The Impact of the Affordable Care Act on College Students
How it works
Politics is a subject that often remains untouched in casual conversation, unless one is seeking to engender debate or stir discomfort among a crowd. Much like the world of politics, college life can be equally bewildering, yet exhilarating. As a college freshman, I can attest to the experience of navigating this new world, full of both confusion and excitement, as I discover the “real” world. The enactment of the Affordable Care Act (ACA) in 2010 has similarly transformed the landscape of healthcare insurance, bringing about significant changes not only for the general public and insurance companies but also for college students.
Broadening Access and Benefits
College students have historically found themselves at a disadvantage when it came to healthcare benefits, often receiving minimal coverage unless they were willing to pay for high-end, expensive plans. However, the ACA has shifted this dynamic, offering benefits akin to those of premium plans but at a more affordable cost. Nevertheless, this shift did not come without some drawbacks, such as increased taxes and insurance premiums for those already covered. The primary goal of the ACA, commonly referred to as Obamacare, was to curb what liberals saw as abuses and profiteering by private health insurance companies, a move beneficial to college students burdened by high tuition costs.
According to an article by Brian Burnsend in U.S. News and World Report, titled “5 Ways Health Reform Affects College Students,” the ACA presents three primary benefits for college students. The first benefit targets older students by allowing them to stay on their parents' insurance plans until they turn 26. Previously, graduating students found themselves without coverage, a daunting prospect as they sought employment for the first time. The ACA’s provision is particularly advantageous for graduates who are job hunting in a competitive market or those pursuing further education, as 67% of college students opt to remain on their parents’ plans. This is crucial, especially as 30% of colleges mandate that students must have insurance to enroll, emphasizing the importance of the ACA’s reforms for those not on their parents’ plans, who must instead enroll in government plans.
Enhanced Campus Health Plans
The second benefit involves improvements to on-campus health plans, which traditionally favored institutions over students. The ACA mandates that these plans be more student-centric. For instance, the University of Arizona's student insurance plan allows students to seek care from community providers with a referral, granting access to specialists not available on campus. This flexibility is invaluable for students with specific medical needs. The elimination of lifetime caps on coverage marks the third significant benefit. Previously, insurance companies could limit the lifetime coverage for certain conditions, leaving individuals with chronic illnesses, like diabetes, without sufficient coverage. The ACA prohibits such caps, ensuring continued support for students facing long-term health challenges.
In conversations with Hannah from the University of Arizona’s campus health center, it is evident that college students often deprioritize their health due to academic and social commitments. With many still on their parents' plans, health insurance considerations often take a backseat. However, the convenience of on-campus health facilities, paired with improved insurance options, simplifies access to healthcare services for students new to Tucson, Arizona. Students who are not on the university's insurance plan face challenges, such as paying out-of-pocket or navigating complex reimbursement processes, illustrating the bureaucratic hurdles the ACA does not fully address.
Challenges and Criticisms
Despite the benefits, the ACA has faced criticism. Some policies were deemed non-compliant with the act, leading to coverage loss for many, including students. Additionally, the ACA's aim to provide insurance for all, including those unable to afford it, inadvertently raises insurance prices and taxes for others. Newly employed graduates, finding themselves in a higher tax bracket, face increased living costs as they contribute to subsidizing insurance for others. This financial burden can be challenging for those starting their careers. Moreover, the ACA's high deductibles for low-income individuals, such as college students, make it difficult for them to utilize their insurance effectively. With deductibles reaching up to $2,250, many students, particularly those who are healthy and require minimal medical care, find it challenging to meet these costs, rendering their insurance less effective.
The ACA has undoubtedly reshaped the perception and accessibility of health insurance for college students and the broader American population. While it has not mandated that campus health centers accept all insurance types, it has reformed campus insurance plans to favor students by offering more coverage at reduced costs. Options like the University of Arizona’s semester-based plan provide flexibility for students with varying needs. The act’s provision allowing students to remain on their parents’ plans until age 26 supports students through their undergraduate and graduate studies and into their early careers. However, for those without parental coverage, the ACA’s high deductibles pose a significant barrier, often leaving them to pay out-of-pocket costs, highlighting the need for further reforms to enhance accessibility and affordability.
The Impact of the Affordable Care Act on College Students. (2022, Jun 26). Retrieved from https://papersowl.com/examples/the-benefits-of-the-affordable-care-act-to-students-in-american-colleges/
