The health insurance marketplace, also known as the exchange, offers a variety of different options to help individuals and families shop for and enroll in qualified Affordable Care Act plans. However, navigating the exchange can be confusing and even overwhelming. In the individual market, there are several ways you can apply for health insurance. Before applying, it is important to know key information and understand the difference between plans. Here are some common questions you should know the answers to.
How do you apply for an Affordable Care Act plan?
There are two ways to apply for this type of plan. You can apply off-exchange which means you’re applying directly with a health insurance carrier. When you apply directly with a carrier, you’re not accessing a subsidy (a coupon to help you purchase your insurance) which means the insurance is full price and in most situations expensive. Applying on-exchange means the application is completed with the use of healthcare.gov which offers subsidy options for lower costs.
What is the difference between qualified and non-qualified health plans?
In the individual market, there are two different ways you can go: qualified or non-qualified. Qualified health insurance plans meet the standards of the Affordable Care Act. These plans are unlimited and cover both pre-existing conditions and preventative health care. Non-qualified insurance plans do not meet the standards of the Affordable Care Act and the policies are limited. They also do not cover preexisting conditions and you can be declined coverage.
Why is the exchange important?
With COVID-19 to consider, it's more important than ever for people to have health insurance, especially when you factor in how many people have become unemployed. Many people are applying for insurance during their unemployment on-exchange in order to access a subsidy for their benefits. These individuals are able to afford health insurance because of the subsidy that assists with the monthly cost of their insurance plan.
Understanding on-exchange options and subsidies allows folks to make the best decision for their health insurance needs. However, even with these questions answered, the application process for individual insurance can still be complicated. Alexandra and her team are ready to walk you through the different options both on-exchange and off-exchange. Contact The Insurance People today to ensure your individual insurance needs are being fulfilled!