What's the Penalty for No Health Insurance in 2016?
Lily AldridgeThe Penalty for No Health Insurance in 2016: What You Need to Know
Many people are still confused about the penalty for not having health insurance in 2016. The Affordable Care Act requires most Americans to have health insurance, or pay a penalty. In this article, we will discuss the penalty for no health insurance in 2016 and provide tips on how to avoid it.
What is the penalty for no health insurance in 2016?
The penalty for no health insurance in 2016 is $695 per adult and $347.50 per child, or 2.5% of your household income, whichever is greater. The maximum penalty is $2,085 per household. It's important to note that the penalty is calculated based on the number of months you or your family members were uninsured in 2016.
Who is exempt from the penalty?
There are several exemptions to the penalty for no health insurance in 2016. You may be exempt if:
- You were uninsured for less than three months of the year
- The lowest-priced coverage available to you would cost more than 8.13% of your household income
- You qualify for ahardship exemption, such as experiencing homelessness, bankruptcy, or domestic violence
- You belong to a religious sect that opposes insurance
- You are a member of a health care sharing ministry
- You are an undocumented immigrant or not lawfully present in the US
How to avoid the penalty for no health insurance in 2016?
The easiest way to avoid the penalty for no health insurance in 2016 is to enroll in a health insurance plan. You can enroll during the open enrollment period or during a special enrollment period if you experience a qualifying life event, such as losing your job or getting married. You can also apply for a hardship exemption if you qualify.
Tips for choosing the best health insurance plan
When choosing a health insurance plan, it's important to consider your healthcare needs and budget. Here are some tips to help you find the best plan:
- Review the plan's benefits and coverage, including deductibles, copayments, and coinsurance
- Check if your healthcare providers are in the plan's network
- Compare premiums and out-of-pocket costs
- Consider additional benefits, such as dental and vision coverage
- Check if you qualify for financial assistance, such as premium tax credits or cost-sharing reductions
Conclusion
The penalty for no health insurance in 2016 can be costly, but there are ways to avoid it. By enrolling in a health insurance plan or qualifying for an exemption, you can protect your health and finances. When choosing a health insurance plan, it's important to consider your healthcare needs and budget. With the right plan, you can have peace of mind knowing that you're covered in case of an unexpected medical expense.
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