As insurance deadline nears, people scramble to sign up

There could be a crush of Americans signing up for health insurance under the Affordable Care Act as the open enrollment deadline approaches this Sunday, January 31. Eligible Illinois residents who don’t enroll in a qualified health plan by this date may miss out on coverage for the year as well as face penalties at tax time, according to a press release.

On Jan. 31, the Health Insurance Marketplace closes for 2016.

If you choose to be uninsured, you’ll pay the higher of these two amounts: 2 percent of your yearly household income (the maximum penalty is the average premium for a bronze plan) or you will pay $325 per person for the year ($162.50 per child under 18) with a maximum penalty per family of $975.

Most people can find plans on Healthcare.gov with premiums for less than $75 a month after tax credits are applied, CMS says. The law was created to reduce the number of uninsured and it has in the first three years the healthcare exchanges have been available.

If you and everyone in your household had coverage for the entire year through your employer, Medicare, Medicaid or other qualifying coverage you will simply need to check a box on your federal income tax return.

Free, unbiased enrollment counselors will be available to help people enroll through the federal Health Insurance Marketplace, Pennsylvania’s Health Choices Medicaid expansion program, and CHIP. In 2016, that penalty is $695 per adult or 2.5 percent of your gross income – whichever is higher. “Many people may only consider the monthly costs, but these plans may end up costing you more in the end”, said Glause.

The enrollment is part of the nationwide overhaul of health insurance brought on by the Affordable Care Act.