Things you should know before you enroll for Obamacare Health Insurance Plan

The Obamacare Health Insurance Plan was signed into the law by president Barack Obama on March 23rd 2010. It is also known as Affordable Care Act (ACA). It was an outstanding attempt by the then president to reform healthcare industry. Its aim was to address the healthcare crisis that United Sates was suffering from at the time. ACA was to address the rising premiums of health insurance and increasing rate of the uninsured. Since it was made into the law, it has gone into plenty of revisions.

Important Facts about Enrollment of Obamacare Health Insurance

Following are the most important things you should know before enrollment into Obamacare Health Insurance Plan:

Who is Applicable for Enrollment?

All United States citizens are eligible for enrollment into Obamacare Health Insurance Plan. Most people who do not have health care coverage through their jobs or a government program can apply for ACA. Keep in mind, Medicare and Medicaid are the ones usually sponsored by Employers or Government.

The Location for Enrollment

Majority of Americans apply at healthcare.gov for Obamacare Health Insurance Plan. There are 11 states and district of Columbia with their own marketplaces. These 11 states are; California, Colorado, Connecticut, Idaho, Maryland, Massachusetts, Minnesota, New York, Rhode Island, Vermont and Washington. Except these 11 states the healthcare.gov will suffice for everyone else. You can also apply through many non-profits or volunteers in your area.

The Dates for Enrollment

Obamacare Health Insurance 2020 enrollment is open from 1st Nov to 15th Dec. This date was also exceeded up to 18th Dec by the government due to extenuating circumstances. However, several states have their own closing dates for open enrollment.

The Cost for ACA

The cost for Obamacare Health Insurance Plan depends on your income. There are more than 10 Million people who already posses a healthcare insurance through the marketplace. About 88% of them receive a federal subsidy to help them pay monthly premiums.

If a single person’s income for 2019 falls between $12,490 and $49,960, he or she may find themselves eligible for a subsidy. A family of three with an income between $21,330 and $85,320 may also find themselves eligible for a subsidy. This subsidy can be chosen to lower the premium costs, or it can be used to deduct its amount from federal income taxes.

You can use the subsidy calculator at healthcare.gov/lower-costs to determine if you qualify. And if you do qualify, how much do you qualify for.

Note: It is estimated that the monthly premiums for Obamacare Healthcare Insurance Plan has dropped by 4% for 2020.

Criteria for Applicability for Subsidy

An applicant for subsidy in Obamacare Health Insurance Plan will need to provide following information in the application:

  • Birth Date(s) for all applicants.
  • Residential Address(es) for all applicants.
  • Social Security Number(s).
  • Name of Employer(s).
  • Income details for all members of household.
  • Estimated household income for the year 2020.
  • Policy number and plan ID of applicant’s current insurance plan.
  • A letter or a document for the plan’s renewal.

Suitability of a Plan

To find out which Obamacare Health Insurance Exchange suits you best, you must go and visit healthcare.gov/see-plans. Several personal questions, such as age, gender, address, income, health etc. will be asked from the applicant.

List of all Plans

There are four types of Enrolled Obamacare Health Insurance Plans. They are following:

Bronze Plans
  • It has the lowest monthly premium.
  • The out of pocket cost is highest in it.
  • The cost of deductibles is very high in it.
Silver Plans
  • This is the most popular plan among by far.
  • The cost of premiums is relatively moderate.
  • The out of pocket cost is also moderate.
  • Its deductibles are lower than Bronze Plan.
Gold Plans
  • It has high monthly premiums.
  • The out of pocket cost is relatively low.
  • The deductibles are much lower than Silver Plan.
Platinum Plan
  • The monthly premiums are highest in it.
  • It has the lowest out of pocket costs.
  • The deductibles are small enough to be negligible.

The Necessity of ACA

Health Insurance is a legal requirement for many Americans states regardless of their address, age, gender, marital status etc. There are those individuals who find themselves in a situation where Obamacare alternative plans, such as Medicaid and Medicare are not applicable to them. It may be because of unemployment, or any number of other reasons. Some may find it too expensive to apply for health insurance with private insurance providers. Obamacare Health Insurance Plan is a universal package for all Americans who have no other option, or preference.

There used to be a tax penalty to paid by individuals without insurance on a national scale. However, it has been eliminated by the Congress. That does not mean that having an insurance is a luxury. It is every bit a necessity as breathing. You never know when an illness may befall you or your loved ones.

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