Can I Go To Rehab On My Parents’ Insurance?

Young people are not immune to substance use disorders (SUDs) and drug or alcohol addiction. In fact, according to SAMHSA’s 2023 National Survey on Drug Use and Health (NSDUH), the segment of the U.S. population with the highest rate of SUDs is young adults ages 18 to 25, at 27.1% or 9.2 million adults, compared to 17.1% for all Americans over the age of 12. 

With so many young adults experiencing substance abuse, including severe forms of drug or alcohol dependence and addiction, it’s increasingly important that resources be set aside to help this group access treatment and recover. Going to rehab on a parent’s insurance plan is one such option for many Americans, at least until they reach the age of 26. Otherwise, you may be able to purchase your own health insurance for addiction treatment, or access other resources that make treatment more affordable, like sliding-scale fees, public health insurance, publicly funded treatment centers, and scholarships or grants. 

Rules And Regulations Under The ACA

The majority of health insurance plans provide coverage for addiction treatment, many of which are required by law to do so. Following the passage of the Affordable Care Act (also known as Obamacare), addiction treatment services like medical detoxification, residential rehab, and outpatient rehab must be covered as essential health benefits by all health insurance plans sold on the Health Insurance Marketplace.

The ACA also requires these health insurance providers to allow parents to keep their children on their health insurance plans until the age of 26. This change has helped protect many young people from high medical bills during young adulthood, a financially vulnerable period when many are still finishing school and/or building a career.

This all means that, if you have health insurance (including health insurance coverage from your parents), you can most likely use those benefits to cover at least a portion of the cost of your addiction treatment services. 

However, each health insurance plan has its own terms, requirements, and limitations, and it’s important to understand what they are and what the actual out-of-pocket cost of your care will be. Nevertheless, health insurance coverage for SUD treatment services has made this life-changing care affordable for countless Americans who otherwise might not have been able to get the care they need. 

Purchasing Health Insurance

An estimated 7.7% of Americans do not have health insurance, according to the HHS Office of Health Policy. If you are older than 26 or aren’t able to get health insurance through your parents for another reason, you can still get health insurance on your own.

Your options include:

• visiting the HealthCare.gov Health Insurance Marketplace and purchasing a health insurance plan there
• enrolling in a healthcare plan sponsored by your employer
• enrolling in Medicaid or the Children’s Health Insurance Program (CHIP) if you qualify 

For Health Insurance Marketplace plans, in general it is best to enroll or make changes to your coverage during the open enrollment period, which runs from November 1 to January 15 each year. However, you may also be able to do so during a special enrollment period, such as if you experience a life event like getting married or divorced, adding a child to your family, losing other health insurance coverage, or moving. 

Note that short-term or catastrophic health insurance plans are not generally ACA-compliant and may not cover addiction treatment services. 

Understanding Your Health Insurance Benefits

Health insurance can be complex, and picking the right plan with the right coverage and other features can make a big difference. Some of the most important elements you should be aware of when evaluating your own coverage or shopping for a new health insurance plan include the following cost concerns.

Premiums

This is the amount that you or your plan’s policyholder must pay your insurance provider monthly for your insurance coverage. In employer-sponsored plans, the employee’s portion is generally withheld from their paycheck. Higher premiums usually come with more favorable features, including lower out-of-pocket costs, if and when you do need to use your insurance benefits. 

Deductible

Your deductible is the amount that you have to pay out of pocket for health services before your insurance coverage kicks in and begins paying for some or all of the care you receive. 

Copays

A copay is a set amount that you must pay for specific healthcare services, such as doctor’s appointments. Copays generally do not count toward your deductible.

Coinsurance

This is a percentage of your health insurance costs that you pay after you have met your deductible, with your insurance provider covering the remainder of the cost of your care. While a lower coinsurance can save you money on medical services, a higher coinsurance will allow you to reach your out-of-pocket maximum faster. 

Out-Of-Pocket Maximum

This is the total amount of money you will pay out of pocket for covered healthcare services within one year, typically the calendar year, including your deductible, copays, and coinsurance. It does not include premiums or non-covered services. After your out-of-pocket limit is met, your covered healthcare services will be covered 100% by your insurance provider for the year. 

In-Network Providers

These are healthcare providers who have agreed to provide services to certain insurance policyholders at a discounted rate. Using in-network providers is generally faster and easier, and out-of-network services may be excluded from elements of your plan, like your out-of-pocket maximum, and have their own set of out-of-pocket costs.

Keep in mind that different insurance plans are structured differently, and the terms and coverage they provide can vary widely. Check your policy details or contact your provider’s helpline to learn more. You can also reach out to us here at Ohio Recovery Center to request a coverage breakdown and cost estimate.  

If Going To Rehab On Parents’ Insurance Isn’t An Option

If you aren’t covered by your parents’ insurance plan and can’t access any health insurance benefits right now, other resources are available to help make treatment more affordable. 

Sliding-Scale Fees

Some addiction treatment providers are able to heavily discount their fees for clients with limited financial resources, matching the cost of treatment to a client’s ability to pay through a sliding fee scale. You may need to show proof of income to participate. 

Government-Funded Treatment Centers

Some treatment centers receive government funding specifically to provide care to financially vulnerable clients. To access these programs and establish your eligibility, contact your local substance abuse or crisis helpline or reach out to your local department of health. 

Scholarships

Many individuals and organizations donate funds to help people participate in addiction treatment services. Addiction treatment scholarships are generally awarded to individuals directly. The requirements and application process for these awards can vary. 

Medical Loans

Some lenders offer specialized medical loans or healthcare loans to help people spread out the cost of their treatment over a longer period of time. However, it can be hard to get a loan if you have no credit or bad credit, and rates can vary from zero-interest to high-interest. Some rehab centers also offer payment plans for their clients. 

Find Help At Ohio Recovery Today

Getting treatment for SUD is an investment, but it is an investment in a positive future where you get to be the person you want to be, free from addiction. Ohio Recovery Center can help. 

Contact us today for information on our residential treatment programs in Van Wert, OH.

Services we provide include:

• assessments and treatment planning
• medical detoxification 
• behavioral therapy
• medication-assisted treatment
• dual diagnosis treatment for co-occurring mental health disorders
• peer support groups
• alternative treatment programming
• case management
• aftercare coordination
• alumni events

We are happy to answer any questions you may have about the treatment process and verify your insurance coverage.