Who Was Exempt From Obamacare?

Who Was Exempt From Obamacare?

Who Was Exempt From Obamacare? Health Coverage Exemption Form

Millions of Americans who lacked health insurance were to have their coverage expanded when the Affordable Care Act (ACA) went into effect. The individual mandate, which demanded that everyone have health insurance or pay a fine, was at the forefront of its plan. Some people and entities were exempted from Obamacare’s provisions despite this law.

Anyone who chose not to get insurance had to pay a tax penalty. Many Americans are eligible for exemptions from the ObamaCare tax penalty rule. Before we go into every ObamaCare exception, let’s quickly review some frequent exemptions from the fee, ways to avoid paying the price, and what happens if you don’t get insured. Who Was Exempt From Obamacare?

Exemptions from health care for the current tax year

Click the links below if you would like to claim exemptions for the current tax year only.

Income-Related Exemptions

  •  The lowest-priced coverage available to you, through either a Marketplace or job-based plan, would cost more than 8.05% of your household income
  •  You don’t have to file a tax return because your income is below the level that requires you to file

Group Membership Exemptions

  •  You’re a member of a federally recognized tribe or eligible for services through an Indian Health Services provider
  • You’re a member of a recognized healthcare-sharing ministry
  • You’re a member of a recognized religious sect with religious objections to insurance, including Social Security and Medicare

Health Coverage Exemption Form

Other Exemptions

  •  You’re incarcerated (serving a term in prison or jail)
  •  You’re a U.S. citizen living abroad, a certain type of non-citizen, or not lawfully present (learn more about the definition of “lawfully present”)
  •  You experienced one of the hardships below

Health Coverage-Related Exemptions

  •  You were uninsured for no more than 2 consecutive months of the year
  •  You lived in a state that didn’t expand its Medicaid program but you would have qualified if it had
  •  You enrolled a child in the Children’s Health Insurance Program (CHIP) during the Open Enrollment period and didn’t have coverage for the child earlier in the year

Exemptions from the mandated health insurance requirements

The “shared responsibility payment” or “mandate,” which was the penalty for not having health insurance, was discontinued in 2018. This implies that you are no longer subject to a tax penalty for lacking health insurance. You do not require an exemption if you do not have health coverage to avoid paying a tax penalty. However, to be eligible for a catastrophic health plan if you’re thirty years of age or older, you must ask for an affordability or hardship exemption. Find out more about catastrophic coverage and exclusions.

Each of these states manages exemptions differently. Go to their websites to submit an exemption request:

  • Visit Covered California if you reside in California.
  • Check out the DC Health Link if you’re a resident of the District of Columbia.
  • For information about exemptions, residents of Maryland should visit Maryland Health Connection.

Find out more about exclusions from health coverage.

For historical background and for states that still uphold their versions of the individual mandate, it is imperative to comprehend these exemptions. Comment below if you have any questions.


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