Mandatory Insurance in Indiana?

[indyguy]

What is the name of your state? What is the name of your state? Indiana

My wife has been told that her health insurance (that she has to pay for) is mandatory.

Her premium is more than $250/month, and the problem is that I can add her to my companies health insurance policy for $28/month. Besides the premium being cheaper, the deductables are also cheaper, making it a bargin for us. However, as long as she is full-time, she is required by her group to take their insurance.

I noticed by the forum that certain states allow companies to have mandatory insurance so long as there is not a source.

Bottom line: My spouse can get coverage through me at a cheaper price (in Indiana), so can they really force her to take their health insurance?

Thanks so much in advance,

Regards,
Eric

 

[Beth3]

"My wife has been told that her health insurance (that she has to pay for) is mandatory" Told by WHO? Her employer?

 

[indyguy]

That is correct, her employer.

 

[cbg]

If they are paying 100% of the premium, then yes, they can force her to take the insurance. If she is paying for part or all of it, then I don't believe they can require her to take it.

However, they CAN require that she provide proof of other coverage before they waive her off the insurance.

Has she asked them whether they will allow her to waive the insurance if she provides proof of other coverage? If she has not, I suggest she do so. If the employer does not know, they should verify with the insurance carrier.

Chances are, especially if she works for a small company, that the insurance carrier has included a clause to the effect that they will cover all of the employees who are eligible for coverage. This is not uncommon and it is quite legal. It provides that the carrier does not end up providing coverage ONLY for those people who are likely to have a high claims ratio. However in most cases they will waive this requirement as long as they see proof that other coverage exists, thereby lessening the chance that someone will sign up for coverage only when they find out they have cancer, or when their son is in a motorcycle accident.

 

[indyguy]

Thanks for the info!!!

In response:

She is paying 50% (which turns out to be about $250/month).

She is a pastor in a conference that the average age is 55 years old, so your logic that it "...provides that the carrier does not end up providing coverage ONLY for those people who are likely to have a high claims ratio." is dead on. Because of the average age, and health condition of the participants, their premiums are out of this world

Yes, she has informed them that she could get insurance through my work (with proof - a letter from my company's insurance stating her acceptance into our program), and they told her as long as she is full-time, she could in no way leave the program.

Ugh. I hate just throwing money away!

Again, thank you, and if you have any other suggestions, or if my response spurs other thoughts, please do not hesitate to again reply.

Regards,
Eric

 

[cbg]

My only other suggestion is to contact the state insurance commission and ask them whether or not, under these conditions, they can make insurance participation mandatory. Be sure to explain that is is through the conference, because it occasionally happens that the rules are different in that kind of a situation.

If the insurance commission says that they cannot make it mandatory, then you'll have something to go back to the conference with. If they say they CAN make it mandatory, though, you're stuck.

 

[indyguy]

Thank you very much!