Every non-grandfathered individual health policy sold in California must be available to all children under 19 years of age, but insurers can use open enrollment periods to try to reduce antiselection.
The California Department of Insurance has given that interpretation of California insurance laws governing child-only coverage in a draft guidance statement.
The statement interprets new changes in the California Insurance Code made by the law created by Assembly Bill 2244.
The law created by the bill requires that insurers offer coverage to all children under 19 years of age without exclusions or limitations due to any pre-existing condition.
The new state law takes effect Jan. 1, 2011.
Federal law prohibits insurers that sell child-only coverage from imposing pre-existing condition restrictions on children under 19 years old. The California law takes effect January 1, and allows the state to enforce this federally- and state-established requirement.