By the end of 2013 more than 500,000 Californians had enrolled in health insurance plans through Covered California™, the state’s health insurance exchange, formed in response to the healthcare mandate of the Affordable Act. Enrollment increased significantly during the first two weeks of January 2014, bringing total enrollment totals to around 625,000 as of January 15.
California is one of 17 states that opted to create its own state-based health insurance exchange. Seven states opted to create a type of hybrid called a State Partnership Marketplace wherein states are allowed to tailor the marketplace to meet consumer needs, and the remaining 26 states as well as the District of Columbia opted to use the federal exchange.
Plans through the health insurance marketplace are set up in a tiered system that includes bronze, silver, gold and platinum-level plans. The plans with the higher-valued metals (e.g. platinum) have higher premiums, but cover more. Conversely, lower valued metal plans (e.g. silver) cost less, but also cover less.
Individuals who do not receive health insurance through work or whose work-based plan costs more than 9.5% of their gross income may qualify for a subsidized plan through the health insurance marketplace in their state, if available, or through the federal exchange. Qualification for subsidies is based on income—individuals who earn less than $45,960 annually, or a family of four making less than around $94,200, may qualify.
The aim of the ACA is to make health insurance affordable and reduce the number of uninsured Americans. The law is complex and can be confusing to consumers, so it’s best to consult with a knowledgeable, licensed insurance expert to explore all your options for coverage, whether through the exchange or an individual plan. Benefit Packages has been helping individuals and businesses find affordable California health insurance for over two decades. Call us today at 1-800-356-3615.