With the implementation of the Affordable Care Act many Californians will receive subsidies based on their modified adjusted gross income (line item 38 on your 1040 tax form or line 22 of your 1040A form) and the Federal Poverty Level.
For the year 2015, Covered California will base the subsidy on the Federal Poverty Level 2014 guidelines.
The 2014 Federal Poverty Level ( FPL ) Guidelines for the U.S. ( Subsidy )
|HouseholdSize||100 %||138 % Medical eligible||150% Special Subsidy on Silver Plan 96%||200% Special Subsidy on Silver Plan 87 %||250%Special Subsidy on Silver Plan 73%||266% mix family ,minors are eligible for Medical||300%Premium Assistance||400%No Subsidies|
|add per person||$4,060||$5,602||$6,090||$8,120||$10,150||$10,693||$12,180||$16,240|
Many Californians are overwhelmed by just looking at a chart as this. Did you know that there is no EXTRA CHARGE by selecting us as your agent? We can figure out how to get the subsidy you deserve and avoid unwanted services as your agent. Email us at email@example.com and we will make sure that we find you an affordable health plan in California.
COVERED CALIFORNIA ENHANCED SUBSIDY ELIGIBLE
The Enhanced Benefit on the Silver Plan are based on income and dependent status.
- if your FPL is between 139% – 149 % ( for a single $16,110 -$17,505 ) you only pay 4 % of the monthly costs up to $58. 94% of costs are subsidized (your have 0 deductibles , $ 3.00 for doctor visits – out of pocket maximum is $ 2250) ( see chart below )
- If your FPL is between 151% -200 % ( for a single $17,506- $ 23,340) you only pay 6.3% of the cost, monthly up to $ 123 . 87% of the cost is subsidized ( you have a 0 deductible , $ 15 doctor visit , $ 20 specialist – OOP is $ 2250 ) ( See chart below )
- IF your FPL is between 201$ -250 % ( for a single $ 23,341- 29,175 ) you pay 8.05% of the cost monthly up to $196, 73% of the cost is subsidized. You pay $40 for primary care visits, $50 for specialist , your out of pocket is $ 5200) ( see chart )
If your income is greater than 250% and less than 400% the subsidies are lower.
- For Californians whose modified adjusted gross income ( line item # 38 of 1040 – or line item 22 on 1040 A) is in the bracket of 100-138 % qualify for Medical and not Covered CA.
- In “mixed” families who have a MAGI of 266% FPL or less, the minors will be eligible for Medical and not Covered CA. The parents will be eligible for Covered CA. We can explain to you how to avoid this.
- Pregnant women who have a MAGI of 213% FPL or less qualify for Medical and not Covered CA
The Open Enrollment Period is from November 15th 2014 – February 15th 2015 . In this period all Health Plans will be GUARANTEED ISSUE. No medical underwriting is required, no pre-existing conditions, and no limits on coverage. All Health Plans will be standardized with” metal” plans that cover 10 Essential Health Benefits (whether inside or outside of the exchange). Covered CA has negotiated a rate increase of 4.2% statewide and for our region ( Region 16 ) of 4.3%.
Rates and provider networks will vary by insurance carriers. California has 19 rating areas. In our region Blue Shield will be the only true PPO carrier (with a 6% increase). Anthem & Health Net offer HMO & EPO’s. Anthem EPO will increase 11-16%. Kaiser, who was last year’s most expensive carrier will reduce their rates by 8 -14% . Rates will be calculated by region and by age of each family member. Children over the age of 21 are rated as adults.
Many Californians are overwhelmed by the task of figuring out the new affordable care acts and how to maximize the benefits for your family.