In many counties, tax credits would cover the premiums of a Silver plan for low-income residents and a Bronze plan for those with slightly higher incomes.
December 8, 2021 – Affordable Care Act Marketplace referral money plan premiums decline 3.1% on average across the country – the fourth year in a row that referral premiums have declined – although changes vary depending on the county, a new KFF county-by-county analysis find.
The benchmark plan premiums are important because they are used to determine the tax credits available to people who buy their own insurance in the markets. What people should pay in premiums, if any, will depend on where they live, what plan they choose, their age and their income.
An interactive map illustrates the evolution of premiums after tax credits for the cheapest Bronze, Silver and Gold plans by county for a 40-year-old at different income levels. The main findings include:
â¢ Across all countries, average premiums before tax credits fell 1.8 percent for the cheapest silver plan and 4.1 percent for the cheapest gold plan. Average premiums have changed little for the cheapest bronze plan (+ 0.3%).
â¢ Due to this year’s American Rescue Plan Act, people with incomes of up to 150% are eligible ($ 19,320 for an individual and $ 39,750 for a family of 4). reduce their deductibles and other personal expenses. In two-thirds of counties nationwide, tax credits would also cover the full premium of the cheapest money plan for a 40-year-old earning $ 20,000 per year (155% of the federal poverty line) . These registrants may have to pay a nominal amount for coverage in some counties because tax credits only apply to âessential health benefitsâ.
â¢ In one-third of counties, tax credits would cover the full cost of the lowest-premium bronze scheme for a 40-year-old earning $ 35,000 per year (272% of the federal poverty line). These plans generally have high cost-sharing requirements, but offer substantial protection in the event of critical illness.
The analysis examines data from insurers’ rate filings with state regulators, state exchange websites, and HealthCare.gov to assess changes in premiums at the county level. This year’s American Rescue Plan Act temporarily made tax credits more generous for 2021 and 2022, although they expire in 2023.
The ACA open registration period for the federal market and most state markets began on November 1 and ends on January 15. Health Insurance Market Calculator allows consumers to estimate their ACA premiums after any tax credit if they purchase coverage on ACA markets themselves. Consumers can also search our collection of over 300 Frequently Asked Questions on open enrollment, health insurance markets and ACA. Most questions are also available in spanish.
Source: Kaiser Family Foundation