California Assembly Bill 298 is set to revolutionize healthcare access for young Californians by eliminating out-of-pocket costs for medical services for those under 21. Introduced on January 24, 2025, the bill mandates that health care service plans and disability insurance policies issued or renewed after January 1, 2026, cannot impose deductibles, coinsurance, copayments, or other cost-sharing requirements for enrollees in this age group.

The bill aims to address significant barriers to healthcare access for children and young adults, ensuring that preventive care and necessary medical services are fully covered without financial burden. Notably, it allows exceptions for high deductible health plans, which can still require cost-sharing for certain services after the deductible is met, but only for preventive care.

Debate surrounding AB 298 has sparked discussions about the financial implications for insurance providers and the potential impact on healthcare costs statewide. Supporters argue that the bill will lead to healthier outcomes for youth by promoting regular medical visits and preventive care, while critics raise concerns about the financial sustainability for insurers and the potential for increased premiums.

Experts suggest that the bill could significantly reduce healthcare disparities among young people, particularly in low-income communities where cost is a major barrier to accessing care. If passed, AB 298 could set a precedent for similar legislation in other states, potentially reshaping how health insurance is structured for minors across the nation.

As the bill moves through the legislative process, its implications for California's healthcare landscape remain a focal point of discussion, with advocates urging swift passage to ensure that young residents receive the care they need without the burden of cost.