The Healthcare Mandate under the Affordable Care Act (ACA) requires that most Americans carry health insurance in 2014 or pay an individual shared responsibility payment of $95 or 1% of income (whichever is greater) on their 2015 tax return. Some people are exempt from the mandate, including those who are uninsured for less than three months during the 2014 year, and those for whom the lowest level plan available through the health insurance marketplace would cost more than 8% of their income.
The majority of Americans already have health insurance through their employers, but if someone loses their job during the year, will they be able to get coverage through the insurance marketplace? The short answer is yes.
If you lose your job at any point during the year, you can enroll in a plan through your state’s health insurance exchange (if available) or through the federal exchange. The other option is to stay on your employer’s group health plan through COBRA, if available. If you choose COBRA you will likely have to pay full price for coverage, however, which for many is cost-prohibitive.
If you choose instead to enroll in coverage through the marketplace, you may qualify for subsidized coverage or tax breaks to help cover premium costs, depending on how much you receive from unemployment insurance and other sources (e.g. child support, rental property income, etc.).
If you have recently resigned from or lost your job, we can help you determine whether you qualify for cost-sharing subsidies and tax breaks. Call the exchange-certified agents at Benefit Packages for more information and for assistance enrolling in Covered California.