A review of health insurance plans in California
The California Department of Insurance (CaliDoe) said it would stop selling health insurance coverage for people under the age of 65.
“We’re going to be selling the coverage that people are entitled to under their own state law,” a spokeswoman told the ABC.
CaliDooe spokeswoman Amy Schmid said: “We’ll continue to be offering coverage to people under 65, but we’re going no longer to sell it to those under 65.”
The policy will be discontinued for all policies purchased in the next 90 days.
The state government is already offering health insurance to its workers through its Workforce Investment Scheme, which is meant to attract young workers into the workforce.
Under the scheme, the government is subsidising premiums for workers under the ages of 25.
It is expected to reach a total of $1.2 billion over the next 10 years through the scheme.
As well as offering coverage for workers, CaliDoee is also helping businesses cover employee and customer costs through their insurance.
Its policy has been offered to some 1.3 million employees and is also subsidising their workplace benefits.
This will be replaced by a similar policy for businesses under the Workers’ Compensation Scheme, currently being rolled out.
There is no change in the scope of CaliDooe’s policy for those under the Age of 65, although it will be rolled out in stages.
Some employers may opt for the policy if they want to offer a lower level of coverage.
In a statement, the state said the policy will not change the state’s financial position, as it covers employees, their dependants and the employer’s own business.
Health insurers in other states have also stopped selling health coverage for employees under the 65-plus age bracket.
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