New York Health Insurance Guide

The state of New York offers numerous health insurance programs for residents who cannot afford coverage or do not have access to employer-based plans. The state provides coverage for individuals, families, children and people with special needs, such as HIV/AIDS and disabilities. New York health insurance programs require candidates to meet income limits, and benefits and costs may vary, depending on the plan for which a resident qualifies.

1. Medicaid

   • The New York Department of Health administers the Medicaid program in the state of New York. It provides health care benefits for low-income New Yorkers, typically at no cost to participants. The program has different income limits for different categories of applicants, which can include single people, families, disabled people and senior citizens 65 years old and older. Medicaid provides comprehensive coverage, which can include hospitalization, nursing home care, dental care, physician services, prenatal care, psychiatric services and emergency care.

   Family Health Plus

   • The Family Health Plus program, administered by the New York Department of Health, provides medical coverage for adults between the ages of 19 and 64 who exceed Medicaid income limits. FHP benefits can include preventive care, prescription drug coverage, primary care and hospitalization. The state offers FHP benefits through managed care providers throughout New York, such as Health First, United Healthcare and Amerigroup Community Care. The FHP program does not include deductibles, but certain services may require co-payments. FHP coverage can include physician services, emergency care, dental services, family planning and vision care.

   Child Health Plus

   • Qualified children under 19 years of age can receive medical coverage through the Child Health Plus program, administered by the New York Department of Health. CHP provides coverage for children from families with incomes too high to qualify for Medicaid benefits. Certain children in the lowest household income categories receive free coverage, but coverage for children in families with higher incomes requires monthly premiums. CHP benefits can include well-child services, vision care, immunizations, physician services, hospitalization, mental health care and laboratory services.

   Healthy New York

   • The New York State Insurance Department sponsors the Healthy New York program, which provides medical coverage for employed uninsured individuals, small businesses and sole proprietors. Each eligibility category has its own qualification guidelines. The state administers the program in 62 counties through health maintenance organization plans offered by companies such as Aetna Health, Univera and HealthNow New York. The cost of Healthy New York coverage can vary, depending on the county in which a participant lives and the HMO plan provider. Healthy New York requires participants to pay deductibles and co-payments, and benefits can include maternity care, prescription drug coverage, emergency care and inpatient hospitalization.

   HIV Uninsured Care

   • The New York Department of Health offers four programs for uninsured and under-insured residents with HIV/AIDS. Coverage under the HIV/AIDS programs can include free medications, primary care, outpatient hospital care, laboratory services and home health care. Certain programs may help pay the premiums of individuals who have private insurance or may provide additional benefits for patients who have Medicaid coverage with spend-down requirements. All four HIV/AIDS programs share the same enrollment process and candidates need only submit a single application.

What Is a Debt Hardship?

Unfortunately, there may come a time in your life when you are unable to cover all of your debts. While the causes vary widely, they often stem from unexpected expenses that can deal a mighty blow to your budget. When this happens, the financial world refers to it as debt hardship. Simply put, debt hardships mean you have incurred expenses that you cannot afford.

1. Medical Expenses

   • Medical expenses are one of the most common debt hardships that people suffer. This is because they are often unexpected. If they arise, they can throw a monkey wrench into the finances of some of the most fiscally well-run households. The most worrisome medical expenses that become debt hardships are those that are long-term. Short-term expenses, such as a leg break that will heal and not be a pressing financial or physical issue, do not constitute debt hardships. However, illnesses such as a cancer diagnosis may mean that long-term care will be in order. If this is your situation, health insurance can buffer the impact on your finances. So can supplemental insurance if you or a family member loses wages because they are ill. When it gets to this point, it can be considered a debt hardship.

   Job Loss

   • Another common cause of debt hardship stems from one of the family's breadwinners losing their job. This source of income had been depended upon, so if the person is laid off or terminated, a substantial amount of income will no longer be available to the family. As a result, the family will have to cut back on their expenses. Also, some of the bills that were paid with no problem may become hardships to the family.

   Divorce

   • When a couple divorces, it can be a very expensive process. Lawyer' fees can quickly chip away at a person's finances. If there is no prenuptial agreement, the costs can easily become hardships. Also, if there is child support or alimony to be paid, a person who had no financial problems can find their income easily drained from these costs, making them a hardship, too.

   Too Much Debt

   • It is important that consumers not accumulate more debt than they can afford. Key to this is to simply not borrow beyond your means. If you are sued in court by a creditor, you may not be able to claim it as a debt hardship if it is a debt that showed you run up a credit card on items you did not need. New federal legislation passed in 2009 make it more difficult to accumulate debt that you cannot afford. This not only includes credit cards, but also mortgages. Even though this legislation was meant to protect consumers, there are some buyers who still push the limits, and they end up with debt that they may not be able to cover. They can call some of this debt hardship. However, if they are sued in court for being unable to pay their bills because they loss their jobs or had unexpected medical expenses, the debt hardship reason may not work. Debt hardships do not include the purchase of expensive cars, boats and second or third homes that are not affordable by the purchaser. A consumer who responds to a creditor who says that their purchase of a third home will have a difficult saying that purchase was a hardship considering they already own two homes.

   Creditors

   • Creditors recognize the host of factors that can contribute to a person having a debt hardship. This makes it crucially important for consumers to keep detailed records of their spending and income. Creditors will work many times work with debtors who are in contact with them and willing to explain the reason for the hardship. Even more important, creditors are more willing to work with people who pay towards their debt. As difficult as it is to cover your debts when they seem to be piling up against you, you must keep the lines of communication open so that they know you are not shucking your duties as a debtor.