WILMINGTON,NC (WWAY) — One of the more popular parts of President Obama’s health care law upheld by the Supreme Court Thursday is the measure allowing adults up until the age of 25 coverage under their parents plan. However, once they turn 26, young adults will be forced to buy their own insurance or be hit with a potentially big new tax.
“Given the wages of young people, you know staggering amounts of student debt, I don’t know how people are going to afford it,” says Caleb Filomena, who lives in Wilmington.
According to the US Department of Health and Human Services about 2.5 million young adults from ages 19 to 25 received health care under the Affordable Care Act. Once 26, some say it may be impossible for many adults to even afford the coverage.
“Everything from rent to bills to everything else, all the other hidden fees that come with life that comes along,” says Kody Schlenk, who is covered under his parents’ insurance plan.
“I don’t see how people are going to pay another huge expense on top of it,” Filomena says.
With the Supreme Court’s ruling, young adults who can’t pay for health insurance will be taxed, which is something Senate Minority leader Mitch McConnell (R-KY) says will create more problems.
“The bill was sold to the American people on a deception,” McConnell says. “But it’s not just that the promises of this law were not kept. It’s that it made the problems it was meant to solve even worse.”
“At my job I know insurance is expensive, so I guess you shouldn’t be forced or taxed by any means,” Schlenk says. “It just doesn’t make sense. It seems if you’re getting taxed, you could use that to pay for some sort of insurance.”
Beginning in 2014, if you refuse to purchase health insurance and don’t get it from your employer, you’ll have to check a box on your tax form and the IRS will charge you up to $695 per adult or $2,085 per family.