{"id":4890,"date":"2019-10-09T12:14:41","date_gmt":"2019-10-09T19:14:41","guid":{"rendered":"https:\/\/www.costulessdirect.com\/?p=4890"},"modified":"2022-12-23T02:49:20","modified_gmt":"2022-12-23T02:49:20","slug":"4-important-changes-to-california-health-insurance-in-2020","status":"publish","type":"post","link":"https:\/\/www.costulessdirect.com\/blog\/4-important-changes-to-california-health-insurance-in-2020\/","title":{"rendered":"4 Important Changes to California Health Insurance in 2020"},"content":{"rendered":"

Some significant changes are coming to California health insurance next year. Read on to learn more about how these changes may affect your household.<\/p>\n

Covered California Open Enrollment<\/h2>\n

Covered California open enrollment begins soon, starting October 15 and ending January 15. State lawmakers are deciding whether to extend the enrollment period to Jan. 31. In most states, open enrollment is from November 1 to December 15, but California has permanently adopted a three-month schedule for California open enrollment. Coverage purchased between October 15 and December 15 will be effective January 1, while coverage purchased between December 16 and January 15 will be effective February 1.<\/p>\n

The state\u2019s health insurance marketplace, Covered California, has selected 11 health insurance companies to provide the best health insurance California residents can choose from.<\/p>\n

Health Insurance Companies Selected for 2020:<\/strong><\/p>\n

    \n
  1. \n
      \n
    1. Anthem Blue Cross of California<\/li>\n
    2. Blue Shield of California<\/li>\n
    3. Chinese Community Health Plan<\/li>\n
    4. Health Net<\/li>\n
    5. Kaiser Permanente<\/li>\n
    6. L.A. Care Health Plan<\/li>\n
    7. Molina Healthcare<\/li>\n
    8. Oscar Health Plan of California<\/li>\n
    9. Sharp Health Plan<\/li>\n
    10. Valley Health Plan<\/li>\n
    11. Western Health Advantage<\/li>\n<\/ol>\n<\/li>\n<\/ol>\n

      Covered California is the only exchange in the country that only allows standardized plans.<\/p>\n

      What\u2019s New for 2020?<\/h2>\n
        \n
      1. Beginning Jan. 1, 2020, California will be the first state in the nation to provide a new subsidy program that will help lower health insurance costs for low and middle-income residents. Those who earn between 400% and 600% of the federal poverty line (FPL) will be eligible for premium tax credits. (see chart below).<\/li>\n
      2. California is restoring the individual mandate penalty. Under Obamacare, there was a tax penalty for those who could afford insurance but didn\u2019t have it. The penalty was eliminated by the Tax Cuts and Jobs Act of 2017, but California lawmakers have chosen to reinstate the penalty. The money from the penalty will fund the new subsidy program.<\/li>\n
      3. The new state initiatives resulted in premium decreases between 2 and 5% per carrier as health insurance providers reduced increases they added to premiums in 2019.<\/li>\n
      4. Covered California announced that three health plans are expanding their coverage area.\n
          \n
        1. Anthem Blue Cross will now be available in the Central Coast, Los Angeles County, parts of the Central Valley and the Inland Empire.<\/li>\n
        2. Blue Shield of California is expanding its HMO into parts of Tulare and Riverside counties.<\/li>\n
        3. Chinese Community Plan will cover all of San Mateo County.<\/li>\n<\/ol>\n

          Source: Coveredca.com<\/p>\n

          Affordable Care Act 2020<\/h2>\n

          The Affordable Care Act, or ACA, reduced the nation\u2019s uninsured rate. An estimated 20 million people gained health insurance coverage. California was one of the states whose health insurance coverage improved when the ACA passed in 2010. California expanded eligibility for Medicaid and established its health insurance marketplace, Covered California. By 2017, California reduced its uninsured rate by 14 percentage points, according to commonwealthfund.org.<\/p>\n

          What Are The Tax Penalties for Not Having Insurance?<\/h2>\n

          $695 per adult ($347.50 per child) or 2.5% of annual income. Residents whose health insurance costs do not exceed a certain percentage of their income could face a penalty of up to nearly $2,100 per family, according to Covered California.<\/p>\n

          Are There Any Exemptions From Paying The Tax Penalty?<\/h2>\n

          Yes. Individuals who aren\u2019t required to file California income taxes don\u2019t have to maintain minimum essential coverage (MEC).<\/p>\n

          Additional exemptions may apply:<\/p>\n