Cost of Cardinal Care health insurance premiums to rise 17.4%

The cost of premiums for Cardinal Care insurance for students will increase 17.4 percent for 2003-04, rising from $368 to $432 per quarter.

Although the increase isn't good news, administrators had feared the rising tide of medical costs would push next year's rates even higher, said Ira Friedman, director of Vaden Health Center. "With so many insurance plans in the marketplace increasing at greater than 20 percent, next year's Cardinal Care rates will be better than expected."

Cardinal Care is a comprehensive plan created for Stanford students and provides access to Stanford physicians and hospitals.

The university will continue the subsidy program it began this year to help graduate students cover the cost of insurance, including the cost of insuring spouses and dependents. The benefit provides graduate students with research assistantships, teaching assistantships and fellowships of at least $2,000 per quarter with a 50 percent subsidy of the cost of insurance for the student. Graduate students who are funded between $1,000 and $2,000 are eligible for a 25 percent subsidy.

The benefit also provides a $150 per month per dependent subsidy to help cover the cost of insuring spouses and children of eligible graduate students. The cost of insurance for students with dependents will rise an average 21 percent next year, said Friedman. The 2003-04 unsubsidized cost for insuring a spouse will rise from $334 to $402 per month. The cost of insuring one dependent child will rise from $244 to $299 per month and, for two or more children, from $448 to $539 per month.

The cost of dependent health insurance for graduate students eligible for the full subsidy will be $252 per month to cover a spouse, $149 per month to cover one dependent child and $239 per month to cover two or more dependent children.

Since the subsidies for covering spouses and dependent children will remain at 2002-03 levels while premiums rise, students with families will feel the greatest impact from the increases, Friedman said. "I am pleased that the university's subsidy for funded graduate students will continue to make the costs affordable. On the other hand, the rates of the dependent plan will increase more and I am very concerned about the impact on enrolled families."

Graduate students who aren't funded or who are funded at levels below $1,000 can "buy into" the subsidy program for dependent health care for $140 per quarter, said Jane Meier, associate director of Vaden Health Center. Graduate students funded between $1,000 and $1,999 can buy the subsidy for $70 per quarter. Benefits under both Cardinal Care and the dependent health care plan will not change this year. Additionally, separate nonsubsidized, voluntary dental plans will be available to students. Information is available at http://cowell.stanford.edu/insurance/index.html#dental.

About 55 percent of Stanford students use Cardinal Care, including 77 percent of the graduate student population and 38 percent of undergraduates.