WKOW 27: Madison, WI Breaking News, Weather and SportsState to expand health coverage for young adults

State to expand health coverage for young adults

MADISON (WKOW) -- Gov. Jim Doyle passed an emergency rule Thursday to clarify a bill that allows young adults to receive coverage under their parents' health insurance plans until age 27.

The law passed in June 2009, but according to Doyle, there were a number of loopholes in the bill that needed clarification, which this new rule provides.

Under the new rule, any adults who are less than 27 years of age, not married and not eligible for health insurance through their employers can remain on their parents' plan.

Plus, the young adult does not need to reside in Wisconsin to be under his or her parent's plan; however, the insured parent needs to be a permanent resident of Wisconsin.

Doyle called the measure a "remarkable step forward for people in this state."

"Before, if you came out of high school, you were 19, 20 years of age, and you weren't going to school, you were on your own," said Doyle.

However, the law does not apply to any self-funded coverage plans, which officials say make up roughly 40 percent of the state's insurance.

"It's nice that this is going to have an impact on a lot of students, but there's still a bunch of them that will not be affected by this," said Bobby Peterson, an attorney for Advocacy and Benefits Counseling. "The [self-funded] companies can voluntarily follow the Wisconsin rule, but many of them won't."

The mandate will go into effect Jan. 1.