Bernardini & Donovan Insurance Services

Blog & News

How Government Subsidies Will Work in 2014 for Health Insurance

As part of the new health care reform that was enacted by Congress under the Affordable Care Act, many lower income persons are eligible to take advantage of financial assistance to obtain individual health insurance when the changes are implemented in 2014. The government assistance generally comes in the form of a tax credit, providing a dollar-for-dollar tax reduction or benefit to persons who spend on health care through a state-operated health insurance exchange. The credit is gained when a tax return is filed after the fact. Additionally, up front individual subsidies will also be made available to primarily aimed at middle and low-income persons who have to pay for their own coverage, the premium payment subsidies can be used by families earning up to $94,200 in a year, or $45,960 for individuals. Those with no tax liability can instead get help up front when buying insurance, and the government

Read More »

What are Subsidies for Individual Health Insurance Policies?

The upcoming change that requires all individuals to have an individual health insurance policy is making many concerned about what it means for them. The biggest concern that people are expressing is one of being able to afford a policy as health insurance isn’t cheap. Fortunately, the legislation foresaw the fact that cost would be an issue for the uninsured and took steps to alleviate the cost in the form of individual subsidies. There are two requirements needed in order to qualify for individual subsidies. One is to obtain an individual health insurance premium through an exchange and the other is to have income less than 400 percent of the federal poverty level (FPL). As an example, the FPL for a family of four in 2011 was $89,000. Individuals whose employers policy is too expensive or has inadequate coverage can also qualify for individual subsidies. The ACA has two kinds

Read More »

Premium Assistance Subsidies

Individuals may be concerned about the new Affordable Care Act, as it will require those without employer-paid insurance benefits to get their own health insurance. However, the government is aware that not everyone can afford to pay for their own insurance policies. As a consequence, there will be federal subsidies for those that make under a certain amount. These subsidies will be available through a health care exchange and will be available to those that have income of less than four times the level of federal poverty. The methods by which the amount of the subsidy, as well as the premium limits associated with it, will be calculated are a little complex, but a health care exchange will be able to help interested individuals learn more. In general, however, the Affordable Care Act seeks to provide health insurance with as little financial damage to the insurance consumer as possible, and

Read More »

What Makes You Eligible for Individual Subsidies for Health Insurance

In 2014, all Americans are required to have health insurance or pay a fine. This fact has many worried about being able to afford individual health insurance because they can’t afford an individual health insurance policy as they currently exist. The good news is, the Affordable Care Act took a proactive stance and included a provision that created individual subsidies to help offset the cost of coverage. In order to be considered eligible for the subsidies, there are two tests that have to be passed. One way to gain individual subsidies is to purchase insurance through an exchange and have income that is less than 400 percent of the federal poverty level. In 2011, the FPL amount for a family of four was $89,000 in gross income. The other option is when employer-offered health insurance is more than 9.5 percent of the total household income. A policy that costs this

Read More »

Subsidies Cut Price of Health Insurance

Subsidies will be reducing the overall price that many lower income Americans need to pay in regards to their newly mandatory health insurance policies. While health insurance policies are set to become more affordable as of January 1, 2014, many individuals still feel as though the monthly cost could potentially be out of reach. As a consequence, many individuals may wish to pursue the subsidies available to them. When the Affordable Care Act is implemented, all individuals will be required to carry health insurance. This includes those that do not have employer-provided health insurance. Today, the costs of individual health insurance can be quite high, but in the future it is expected that insurance policies will become more affordable. Those that have an income of less than four times the poverty level will be able to qualify for health insurance subsidies from the federal government so that they can afford

Read More »

How do exchanges improve health plan quality and value?

One component to the Affordable Care Act being instituted as of January 1, 2014 is the addition of healthcare exchanges. Healthcare exchanges will be required throughout the United States and will create a marketplace through which individuals and small business owners can find affordable health care plans. How Will Healthcare Exchanges Work? While the details haven’t all been set in stone, a healthcare exchange will provide access to multiple types of insurance products. Individuals will be able to contact a healthcare exchange so they can compare different types of insurance policy to find the best one for them. There will be separate exchanges for individuals seeking insurance and small companies seeking insurance. How Do Exchanges Improve My Health Plan? A healthcare exchange requires that insurance companies compete against each other for their clients. This means that insurance companies will be forced to lower their costs and increase the benefits of

Read More »

Our website uses cookies and thereby collects information about your visit to improve our website (by analyzing), show you Social Media content and relevant advertisements. Please see our cookies page for furher details or agree by clicking the 'Accept' button.

Cookie settings

Below you can choose which kind of cookies you allow on this website. Click on the "Save cookie settings" button to apply your choice.

FunctionalOur website uses functional cookies. These cookies are necessary to let our website work.