New Health Insurance Coverage Options and Your Health Coverage
PART A: General Information
When key parts of the health care law took effect in 2014, there was a new way to buy health insurance in California.
To assist you as you evaluate options for you and your family, this notice provides some basic information about a new Marketplace called
Covered California, and employment-based health coverage offered by your employer.
What is Covered California?
Covered California can help you find health insurance that meets your needs and fits your budget. Covered California offers "one-stop shopping"
to find and compare private health insurance options. You may also be eligible for a new kind of tax credit that lowers your monthly premium
right away. Open enrollment for health insurance coverage through Covered California began in October 2013 for coverage that started January
1, 2014.
Can I Save Money on my Health Insurance Premiums in Covered California?
You may qualify to save money and lower your monthly premium, but only if your employer does not offer coverage, or offers coverage that
doesn't meet certain standards. The savings on your premium that you're eligible for depends on your household income.
Does Employer Health Coverage Affect Eligibility for Premium Savings through Covered California?
Yes. If you have an offer of health coverage from your employer that meets certain standards, you will not be eligible for a tax credit through
Covered California and may wish to enroll in your employer's health plan. However, you may be eligible for a tax credit that lowers your monthly
premium or a reduction in certain cost-sharing if your employer does not offer coverage to you at all or does not offer coverage that meets
certain standards. If the cost of a plan from your employer that would cover you (and not any other members of your family) is more than 9.5%
of your household income for the year, or if the coverage your employer provides does not meet the "minimum value" standard set by the
Affordable Care Act, you may be eligible for a tax credit.
Note: If you purchase a health plan through Covered California instead of accepting health coverage offered by your employer, then you may
lose the employer contribution (if any) to the employer-offered coverage. Also, this employer contribution -as well as your employee
contribution to employer-offered coverage- is often excluded from income for Federal and State income tax purposes. Your payments for
coverage through Covered California are made on an aftertax basis.
How Can I Get More Information?
For more information about your coverage offered by your employer, please contact: HR Benefits Office (Insert Benefits Office contact information
here), check the campus HR benefits website (Insert link) or summary plan description.
Covered California can help you evaluate your coverage options, including your eligibility for coverage through Covered California and its cost.
Please visit www.coveredca.com or call 888-975-1142 for more information.
An employer-sponsored health plan meets the "minimum value standard" if the plan's share of the total allowed benefit costs covered by the plan is no less than 60
percent of such costs.
HRM – July 2015