Yes, you can have two health insurance plans. Having two health insurance plans is perfectly legal, and many people have multiple health insurance policies under certain circumstances.
Why would I have two plans?
There are a few different reasons why someone might have two health insurance plans:
- You are an adult or child under 26 who has coverage through your parents and your own employer.
- You are a married couple, and both of you have health insurance through your own employers.
- You are under 26 years old with married parents who have separate health plans, and both parents list you as a dependent under their plans.
- You are under 26 years old with divorced parents, and both parents list you as a dependent under their separate plans.
- You’re under 26, married and covered by your spouse’s plan and your parents’ plan.
- You have a health insurance plan and also receive Medicaid coverage.
How having multiple health insurance policies works
Having multiple health insurance policies doesn’t mean you get reimbursed twice for a doctor’s visit or two bottles of medication. If you have more than one plan, the total amount that your plans pay will never exceed 100% of the cost. It’s important here to understand the difference between primary versus secondary insurance.
If you have more than one health plan, coordination of benefits is the process that decides which insurance pays first for a claim. Here’s where primary versus secondary insurance comes in:
- Primary insurance: the insurance that pays first is your “primary” insurance, and this plan will pay up to coverage limits. You may owe cost sharing.
- Secondary insurance: once your primary insurance has paid its share, the remaining bill goes to your “secondary” insurance, if you have more than one health plan. Your secondary insurance may cover part or all of the remaining cost.
Note that both the primary and secondary insurance will cover up to plan limits. After the secondary insurance has paid its share, you may be responsible for any remaining amount that wasn’t covered. So, even if you have multiple health insurance policies, you may still have leftover out-of-pocket medical costs.
If you’re concerned about your out-of-pocket costs, taking the time to shop and compare health plans may help. eHealth’s plan finder tool makes it easy to compare plan costs like premiums, deductibles, and copayments side by side.
Primary vs. secondary insurance: who pays first
When it comes to primary versus secondary insurance, the question of who pays first depends on the situation.
For example, if you’re a child with two parents who both cover you under their respective family plans, your primary insurance is decided by something called “the birthday rule.” The primary coverage will come from the parent whose birthday comes first in the calendar year. Note that it’s not a matter of which parent is older, but whoever has the earliest birthday.
Whenever you make a health insurance claim, your primary insurance plan will act as if you had no secondary plan and provide you with your benefits. Then your secondary insurance plan kicks in and covers the rest of the cost if it’s covered and necessary.
The chart below breaks down a few common scenarios where primary versus secondary insurance may apply.
| Situation | Primary | Secondary |
| You’re under 26 and covered by your school/employer’s plan and your parents’ health plan. | school or employer-sponsored coverage | Parents’ coverage |
| You’re married and both of you have coverage through your employers. | Your employer’s coverage | Your spouse’s employer coverage |
| You’re under 26 with married parents, and both parents cover you under their separate policies. | The parent whose birthday is first in a calendar year (“birthday rule”) | The parent whose birthday comes second in a calendar year |
| You’re under 26 with divorced parents, and both parents cover you under their separate policies. | The parent with custody of the child. If both parents have joint custody, the birthday rule applies. | The parent who doesn’t have custody (if applicable) |
| You’re under 26, married and covered by both your spouse’s plan and your parents’ plan. | Spouse’s coverage | Parents’ coverage |
| You have a health plan and also receive Medicaid. | Your health plan | Medicaid coverage |
Will I still have out-of-pocket costs if I have two health plans?
If you have multiple health insurance policies, you’ll have to pay any applicable premiums and deductibles for both plans. Your secondary insurance won’t pay toward your primary’s deductible. You may also owe other cost sharing or out-of-pocket costs, such as copayments or coinsurance.
Even if you have multiple health insurance policies, remember that plan rules still apply. For example, if you’re in a PPO (Preferred Provider Organization) plan, your primary policy may have provider network rules. If you see an out-of-network provider who isn’t covered by your plan, your primary insurance won’t cover the costs – and your secondary insurance won’t cover the costs because you didn’t follow your primary plan’s rules.
As another example, you may have out-of-pocket costs if your provider charges you more than your plan(s) consider reasonable, customary, or allowed under plan rules. If you’d like help understanding different out-of-pocket expenses you may have with more than one plan, an eHealth licensed insurance agent can explain those costs.
Pros and cons of multiple health insurance policies
There are potential benefits to having more than one health plan. Having multiple health insurance policies may mean extra help with medical costs, since dual coverage lets people access two plans to cover healthcare costs. Additionally, if you have coverage through your parents’ plan or your partner’s plan, you don’t have to worry about going uninsured if you lose your job and the health insurance that comes with it.
Having two or more health insurance plans can be a way to maximize benefits and potentially receive more coverage than if you only had one plan. There’s a good chance that you can stay covered under your parent’s or spouse’s insurance at little to no cost to them (some employee-sponsored plans offer family coverage at a flat rate and not per dependent).
Keep in mind that the combined coverage cannot exceed 100% of the cost. Also, as mentioned before, having multiple health insurance plans doesn’t mean you won’t have any out-of-pocket costs. You’ll still be responsible for any cost sharing under plan rules, including premiums and deductibles for both plans.
As mentioned, one of the best ways to lower your overall health-care expenses is to compare plan costs and benefits with a licensed insurance broker like eHealth. Since health insurance costs are regulated by law, you’ll get the same price no matter where you buy. So, the best strategy is to shop at a broker like eHealth that offers a large selection of affordable health plans in one place.
If you think you could save money with multiple health insurance plans, think about your current and future medical needs. Then, estimate if the cost of paying two plans’ premiums, deductibles, and more would outweigh the extra coverage of two plans.
More questions about primary vs. secondary insurance?
We know that understanding the difference between primary versus secondary insurance can be confusing. If you have questions, or would like assistance finding a second health insurance policy, we’re here to help.
As a licensed insurance broker, eHealth offers a wide selection of health insurance plans from trusted insurance companies. We make it easy to compare plan benefits and prices in one place, and our support staff is available to help you find coverage that fits your needs. To get started, just enter your zip code into the plan finder tool on this page. Or, give us a call to speak with a licensed insurance agent who can walk you through customized plan options.
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