Northwestern’s student health insurance plan will increase by $253 for undergraduate students in the 2005-06 academic year.

For the first time, both graduate and undergraduate students will be paying the same $1,896 premium should they choose to enroll in NU’s insurance plan. All full-time students are required to have health insurance with the university or an alternate vendor that meets the university’s minimum requirements.

Students will receive e-mails around April 15 about the change in NU’s insurance policy, said Chris Johnson, director of risk management and safety. In addition to increased cost, the new policy will raise the minimum requirements for insurance plans not offered through the university.

NU was the only school among its peer institutions with different premiums for graduate and undergraduate students, Johnson said. But a consolidated premium puts NU on par with other colleges such as University of Chicago and Harvard University.

The new plan drops graduate students’ premium by $282. Graduate students have paid $535 more than undergraduate students because older students are at a greater risk for medical problems.

Of the 5,000 students who use the university’s plan, about 20 percent are undergraduate students, Johnson said. Undergraduates are less likely to enroll in the program since most use their parent’s insurance coverage.

Students with plans outside of the university will have to meet an increase in minimum requirements. In order to be approved, plans must include a minimum of $250,000 in coverage per year, a maximum $2,000 deductible, include mental health benefits and cover pre-existing illnesses.

Beginning in the fall, NU also will offer international students financial aid for student costs, including health insurance, said Rebecca Dixon, associate provost of university enrollment, in an e-mail to The Daily.

NU currently does not offer financial aid to international students. However, Liz Matthews, associate director of the International Office, said she has not encountered any students who have problems in paying for health insurance.

“Considering a lot of international students are paying full tuition, (paying for health insurance) should not be that much of a difficulty,” said Sang Zhang, a Weinberg freshman and international student.

Medill freshman Sabrina Siddiqui said health insurance can be a financial burden.

“They should make it a personal choice,” she said. “By enforcing it, Northwestern is making a decision for people.”

Johnson said insurance is necessary because students can easily accumulate medical fees of $40,000 or $50,000.

“The last thing a student needs is that kind of bill,” he said. “There may be a financial burden argument. You may say you’re young, healthy and not sick. But you never know when you step off the curb who’s going to be driving down the street.”

Communication sophomore Jenna Johnson, who has NU insurance, said she appreciates a university plan because she feels more protected and has to deal with fewer hassles.

“Having students be far away from family, the insurance is reassuring and useful to have,” Jenna Johnson said in an e-mail to The Daily.

Students who are buying the new plan will have two options: a $1,896 basic plan or a $2,664 comprehensive plan. Both plans cover all inpatient medical and surgical expenses up to $500,000 a year, but students pay the initial $2,000 under the basic plan. Both plans also cover all prescription drugs.

Students currently on the university’s plan will be automatically enrolled in the new basic plan. If students wish to enroll, upgrade or drop their plan, they must submit request forms by Oct. 15.

Reach Steph Yiu at [email protected].

Quick facts:

• Next year’s student health insurance program will offers either a $1,896 basic plan or a $2,664 comprehensive plan.
• Both plans cover all inpatient medical and surgical expenses up to $500,000 a year. Under the comprehensive plan, students don’t pay the initial $2,000.