Many Americans are still confused on what changes are to come with the Affordable Care Act and Healthcare Reform, also known as Obamacare. Here are the most important changes to individual and families who have to purchase their own health insurance:
- Any policy effective 01/01/2014 and later will have no underwriting and no penalties for pre-existing.
- Individuals and Families who pay for their own insurance, will receive Federally subsidized rates. So the US Government will help pay for up to 100% of your health insurance premium. It is estimated 56% of Americans will qualify for a subsidy.
- Starting January 2014 you must have health insurance or you will receive a penalty on your 2014 tax return. The penalty is up to 1% of your earnings and it goes up to 2.5% of your income.
- If you buy your own health insurance you must sign up during Open Enrollment. Open Enrollment is currently closed but will re-open 11/15/2014.
- If you are trying to buy coverage outside of Open Enrollment you must apply for a Special Enrollment.