American Rescue Plan Offers Obamacare Health Premium Reductions
Montana Commissioner of Securities and Insurance Troy Downing announced this week that the recently enacted American Rescue Plan offers savings for those who utilize healthcare.gov, also known as Obamacare.
Downing explains the savings built into the plan.
“It's allowing additional subsidies that can drive your premiums down,” said Downing. “So if you're on the exchange and getting your health insurance through health healthcare.gov, then you should go on to the website and check out your coverage, and if you're using an insurance agent, check with him or her because there's very likely reductions to your premiums.”
Downing explained the most direct method for gaining access to the premium reductions.
“We have the extended enrollment period right now going until May 15, so if you go on and do it right now, it'll change your monthly premium immediately, and that's going to be a $50 to $85 per month reduction,” he said. “You can use that as a reduction in your monthly payments or you can use that possibly to move to a different tier of the insurance plan.”
Downing also explained the price reductions offered by the Rescue Plan.
“Many people fell into that gap where they were making too much money to be eligible for these subsidies but not enough money to pay for that 9.83%,” he said. “This opens up opportunities for those people who may not be insured right now because they were in that gap. So again, go to healthcare.gov or check with your health insurance agent on what the opportunities are for your situation.”
Downing described another way to gain the discounts.
“If you don't go online and change this right now, then you'll still have your existing monthly payments, however, you can still get the tax credits when you file next year's tax return,” he said. “So I just want to make sure that Montanans know that if you are getting your health insurance through the healthcare.gov exchange, then the American Rescue Plan offers opportunities to reduce your monthly payments or get a credit at the end of the year.”
44,711 people enrolled in private individual/family plans through Montana’s exchange during the open enrollment period for 2021 coverage.