The Patient Protection and Affordable Care Act (ACA), often called “Obamacare,” refers to a federal law that aimed at making healthcare more affordable for more people. The ACA was put into place by the federal government in 2010 to adjust health care costs based on household income levels and make health coverage more affordable for low-income households. The ACA grants premium tax credits, cost-sharing reductions, and expanding Medicaid services through the Centers for Medicare and Medicaid Services (CMS). You can compare coverage and verify your subsidy eligibility on the Health Insurance Marketplace.
What is the Health Insurance Marketplace?
The Health Insurance Marketplace is an online services that allows you to research different health insurance plans, see if you qualify for premium tax credits, and enroll in a plan during designated enrollment periods. Obamacare subsidies are based on your household income level and the number of people on your plan, and subsidies must be verified and accounted for when you file your taxes for the year. When shopping via the Marketplace, plans are ranked by the level of coverage and labeled as:
- Bronze
- Silver
- Gold
- Platinum
On top of premium tax credits, people who enroll in silver plans can also qualify for additional savings through cost-sharing benefits, which allows health insurance companies to offer lower deductibles, monthly premiums, and out-of-pocket maximums.
Do I Qualify for Obamacare?
Well, it depends on your household income, which state you live in, and how many people you intend to cover. Individuals and households can earn up to four times as much as the federal poverty line and still qualify for assistance, but the dollar amount will depend on other qualifying factors. You can visit the Health Insurance Marketplace and use this tool to learn how you can save money on your health insurance coverage.
