Today, Gov. Ned Lamont encouraged residents purchasing health insurance through Access Health CT, the state’s insurance marketplace, to call brokers and see if they’re qualified to receive state assistance to offset spikes in their insurance premiums.
“We’re trying to do everything we can to keep up with the changing landscape down in Washington,” said Lamont. “So that’s why, working with our friends in the legislature, we set up the standalone fund, working with our friends in the legislature, we said, ‘We got your back.’”
Early last month, Lamont announced state officials’ intent to allocate $70 million from the state’s $500 million emergency fund for the purpose of offsetting expected premium hikes. These spikes were expected as a result of the end-of-year expiration of ACA Enhanced Premium tax credits. Today, Lamont further elaborated that there is “some money allocated beyond” this year’s $70 million, in case the expanded tax credits were not extended again by the end of this year.
The tax credits were originally passed in the Affordable Care Act (ACA), in an effort to make insurance more affordable to those who purchased insurance through ACA, with households making up to 400% of the federal poverty level eligible for credits. The American Rescue Plan Act expanded its eligibility by limiting premiums to 8.5% of income for households making over 400% of the federal poverty level. While this expansion was originally set to expire in 2022, it was extended through the end of 2025 by the Inflation Reduction Act. Congressional dispute over further extending the expanded tax credits was the reason for last year’s government shutdown.
James Michel, CEO of Access Health CT, explained that those making 100-200% of the federal poverty level can expect any increase in premiums to be fully negated by state subsidies. Lamont said that individuals making up to $56,000 could receive coverage for “no cost.” Lamont said that relief would be extended to households making up to “about $165,000,” saying, “We can’t make up for all the loss and subsidies, but we can make up for about half of that.”
“Rather than paying an extra, you know, one or two thousand dollars out of pocket per month — it’s going to be a lot less than that thanks to the work we’re trying to do,” said Lamont.
While Michel and Lamont seemed fuzzy on the exact details, they urged residents receiving health insurance through state plans, as well as those who are currently uninsured, to contact state health insurance brokers and work out the specifics. Michel said that residents can go to Access Health CT’s ‘Get Help’ page to find brokers in their areas that can help explain the benefits. Michel stressed the fact that residents who are already enrolled in a state plan and are eligible to receive state subsidies will not automatically receive them, and must reach out to a state insurance broker to do so.
“Our brokers are trained currently to look at the situation – your family size, your income level – and determine exactly how much subsidies, state subsidies and federal subsidies, that you qualify for,” said Michel.
Currently, residents have until January 31 to enroll in a health plan through Access Health, though Michel said state officials are considering “possibly extending it beyond that, to give people more opportunities to come and enroll.” Those who enroll by January 31 can have coverage effective February 1. Michel said that if state officials decide to extend the enrollment period into February, then those who enroll in February would receive coverage effective March 1.
“If this gets confusing, and frankly, it’s sounding pretty confusing out of Washington, we’ll probably have to extend the enrollment period from January 30 to the end of February, or even beyond,” said Lamont. “We’ll give you the latest up to date we’ve got right now, based upon the subsidies we put in place, we’ll be able to tell you exactly what it’s going to cost you to continue your health insurance, and maybe the feds will step in and clarify things over the next couple of weeks.”
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