California Law Could Let People Add Their Parents To Their Health Plans

California could become the first state to let adults add their parents as dependents on their health insurance plans.

The proposed bill, currently moving through the California Legislature, is aimed at increasing insurance coverage among low-income families living in the country undocumented and aren't eligible for coverage reports ABC7.

Currently, federal law allows adults to keep their children on their health insurance until the age of 26.

The change brought about under the Obama Administration was so popular that several states have extended the age to 30, according to ABC7.

If passed, Californians would be able to do the same for older people who are transitioning into retirement.

Supporters of the bill say it will save families money by limiting their expenses.

"When we were young, our parents were there for us and took care of us," said one supporter, Insurance Commissioner Ricardo Lara. "Now we can take care of them when they need it the most."

On the other side, some business groups say adding older people to insurance plans will only drive up already skyrocketing premium costs.

"(This bill) will exacerbate the health care affordability issue and strain struggling small employers' budgets at a time when they are finally beginning to recover," Preston Young, a policy advocate for the California Chamber of Commerce, told ABC7.

The proposal passed the first committee hearing on Tuesday, April 27.

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