80% of Graduates Struggle with Health Insurance Choices, Study Finds
San Jose, Wednesday, 21 May 2025.
A new report highlights that 80% of recent graduates lack understanding of health insurance, underscoring the need for better educational resources and awareness of coverage options and subsidies.
Critical Knowledge Gaps Revealed
A nationwide survey of 500 young adults aged 18-25, conducted by eHealth and released on May 20, 2025, has uncovered alarming gaps in health insurance literacy among recent graduates [1]. The study reveals that 57% of young adults acknowledge having a poor understanding of their coverage options upon graduation, while 54% are unaware they can remain on their parent’s health insurance until age 26 [1][2].
Financial Impact and Missed Opportunities
Perhaps most concerning is the finding that only 5% of young adults are aware they could qualify for Affordable Care Act subsidies while earning up to $60,000 annually [1]. This lack of awareness about financial assistance options comes at a crucial time when 79% of young adults consider health benefits a high priority in their job search [2]. According to eHealth CEO Fran Soistman, this knowledge gap affects millions of young adults entering the workforce for the first time [1].
Available Resources and Solutions
In response to these findings, eHealth, a leading independent licensed insurance agency with access to over 180 health insurers, has published comprehensive guidance for young adults and their families [2]. The resource article, released on May 20, 2025, provides detailed information about various coverage options, including employer-sponsored plans, parent plan coverage, and individual market choices [1]. The company’s extensive experience of over 25 years in helping Americans find suitable health coverage positions them well to address this educational gap [2].
Looking Ahead
The competitive job market makes understanding health insurance options beyond employer coverage increasingly important [1]. With access to both national and regional insurance providers, eHealth’s initiative aims to bridge the significant knowledge gap revealed by their research [2]. Young adults and their families are encouraged to explore all available options, including potential subsidies that could make individual plans more affordable [1][2].