Nearly 2 million enrollees have reduced their monthly premiums by an average of over 40% due to premium tax credits included in the American Rescue Plan (ARP), reducing $100 monthly premiums to $57.
Department of Health and Human Services (HHS) Secretary Xavier Becerra announced Thursday that nearly 940,000 Americans have signed up for health coverage on HealthCare.gov during the Biden administration's special enrollment period (SEP) for the COVID-19 Public Health Emergency.
The SEP, originally announced in January, began on February 15 for the 36 states that use the HealthCare.gov platform.
The original SEP was set to conclude on May 15 but HHS announced in March that marketplace consumers now have until August 15 to enroll in ACA coverage, compare and switch plans, and see if they qualify for more affordable premiums.
"Families and individuals are signing up for high-quality insurance that the American Rescue Plan made more affordable,” Becerra said in a statement. "Across America there is a need and demand for high-quality, low-cost health insurance. That’s why we are doing all we can to reach people who need coverage. Americans who need health coverage to start as soon as June 1 should visit HealthCare.gov or CuidadoDeSalud.gov today to see what health plans are available to them. A few moments of your time are all that it takes for you to save your family money, get better care, and have peace of mind."
Nearly 2 million enrollees have reduced their monthly premiums by an average of over 40% due to premium tax credits included in the American Rescue Plan (ARP), reducing $100 monthly premiums to $57.
New enrollees during the SEP have seen premiums fall over 25%, after increased tax credits, according to HHS. Premiums for those enrolling from February 15 through March 31 were $117, while those enrolling in April had premiums of $86 per month.
Out of pocket spending costs also declined for new consumers, as average deductible costs for new enrollees during the SEP fell almost 90% from $450 prior to April 1 to $50 after the increased tax credits.
Melanie Blackman is a contributing editor for strategy, marketing, and human resources at HealthLeaders, an HCPro brand.
Photo credit: Los Angeles, California, USA - 21 Jule 2019: Illustrative Editorial of HEALTH CARE website homepage. HEALTHCARE.GOV logo visible on display screen. / Editorial credit: II.studio / Shutterstock.com