By Marissa Cabrera and Alison St. John
President Obama countered criticism of his health reform law from Republicans last week, saying insurance companies are sending half a billion dollars in rebates to some 8.5 million people.
In spite of efforts in Washington DC to delay the start date of the reforms, in California, the new health insurance exchange, Covered California, is in place. The date when those who are uninsured can start signing up, is barreling towards us but few people know exactly what it will mean for them.
Covered California will begin enrolling individuals for health coverage on October 1. This week the health exchange started training 2,000 workers who will help people with enrollment.
To help you get the answers to key questions we spoke to two San Diego health care professionals: Gary Rotto, Director of Health Policy and Strategic Communications at the Council of Community Clinics and Jeannette Shay, Director of Government and Community Relations at Family Health Centers of San Diego.
What happens on October 1?
Covered California will open their website for pre-enrollment. Individuals and families who are uninsured can find out if they are eligible to enroll in the health insurance exchange or in Medical. Enrollment will continue through March 31, 2014.
Who’s eligible to buy health insurance under the exchange?
Legal residents who don’t have health insurance through an employer, or who are not eligible for Medical. Officials estimate about 5.3 million people are eligible for insurance in Covered California.
Who’s eligible for a tax credit, subsidy?
Officials estimate that up to 15,000 San Diegans will be eligible for a subsidy in the first year of the health exchange. Tax credits are available for individuals and families who meet certain income requirements. Those who make between 138 percent and 400 percent of the federal poverty level may be eligible for a tax credit. Covered California estimates about 2.3 million California residents will be eligible for a tax credit or subsidy.
There’s also Medi-Cal assistance. California is expanding Medi-Cal under the Affordable Care Act starting in 2014. Health coverage will be free for those under the age of 65 who earn less than $15,000 for a single individual and $31,180 annually for a family of four. Previously single adults were not eligible for coverage under Medi-Cal.
How many health plans do I have to chose from?
Covered California has approved 13 health plans. San Diegans will have 6 insurance companies to choose from. Blue Cross, Blue Shied, Health Net, Kaiser, Molina and Sharp Health Plan.
What medical services do the health plans cover?
The plans cover 10 essential benefits, ambulatory patient services, emergency services, hospitalization, maternity new born care mental health substance abuse prescription drugs, rehabilitation services, laboratory services, preventative and wellness, chronic disease management and pediatric services. Coverage for dental and vision is still being worked out.
How much will it cost?
What you pay will depend on which plan you buy and whether you are eligible for tax credits or subsidies. There are also four levels of coverage: Platinum, Gold, Silver and Bronze. The higher the metal category the higher percentage of medical expenses that a health plan will cover.
Covered California has an online calculator to help you find out your potential insurance cost.
How much is the penalty if I don’t buy health insurance?
In 2014, the penalty will be 1 percent of annual income or $95, whichever is greater. You will have to pay the penalty when you file your taxes at the end of the year. But the penalty will become increasingly more expensive after the first year.
If you have a specific question about the Affordable Care Act you can submit it here.
Follow our weekly Q-and-A series, Second Opinion, where Speak City Heights reporter Megan Burks answers questions from San Diegans on the Affordable Care Act.