18

Frequently Asked Questions About the Health Insurance Exchange

posted on

There are many people who are confused about what the upcoming health insurance exchange will be able to offer them and how it will affect them in the long run. It can be difficult to find information that explains everything clearly and concisely at the moment because there are so many preparations to have the exchanges set up in time for release at the beginning of October. Here are some answers to some of the most frequently asked questions regarding the upcoming exchange.


Who Can Use The Exchange?


The exchange is mainly being aimed at people who are uninsured or those who are purchasing insurance on their own because they are not able to gain any through an employer. The exchange can be used by families, individuals, and small businesses with 50 or less employees. People who already have health insurance through their employer or from the federal Medicare program do not need to use the exchange.


What Is The Penalty If I Don’t Have Insurance By Next Year?

If you are not insured by next year, there is a fine of $95 or 1 percent of your income, depending on which amount is greater.


What Information Will I Need To Enroll?


To enroll, you will need information about everyone in your household. This includes social security numbers, birthdays, last year’s household income, and an estimate of this year’s household income as well.


Will I Qualify For A Federal Tax Credit And How Does It Work?


Individuals and families who have incomes of up to 400 percent of the federal poverty level are eligible for the federal tax credits that will lower their health insurance premium. This is an income level that is equivalent to $45,960 for an individual and $94,200 for a family of four. The tax credit will be paid directly to the insurer and deducted from the monthly premium bill. IN order to find out if you will be able to qualify for a credit, you should use the premium and tax credit estimator on the state exchange’s website.


How Much Time Do I Have To Enroll?


From Tuesday October 1st to March 31st.


When Does The Health Insurance Coverage Purchased Become Effective?


January 1st.


Can I Buy Insurance On The Exchange If I Have Health Problems?


Yes. The Affordable Care Act ensures that you will no longer have to pay more money in premiums based on the fact that you have health problems pre-existing. You also cannot be denied for having health problems.


Will Seniors Lose Their Medicare And Be Forced to Buy Insurance on The Exchange?


Medicare isn’t part of the health insurance exchange, so seniors do not have to do anything regarding this. They will not lose their Medicare. The exchange will not affect seniors Medicare choices and their benefits will not be changing at all. The exchange will not offer Medigap insurance or Part D drug plans.