Covered California is offering millions of residents affordable health insurance, where registration will start on Monday as part of the company’s special enrollment period.
The health insurance company revealed in a press release that United States President Joe Biden’s newly passed American Rescue Plan which is worth $1.9 trillion in coronavirus relief packages distributed about $3 billion in federal subsidies to support healthcare.
Affordable Health Insurance
The legislation could help nearly 2.5 million California residents get lower premium costs through Cover California’s health insurance. Some of the company’s plans cost only $1 per month.
In the news release, Covered California detailed the eligibility of the assistance for state residents. The company estimated about 810,000 Californians did not have insurance but became eligible through their coverage. The ‘Bronze Plan’ would cost residents only $1 per month.
The new law also allows anyone who has received unemployment benefits this year to get insurance for $1 per month. It would not consider the individual’s actual total income for 2021.
People who are already enrolled in other Covered California plans will not have to do any additional process to save money. The company will automatically apply the reduced premium costs to accounts starting in May. The press release also said an average reduction of $180 decrease for every household per month will be expected.
Any resident who is not insured through an Affordable Care Act insurance company such as Covered California can save up to $700 per month by switching to the state’s private health insurance program, ABC10 reported.
“For some Californians, it means hundreds or even thousands of dollars back in their pockets to help them afford their housing, keep their business running, or assist with daily living expenses. For others, it means they will finally be able to afford health care coverage and get the protection and peace of mind they need as we recover from this pandemic and recession,” Covered California Executive Director Peter V. Lee said.