Plan Will Ensure Continued Coverage before Reform Provisions Take Effect
PHILADELPHIA--(BUSINESS WIRE)-- CIGNA (NYSE:CI), one of the nation’s largest health service companies, said today it will be extending health insurance coverage to young adults, up to age 26, to help prevent a potential coverage gap for these individuals that may occur prior to provisions of the new health care reform law taking effect.
CIGNA's new policy, which is effective June 1, will keep as dependents young adults who would otherwise not be eligible for coverage on their parent’s insurance policies because of their residency, college enrollment and/or financial support.
“CIGNA believes all Americans must have access to quality, affordable health care,” said Tom Richards, senior vice president, U. S. product. “By extending health insurance coverage for our current young adult customers up to age 26, we can help ensure continuous access to care.”
The recent health care reform legislation extends the dependent coverage age of young adults to up to age 26. However, that specific provision of the law is not effective until September 23, 2010, potentially leaving many young adults, especially those graduating from college this spring, with a gap in coverage. The policy change means CIGNA will work to ensure that young adults will have continued coverage more than three months prior to the provision taking effect.
CIGNA's new policy will automatically apply for its fully-insured business. Employers and other plan sponsors with other funding arrangements, including self-funded plans, are responsible for establishing requirements for their benefit plans. These employers will have the option of also adopting the extended coverage.
CIGNA (NYSE:CI), a global health service company, is dedicated to helping people improve their health, well being and sense of security. CIGNA Corporation's operating subsidiaries provide an integrated suite of medical, dental, behavioral health, pharmacy and vision care benefits, as well as group life, accident and disability insurance, to approximately 46 million people throughout the United States and around the world. To learn more about CIGNA, visit www.cigna.com. To sign up for email alerts or an RSS feed of company news, log on to http://newsroom.cigna.com/rss/. Also, follow us on Twitter: @cigna and visit CIGNA’s YouTube channel at http://www.youtube.com/cignatv
Chris Curran, 215-415-2414
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