Thanks to John Stanford of Madison Services Group for this article.
Individual Health Insurance Enrollment Has Ended – How It Affects You
March 31st marked the end of “open enrollment” in the new Health Insurance Exchanges for 2014. For most Americans, this signaled the final day to create an account, compare plans, and choose health insurance for 2014. Amid the many updates, delays, and conflicting media coverage, business owners and their employees may not know how they are affected. Depending on your current insurance situation, here are actions you may need to take:
For Individuals Not Covered Through Work:
- If you had technical problems signing up, either through the federal exchange at healthcare.gov or certain state exchanges (at this point Maryland, Minnesota, and Nevada), the enrollment period has been extended until mid-April. To qualify for this extension, you must have created an account on the exchange (including your email address) by midnight yesterday.
- If your insurance was cancelled and will end at some point in 2014, you will be able to sign up during a “special enrollment period” — right before your plan ends. Alternatively, your insurance carrier may choose to extend your plan as-is. Check with your current carrier to find out.
- If you are self-employed, you are considered an individual, not a small business. Your enrollment period ended yesterday, just like everyone else.
For Small Business Owners
- If you are a business owner and planned to offer insurance through your business to your employees, you can enroll throughout the year in the SHOP (Small Business) Marketplace. Generally, you can enroll up to the 15th of any month for coverage beginning the 1st of the next month. The Small Business Marketplace is limited to business with up to 50 employees. Online applications will not be available until the fall, though you can apply for coverage through a paper application or broker, both accessible through healthcare.gov.
- If you already provide health insurance to your employees (under 25 employees), make sure you consider the Small Business Health Tax Credit which can cover up to 50% of your costs. The credit is available for 2013 (the taxes being filed in April this year). Use the IRS Taxpayer Advocate calculator to determine if you qualify and for how much.
As a reminder, there are no penalties for any employer until 2015, no matter how many employees you have.