How Can I Get Health Insurance After Being Denied?

You've recently applied for Health Insurance coverage and was denied due to a pre-existing condition. Health insurance companies are denying coverage to individuals due to conditions such as diabetes, heart disease, cancer and even depression. What can you do now after being denied coverage? There are other options besides the traditional individual health insurance plan and some are recent due to the passage of the Patient Protection and Affordable Care Act (H.R. 3590).

The Affordable Care Act (ACA) made it illegal for health insurance companies to discriminate against those with pre-existing conditions. This part of the law, however, doesn't take effect until January 1, 2014. In the meantime, health insurance companies can continue to discriminate and deny people with pre-existing conditions; even if they are relatively minor conditions.

Temporary High Risk Health Insurance Pools (PCIP's)

One relatively unknown part of the law is Sec. 1101 which "... Requires the Secretary to establish a temporary high risk health insurance pool program to provide health insurance coverage to eligible individuals with a preexisting condition. Terminates such coverage on January 1, 2014, and provides for a transition to an American Health Benefit Exchange...". This means that state must provide a high risk health insurance pool for those who have been denied coverage due to a pre-existing condition. Some states are subsidized by the Federal Government via the Department of Health and Human Services while others are fully state sponsored.

These pools can actually be relatively affordable. For example, Pennsylvania's program is called PA Fair Care. As of 2011, the premium is $283.20 per month with a $1000 in network deductible. If you have a pre-existing condition, especially one that requires frequent treatments or doctor visits such as cancer, then these plans may be a good way to go.

The states that are subsidized by the HHS are set up whereby the federal government pays the "high risk portion" of your premium and may make it possible for you to get coverage at rates that are relatively affordable. A map linking to each state's programs as well as a way to apply online for those states who are subsidized by HHS can be found on the healthcare.gov website. When applying for coverage , you typically have to have been uninsured for at least 6 months and you have to have proof of being denied coverage during that time. If you don't have a rejection notice, then you can re-apply for individual health insurance coverage (it doesn't hurt to try again) or call the previous company you applied with and have them send you a copy of the rejection notice.

Again, these PCIP's are meant to be temporary until your state has it's Health Insurance Exchange set up by the deadline of January 1, 2014. They can be an excellent option for those who have been denied coverage.

Where can I compare health insurance rates?

If you want to compare individual plans from dozens of major insurance companies, then we recommend InsureMe where you can compare rates from dozens of health insurers such as Aetna, Humana, BCBS, Anthem, United Health and many more. They also include quotes from independent insurance agents.

Another great source for comparing health insurance plans is .

This should not be considered financial advice which can only be given by a qualified financial professional. We suggest you consult with a qualified financial planner and/or insurance professional who is most qualified to consult with you regarding policy decisions. Many factors are involved in your policy premium and approval; some of which may not be mentioned in this article. We are an affiliate of the Bankrate Insurance Network.

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