By Consumers For Quality Care, on April 28, 2021
According to The Pittsburgh Post-Gazette, lower and middle income earners who passed on Affordable Care Act (ACA) health insurance this year due to the cost may want to reconsider when the special enrollment period ends in Pennsylvania on May 15.
The American Rescue Plan, passed this March by Congress, dramatically expands premium subsidies and health insurance benefits that will be retroactive to the date of enrollment. This will be the biggest subsidy increase since the ACA was signed into law in 2010.
The amount paid for coverage will now be capped at 8.5 percent of a person’s income, down from 10 percent. Those who don’t have health insurance will be eligible for a free bronze level plan or a low-cost silver plan with a small deductible.
People receiving unemployment benefits or those who purchased COBRA will pay no premiums for at least six months. Under the stimulus plan, middle class wage earners will also be eligible for tax credits for the first time.
The Congressional Budget Office estimates that 1.7 million people, including 1.3 million people without health insurance, will be eligible for premium tax credits.