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Job Based Insurance Plans and the New Affordable Healthcare Act

How the ACA Affects Job Based Insurance Plans

Job-based Insurance Plans Durham CAWhen the Affordable Healthcare Act was implemented it enforced insurance as a mandate for all American citizens. This means that every man, woman, and child is expected to be covered by an insurance plan. Those who do not obtain health care coverage by the due date will face a penalty tax for their household. All citizens can select coverage from the healthcare marketplace set up by the federal government. There are other stipulations about the affordable healthcare act low, however, one of the big questions is about employer based insurance.

Employer Insurance

Prior to the new law, most of the people who had insurance coverage received this coverage through their employers. Employers often offer group plans for employees and their family members. The money for the insurance plan is usually taken out of the employees check monthly. For most people, this was the best way to get affordable insurance for their family. With the new healthcare laws this has changed.

What Happens to Employer Based Insurance

Employer based insurance under the affordable healthcare act law has remained largely untouched. Employers are still free to offer the plans that they would like for their employees. Employees who are covered by healthcare plans through their employer can carry on as they previously have. The one thing that all employees who are covered by their employer should do is check their coverage levels and overall costs.

Marketplace versus Employer Insurance

Even if employees are covered under the healthcare of their company, it is a good idea to go to the market place to check coverage levels of that healthcare in addition to costs. Some employees may find that they can get the same amount of coverage with a lower payment. The Affordable Healthcare Act made insurance cost sensitive, so that it is less of a financial burden on the household. You may find that you are able to get healthcare coverage for less than the company plan. In this case you are able to drop your employer plan and select a marketplace plan during open enrollment.

The 60% Rule for Insurance Plans

Health plans must all cover a minimum of 60% of health care expenses in order to qualify as a health care coverage plan under the ACA. Marketplace plans meet this coverage limit. If you have an employer based plan, make sure to check that you plan covers 60%. If not, you need to pick up additional coverage or incur a tax penalty. Don’t hesitate to contact us if you have any questions about how the ACA will affect you, or if you need to find an insurance plan Durham CA for you and your family.