How Obamacare’s tax credit benefit me?

How does the increase in Obamacare’s tax credit benefit me? After the special enrollment period for Obamacare was extended until August 15th, the tax credit for insurance plans was also increased in order to benefit more people with government subsidies.

Thanks to the increase in the poverty threshold, more individuals are now eligible to receive government credits, and those who already received subsidies can increase their benefits.

A real-life example of the aforementioned statement is as follows: A family of three, with an annual income of $30,000, enrolled in a health insurance plan under Obamacare during the open enrollment period last November. This family obtained a Silver Plan with zero deductible, paying a monthly premium of $157.

In January, the head of the household was fortunate enough to receive a salary increase from his employer. With the prospect of earning $40,000 per year, he contacted his insurance agent to get a new quote. Our agent, when providing a quote from the same company and the same plan, informed him that the premium would increase to $380 per month. As a result, the head of the household chose not to update his increased income.

However, with the increase in the tax credit, this same head of the household, now earning $40,000 per year, while retaining his Silver Plan with zero deductible, managed to have a monthly premium of $139. In other words, even though he earns more, he now pays $18 less than his previous premium while receiving the same benefits.

But beware, these benefits are not automatic, no insurer will lower your premiums without your intervention. If you want to improve your contract, you must call Univista and request a new quote.

On the other hand, if your income in November or January did not make you eligible for government subsidies, check with your insurer. It is possible that you may now also benefit from the expansion of the tax credit.

Don’t waste time, improve your health insurance. Remember that the new enrollment period ends on August 15th. How does the increase in Obamacare’s tax credit benefit me?

Call us today for a full qualification! (305) 964-8803. You can also quote for free here.