The Affordable Care Act, also known as “Obamacare”, was signed into law in 2010. The final phase of this legislation includes a mandate that all U.S. citizens must have health insurance by March 31, 2014 or they will face a fine on their federal taxes for 2014. But there are some important things you should know – let’s take a closer look.
New “Extra Time” Rule
- If an individual started their application on or before March 31 but didn’t finish before the deadline, they will have extra time to complete the process. For more information, visit healthcare.gov
- Certain individuals may be exempt from the mandate. Here is a list of exemptions.
- Certain individuals can still enroll in coverage if they meet certain criteria such as a marriage, divorce, etc. Here is a list of criteria.
- Even though March 31 is the deadline for coverage, changes can still be made to your plan after this date.
- The penalty for individuals without health coverage this year is $95 or 1% of your annual income, whichever is higher. There is also a $47.50 per child penalty for those have not acquired coverage for their dependents. These penalties will increase each year.
- In order to sign up for coverage, an individual will need to have certain information including: the number of people in the household, proof of incomes, proof of citizenship or birth certificate, social security number, and birth date.
- In many states, individuals can sign up on a state-run health exchange. Those states which do not operate an exchange may use the federal exchange. Check with your state for more information or healthcare.gov
- It is expected that 83% of individuals signing up for coverage in the exchange or marketplace will be eligible for subsidies that lower their cost.
- The next open enrollment period begins November 15, 2014 and ends on January 15, 2015.
ERM Insurance Brokers in Irvine, California can answer any questions you may have regarding your health insurance for 2014!
Call (949) 222-0444 to speak with an expert.