Open Enrollment Update
Reminders:
• Open Enrollment continues for purchasing individual and family health insurance policies for 2016.
• If you have selected a plan with a new insurance company in 2016, be certain that your 2015 policy is cancelled at the end of the year.
• Your new 2016 policy will not be activated until the first premium is paid. It is due before January 1st.
Deadlines:
• Enrollments completed through December 15, 2015 will be effective on January 1, 2016
• Enrollments completed December 16th thru January 15th will be effective February 1, 2016
• Enrollments completed January 15th thru January 31st will be effective March 1, 2016
• Open Enrollment ends on January 31, 2016
Marketplace results: We knew before the Open Enrollment began that premiums for individual and family policies would have substantial increases. As health insurance premiums increase, so does the amount of Premium Tax Credit (PTC) awarded to an individual. Here are some examples.
Female, age 54. Husband is retired and receiving Social Security. The couple’s income is $19,500. In 2015, she paid over $500/mo for health insurance with a $6000 deductible and had received notice that the premium would be $600 next year. She enrolled through the Marketplace for the first time and qualified for a Premium Tax Credit of $560/mo. Now her share of the premium will be $40 in 2016.
Couple in early 40’s with 2 children. Family owns a small business and expects to earn $54,000 in 2016. Full premium for a Silver plan with a $3000 deductible for each person is $950. The family qualified for a PTC of $630 that reduced their cost to $320 each month.
Young man, age 24 with a history of cancer. He must have high quality health insurance. He is able to work about 30 hours per week, but has physical limitations from the cancer that keep him from working more. Estimated earnings for 2016 are $20,000. He is eligible for a PTC of $195 that allows him to select the Gold plan that offers better benefits for a premium of $105 per month.
Health insurance is complicated. Adding your personal information and income to the application are fairly straightforward. Knowing how to evaluate the health insurance benefits and the networks of providers that are offered by each company is essential. Contact your insurance agent or ComPro (www.comproins.com) for expert advice that will guide you to the right choice for you and your family.
by Chris McPike, Vice President
ComPro Insurance |www.comproins.com|402-488-5100