Health Insurance Coverage For $1? Probably Yes If You Are A Californian

If you are a Californian, there is a piece of good news for you. California’s subsidized private health insurance program, Covered California, is getting cheaper. How much cheaper? As a Californian, you might have to pay only a dollar for it. Yes, you read it right. The American president, Joe Biden has just signed an economic relief package in the wake of COVID-19. Fresh subsidies amounting to $3 billion have strengthened the health insurance program that comes under the ACA or the Affordable Care Act. There will be a drop in rates, starting from the premium payments in May. Around 1.6 million residents of California who have had their names enrolled for the program will soon be entitled to the lower rates. Experts are considering this development as the biggest expansion since the inception of the Affordable Care Act.

What To Know About Covered California?

Covered California happens to be the health insurance marketplace of California. The residents can seek out high-quality insurance plans at affordable rates. People who are eligible for this plan can receive financial assistance and eventually reduce the amount they have to pay as premiums. Consumers can draw a comparison between different health insurance plans and opt for the one that suits their health needs as well as their spending abilities. Based on their annual income, a consumer might be considered eligible for the low-cost or the no-cost program.

It’s Almost Free for the Vast Majority

The rates of Covered California are subsidized by almost $10 billion a year. The American Rescue Plan has also boosted the program by another $3 billion. This implies that those who have been shelling out $80 or $150 per month so far, will now have to pay a negligible amount. For the majority, it’s almost free. As per the sources, the subsidies are for people who require them the most, like the colored communities that have plenty of low-earning people.

They are the worst sufferers of the recent coronavirus pandemic. The enhanced subsidies under the Affordable Care Act will also continue until the end of 2022. The California government will now be able to save $350 million in a year, the amount it has been shelling out on the health insurance program. The existing people who are enrolled for Covered California can easily avail the benefits of the additional subsidies as well. For those 800,000 Californians who have chosen to stay uninsured, thinking they can’t afford the Covered California program, the state government has initiated an ad campaign worth $20 million.

Californians Receiving Unemployment Benefits Can Avail Coverage

There are instances when people, enrollees of the Covered California health insurance program, who lost their jobs during the COVID-19 pandemic found that their children are eligible for a Silver 94 plan. They realized that the monthly premium amount of $221 they used to pay has been reduced to just a dollar. Imagine their excitement. The Employment Development Department (EDD) has furnished data revealing that 569,000 residents of the state of California have filed unemployment insurance claims in May. Currently, around 141,000, which is almost 10 percent of the total Covered California enrollees, have laid their hands on unemployment insurance benefits in 2021.

This indicates that thousands more can qualify to avail the new benefit. Covered California, in a partnership with the Employment Development Directorate, is making the recipients of the unemployment insurance benefits aware of the newly available subsidies through their individual accounts. For those who have lost their jobs during the pandemic, this can be an excellent opportunity to avail a health insurance plan at a price that was almost unimaginable a few days back. If you have filed for unemployment recently, it’s time that you check out the options you have and start saving without delay.

How to Find Out If You are Eligible?

If you are interested to find out whether you are eligible or not, log in to the Covered California website. Find out certified enrollers or insurance agents, call them, and ask for their suggestions and help. You can also call up Cover California at (800)300-1506.

The main job of Covered California is to transform the health insurance marketplace according to the requirements of the consumers. The five members of the board are appointed by the California governor, along with the Legislature. Hence it is indeed a step towards better health insurance for the people of California.