Enrolling in a healthcare plan can be a stressful experience, and with the modifications made through the health reform law, it is easy to get overwhelmed. We would like to ease the transition into the 2014 coverage year and give you more information about what the Affordable Care Act will mean to you and your family. There are several important dates that you will need to know going forward, such as when open enrollment ends and when your coverage begins, as well as the penalties for those who miss these deadlines.
Open enrollment for the 2014 coverage year ends on March 31, 2014. You must wait until 2015 to sign up for a health care plan, and will pay a penalty for being uninsured if you do not enroll by the end of this open enrollment period. If you enroll between the first and the fifteenth day of the month, your coverage will begin on April 1, 2014. If you enroll the sixteenth or later, than your coverage will not start until May 1, 2014.
The fine for being uninsured in 2014 is $95.00 per adult and $47.50 per child (up to $285.00 per family), or 1.0% of your family income, whichever is greater. These fines are set to increase drastically over the next several years in the hopes that every American will become insured.
If you miss open enrollment for 2014 then your next opportunity will not be until open enrollment begins again on November 15, 2014. This enrollment period is for the 2015 coverage year that will begin on January 1, 2015. Fines for being uninsured during the 2015 coverage year will drastically increase to $325.00 per adult and $162.50 per child (up to $975.00 for a family), or 2.0% of your family income, whichever is greater.
The fine in 2016 will be $695.00 per adult and $347.50 per child (up to $2,085.00 for a family), or 2.5% of your family income, whichever is greater. After 2016 the fines may increase annually as the cost of living increases. The penalty is pro-rated by number of months without coverage. If you have a single gap in coverage that is less than three month you will not be required to pay a fine, as there is no penalty.
Many changes are coming in the next few years and we know that adjustments can be difficult and daunting. Our experts at McClerkin Insurance will be glad to answer any questions you have about how this change will affect you, or to address any concerns you may have about open enrollment, penalties, and fines. If you need more information please contact us today!