The Premium Tax Credit is a subsidy that the government pays toward your monthly insurance premium to help make it affordable.
To qualify for the Premium Tax Credit, your income must be at or below 4x the Federal Poverty Line. Depending on your household size and the state you live in, these income ranges are as follows:
Generally speaking, the lower your income, the more help you will get from the government to pay for your insurance premiums through the form of a subsidy. In other words, those with lower incomes receive a higher Premium Tax Credit. If your income falls below the levels described above, you may be eligible for Medicaid depending on the state you live in. Check with the Federal Health Insurance Marketplace or your state’s exchange to learn more.
If your income falls around the middle of these ranges, you may also be eligible to save on out-of-pocket costs through the Cost-Sharing Reduction program. Learn about this additional subsidy program here.
Note:Changes in your household income may make you eligible for the Special Enrollment Period. During the Special Enrollment period, you can update your current plan, or enroll in a new one. You can either reduce/remove your Premium Tax Credit, or increase it, depending on whether your income is increasing or decreasing.
Also note that in the event you end up receiving a Premium Tax Credit subsidy that is greater than what you should have been given, you will be responsible for paying any overages during tax season. In the event you end up receiving too little of a Premium Tax Credit, you will be paid a tax refund for the remaining balance.
To see if you qualify and compare plans with an estimate of your Premium Tax Credit, please submit your zip code. You can also call (877) 935-9291 to speak with an agent.