Illinois has recently passed a new dependent health insurance law that went into effect on 6/1/09.

IL HB 5285
IL PA-0958

Most people reading the news about the new law would see this as a victory for residents of Illinois. Dependent children now have to be covered until age 26.

Here is another take you will probably not read about.

The new law also states insurance companies cannot decline or exclude (rider) conditions for dependents.
So in reality this will only cause more people to be uninsured.

Example:
A family of 4 living in Illinois was recently offered a health insurance policy for an annual premium of $2,647 per year or $220.00 per month. Their children were on a few medications that the family was willing to pay for out of their own pocket, due to a substantial savings in premium. If they would have applied and the policy was issued prior to 6/1/09 they would have insurance today.

However......the offer of coverage came after 6/1/09 and due to this new law their new premium was now going to be $7,847 per year or $653.00 per month. Remember they were willing to pay for their children's medicine out of their own pocket, because of the money they would have saved in premium. The Illinois government took that option away and now they, unfortunately, are one of the 47 million uninsured.

Is the government helping or hurting?