montana, New Jersey, and North Carolina) already in action for mandating and providing adequate student health insurance, universities need to continue working together to enforce mandatory health insurance. Universities working together on requiring mandatory health insurance would provide competition between health insurances, which would contribute more and lower prices to choose from.
