health insurance coverage options for laid-off workers & others

Nearly 17 million people have filed unemployment claims in the last three weeks with the U.S. Department of Labor. Forecasters predict as many as 20 million people could lose their jobs by the end of April. Millions of workers who have lost their jobs also will lose their health insurance. The potential severity of COVID-19 means that being uninsured could leave people at risk for catastrophic health care costs. Here are some key things people who lose their jobs or who are currently uninsured should know.

Coverage Options for People Who Lose Their Jobs or Are Uninsured
If you have insurance through the job you lost: Maintaining your coverage through COBRA is a possibility, but you might find a cheaper option through the Affordable Care Act’s marketplaces. As always, even though open enrollment is closed, anyone who loses a job with health insurance is automatically eligible for a special enrollment period through the marketplaces. The first thing to do after losing job-based coverage is visit HealthCare.gov to check out options. If you qualify for a premium subsidy or Medicaid, there may be options much cheaper than COBRA.

If you have coverage through the ACA marketplaces: If you lost your job, your income is likely dropping, which means you may qualify for a subsidy. Go to HealthCare.gov and update your income information.

If you have coverage through Medicaid: Keep your coverage and make sure your enrollment status is up to date, so you don’t lose your coverage if you forget to reenroll.

If you are uninsured, you have a few options — and there may be more in the coming weeks:

• Go to HealthCare.gov and click on the box that says “See if I can enroll” and enter your zip code. You may be able to get covered in one of two ways:
  • 11 states and the District of Columbia have opened their marketplaces for a special enrollment period because of the pandemic. People in those states who are currently uninsured should take advantage of this opportunity. Deadlines range from early April through mid-June, depending on the state. People with incomes between 100 percent and 400 percent of poverty are eligible for subsidies — $12,490 to $49,960 for an individual and $25,750 to $103,000 for a family of four. If you do not live in one of these states, you will not be able to enroll in marketplace coverage unless you lose your health coverage as a result of losing your job.
  • All but 14 states have expanded eligibility for Medicaid. If your income is less than $17,236 for an individual or $35,535 for a family of four you may be eligible for Medicaid. Medicaid enrollment is open all year; you can sign up anytime. Medicaid eligibility is based on current monthly income, so even if your total annual income is expected to be higher, you may be eligible for Medicaid.

Recent Legislation and Executive Branch Actions on Coverage
Congress has passed three major emergency spending bills to address the pandemic and the administration has declared a national emergency. Here is what you should know about what this means for coverage:

• Coverage for coronavirus testing at no cost.
  • If you have private insurance, all insurers and employers are required to cover — without cost-sharing — tests and services associated with tests (but only if the visit results in a test) through the duration of the crisis. This does not apply to any treatment you may need. While most plans will likely cover treatment, standard deductibles and co-payments will apply.
  • If you have Medicaid, testing is covered without cost-sharing. In most states, treatment is subject to co-payments.
  • If you are uninsured, states have the option of using Medicaid to cover testing for uninsured people and those with substandard health plans like short-term policies. Again, this does not apply to any treatment you may need.​

Looking Forward
The staggering economic disruption triggered by the coronavirus pandemic is revealing the importance of the Affordable Care Act in providing coverage options for people who lose their job-based insurance. But the pandemic also shines a bright light on the remaining holes in the system: 30 million people uninsured and at least 44 million who are underinsured because of unaffordable deductibles and copayments. The crisis will place added pressure on the states that have not yet expanded Medicaid and may encourage them to move forward with expansion. It also may push Congress to permanently patch the holes in our insurance system. If it does, the next time we face a public health crisis we can be secure in the knowledge that everyone has health coverage and that illness will not be compounded by personal financial catastrophe because of health care costs.

If you need assistance or don't know what your next step should be, feel free to call us and get help. We can offer Short Term Health Plans, Limited Medical Plans, and Major Medical Plans with loss of other coverage, to individuals who may be in need, or just offer friendly advice during this difficult time!