Alabama Affordable Care Act Guide
In this informative article, you will learn about the Affordable Care Act health care reform laws in Alabama. You will learn how the new health care reform law, Affordable Care Act, also known as Obamacare or ACA, impacts you as a citizen of the state. Learn how to sign-up for Alabama Affordable Care Act, the Affordable Care Act penalty, and subsidies.
What is Alabama Affordable Care Act?
Affordable Care Act, also know as ObamaCare or Health Care Reform, was signed into law in March 2010. There are four main goals of the Affordable Care Act:
- Expanding Health Care Insurance Coverage
- Providing New Consumer Insurance Protections
- Offering New Insurance Choices via Marketplace Exchanges
- Making Health Insurance more affordable
When can I apply for Affordable Care Act Alabama?
You can only apply for Alabama Affordable Care Act during Open Enrollment. The open enrollment for the 2015-2016 year starts from November 1, 2015, and ends on January 31, 2016.
If you qualify for Alabama Medicaid health insurance, then you can sign-up Medicaid anytime of the year.
If there are life-changing events, then you can apply for Affordable Care Act Special Enrollment Period.
When is Alabama Affordable Care Act deadline?
The AL Affordable Care Act Open Enrollment is only open for three months. There are many Important dates around the end of the year for Alabama Affordable Care Act:
- December 15, 2015: Last day to enroll in or change plans for new coverage to start January 1, 2016
- January 1, 2016: 2016 coverage starts for those who enroll or change plans by Dec. 15.
- January 15, 2016: Last day to enroll in or change plans for new coverage to start Feb. 1, 2016
- January 31, 2016: 2016 Open Enrollment ends. Enrollments or changes between January 16 and January 31 take effect March 1, 2016.
How do I apply for Affordable Care Act Alabama (AL ACA)?
Alabama Affordable Care Act Health Insurance Marketplace is run by the Federal government. Click on HealthCare.gov to access Alabama Affordable Care Act Marketplace. You can preview the different insurance plans and see participating doctors before selecting the final health insurance plan.
How much is Affordable Care Act Alabama?
The cost of Alabama Affordable Care Act health insurance depends on the metal plan you choose and the number of people in the household.
|State||Year||Avg. Monthly Silver Plan (before Tax Credits)||US Average|
There are four different health insurance plans within the Alabama Obamacare Marketplace. All of the plans cover the Essential Health Benefits. The metal plans represent the various levels of coverage you receive and what the plan pays on average. The plan levels DO NOT represent the quality of the health coverage/doctors you receive.
- Bronze Plan: The plan pays 60% of the cost, you pay 40% of the cost
- Silver Plan: The plan pays 70% of the cost, you pay 30% of the cost
- Gold Plan: The plan pays 80% of the cost, you pay 20% of the cost
- Platinum Plan: The plan pays 90% of the cost, you pay 10% of the cost
Platinum plans have the highest insurance premiums (monthly cost) and Bronze plans have the lowest insurance premiums.
How much is Alabama Affordable Care Act Penalty?
The penalty (or also called individual shared responsibility payment) is calculated in two ways.
For 2016 year, the ACA penalty is as follows:
- By percentage of income (2.5% of household income or maximum of National Average Bronze plan premium)
- By number of people in the household ($695 per adult, $347.50 per child or maximum $2085)
You’ll pay whichever penalty is higher.
How much are Alabama Affordable Care Act Subsidies? What are the requirements?
If your gross income is between 133% to 400% of the Federal Poverty Level, you can qualify for Affordable Care Act Subsidies if you purchased the health insurance from the Federal/State Marketplace. Affordable Care Act Subsidies are also called, “Premium Tax Credits or PTC.” If you income is above 400% of the Federal Poverty Level, you do not qualify for any Affordable Care Act Premium Subsidy.
ACA subsidy lowers your premium – the amount you pay each month to your insurance plan. The amount of your ACA Subsidy depends on the estimated household income that you put on your ACA Marketplace application.
|Federal Poverty Level||Insurance Premium After PTC Subsidy|
|Up to 133% FPL||2% of income|
|133-150% FPL||3%-4% of income|
|150-2000% FPL||4%-6.3% of income|
|200-250% FPL||6.3%-8.05% of income|
|250-300% FPL||8.05%-9.5% of income|
|300-400% FPL||9.5 of income|
|Over 400% FPL||No Government Subsidy|
Do I need to get Affordable Care Act Alabama?
Yes, every individual in Alabama needs to have health insurance. One of the hallmarks of the Affordable Care Act health care reform law is the Individual Mandate. The Individual Mandate of Affordable Care Act health care law requires US Citizens and legal residents to enroll in a health insurance plan or pay a penalty.
You can choose not to have health insurance, but you will have to pay the penalty in addition to the hospitals/doctors medical fee if you do get sick.
What is the Requirement for Affordable Care Act Alabama?
To qualify for Alabama Affordable Care Act, you must meet the following requirements:
- Must live in Alabama
- Must be a US citizen, national, or lawfully present immigrant
- Cannot be currently incarcerated (be in jailed)
- Have a valid Social Security Number
Medicaid Expansion Relating to Affordable Care Act Alabama
Alabama did not expand the Medicaid program as of 2015/2016.
Alabama Affordable Care Act Frequently Asked Questions:
- Who runs the Affordable Care Act Alabama Marketplace? Federal
- Where can I sign up for Affordable Care Act Alabama? Click here
- How much is health insurance premium for Alabama Affordable Care Act? It depends on your income and the number of household/family.
- Which insurance companies are offering Affordable Care Act Plans in the state of Alabama? Click here to see the insurance companies
Click here for more Frequently Asked Questions on ACA / Affordable Care Act.
For additional Information on Alabama Affordable Care Act / Obamacare:
Alabama Department of Insurance
Toll-Free: (800) 438-5768
Local: (307) 777-7401
Website: State Department Insurance Website
Federal HealthGov Marketplace
Alabama five largest cities in terms of population: Birmingham, Montgomery, Mobile, Huntsville, and Tuscaloosa.