When a child moves out of state, there are several options for providing her with insurance, including keeping her on the family insurance plan through a parent's job. If the coverage is an HMO or a PPO, the family sometimes faces additional out-of-pocket expenses when using this approach, especially if she is unable to find a network provider near school.
The Affordable Care Act has changed the eligibility rules, allowing children to remain on their parent's coverage, regardless of where they live. Under certain circumstances, the family health plan is able to provide coverage for adult children up to age 26. For some students living out of state, this is the best option. While the law prohibits insurance companies from charging more for adult children than for any other child, some companies are increasing the cost to cover all children in response to this limitation. Others only provide emergency care while the student is out-of-state, requiring her to return home for routine check-ups.
If the child is a college student, her university likely offers a student health plan. According to Bankrate, some colleges, such as Emory, automatically enroll their students without coverage in the university's health plan, sometimes for as little as $1,200 per year. Unfortunately, some plans offer minimal coverage.