Details emerge on young adults coverage, small business health law provisions

More details are emerging on what aspects of the new health reform law mean for coverage for young adults and how small businesses will be affected by the changes.

Los Angeles Times: "One of the first provisions of the federal healthcare overhaul — allowing young adults to stay on their parents' health insurance until they turn 26 — is expected to make a big dent in the number of uninsured young people this year. The change will make it easier and cheaper for thousands of 20-somethings to obtain insurance, even in states where other options have existed for several years." More than 30 percent of young adults go without health insurance. "The expansion is expected to increase premiums for all by less than 1 percent, [Health and Human Services Secretary Kathleen] Sebelius said. In states that have enacted a similar law, the effect will probably be less dramatic. But in most cases, the federal law will reduce the cost to parents to insure their grown children — because they won't have to buy individual policies for them, for example — and get those kids better coverage" (Washburn, 6/24).

MSNBC has an analysis of the law for entrepreneurs. "Before you worry too much about the changes, know that if your business has fewer than 50 employees, there are no penalties if you don't provide insurance, even after the law goes into full effect in 2014. But that leaves small to midsize businesses trying to make immediate sense of the changes that are coming and prepare for them as the bill's execution is finalized and implemented. Adding to the confusion is a rampant mix of misunderstanding and misinformation — not to mention that some elements just haven't been finalized yet." The reported column explains the provisions of the bill that will affect business owners including tax credits, coverage for early retirees and how "grandfathered" plans will affect the insurance landscape (Moran, 6/23).

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This article was reprinted from khn.org with permission from the Henry J. Kaiser Family Foundation. Kaiser Health News, an editorially independent news service, is a program of the Kaiser Family Foundation, a nonpartisan health care policy research organization unaffiliated with Kaiser Permanente.