Some insurers consider dropping child-only coverage

Several of the nation’s largest health insurance providers have announced plans in some states to stop offering new child-only plans, just days before new federal regulations prohibit denial of coverage for children with pre-existing conditions (Source: “Some insurers drop child-only coverage,” Washington Post via Columbus Dispatch, Sept. 22, 2010).

While companies such as WellPoint and Cigna plan to no longer offer new policies in some state, they will continue to cover children who already have a a child-only policy and will accept children with pre-existing conditions in new family policies.

Although Ohio officials acknowledge that they can not force providers to offer child-only policies, the Ohio Department of Insurance is planning to move quickly to issue an emergency rule that would set a defined time period – January and July—for offering child-only coverage  (Souce: “Ohio to propose fix for insurers fleeing child coverage,” Business Courier of Cincinnati, Sept. 23, 2010).

The rule would mean families would have to plan ahead and not wait until after a crisis to enroll in a plan.

“I think if carriers have certainty about things like open enrollment it will get them to come back in the market with this product,” said Doug Anderson, Chief Policy Officer at ODI. “We’ve talked to insurers, and we understand it will be helpful.”