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Individual subsidies were included in the health reform law to help ensure the goals of the legislation’s individual mandate. Legislation provides premium subsidies on a sliding scale to eligible individuals and families with incomes up to four times the federal poverty level to help them purchase coverage through the health insurance exchanges.
In addition, there are cost-sharing subsidies that will help eligible families reduce their out-of-pocket costs for healthcare. Subsidies will only be available within the exchanges. Premium subsides can be applied to any metal-level plan, but cost-sharing subsidies are only available on Silver plans.
Nine states have state-funded health insurance subsidy programs that make coverage even more affordable than it would be with federal subsidies alone.
Most exchange enrollees are eligible for premium subsidies, and the American Rescue Plan makes these subsidies larger and more widely available through 2022.
Legislation signed today provides substantial premium tax credits and cost-sharing reductions to Americans receiving unemployment benefits.
How the Affordable Care Act's subsidies are calculated, and who is eligible to receive them under the American Rescue Plan.
Sweeping health reform legislation delivered a long list of provisions focused on health insurance affordability, consumer protections.