COVID-19 Crisis: Health Insurance Options If You’ve Lost Your Job

As millions of Americans lose their jobs due to the coronavirus crisis, they also find themselves without health insurance coverage. According to a report by FOX Business unemployment claims have hit a record 3.3 million. Because many Americans get health insurance through their employers, a pandemic is an especially scary time for people who have lost their jobs. However, if you do find yourself without health insurance, there are a couple of options you can look into.

A pair of shoes stanfing in front of three white arrows on asphalt pointing in different directions.
Even though you have lost your job and health benefits due to the coronavirus pandemic, you still have options for health insurance coverage.

Marketplace

Normally a person can only sign up for Marketplace health insurance, or the Affordable Care Act (ACA) exchange, during the open enrollment period from November 1 to December 15. However, under certain circumstances, people can qualify for a special enrollment period, which would allow them to enroll in a plan outside of open enrollment. Losing your job is considered a qualification for a special enrollment period.

There is only a 60 day window to apply for an ACA plan after you lose your job. These plans can be costly, but if you fall into a  low-income bracket, then you may qualify for a subsidy.

Recently, the Trump administration decided to not create a special coronavirus-related re- enrollment period for the uninsured in 38 states. Only 11 states and the District of Columbia run their own exchanges, and have opened enrollment to allow laid-off workers to get subsidized health insurance. These 11 states are:

  • California
  • Colorado
  • Connecticut
  • Maryland
  • Massachusetts
  • Minnesota
  • Nevada
  • New York
  • Rhode Island
  • Vermont
  • Washington

It is important to note that just because these 38 states will not re-open enrollment for everyone, does not mean that you do not qualify for special enrollment. If you were laid off from your job, you can enroll into the ACA exchange because that is one of the qualifications for a special enrollment period.

COBRA

health insurance words in a blue box with a green check in a box next to a yes
You can choose to extend your employer’s health insurance for up to 18 months following unemployment.

There is also a way to keep your employer-based coverage even if you lose your job. Under the Consolidated Omnibus Budget Reconciliation Act of 1985, or COBRA, you can extend your coverage for up to 18 months. However, it is important to note that COBRA can be quite expensive, because you are required to pay your entire premium. For example, if individual health insurance coverage costs roughly about $600 monthly, then normally your employer would pay for about $500 of that. Without an employer contributing to the cost of  monthly premiums, you will be left to pay for it all.

Medicaid

If you lose your source of income, you may qualify for Medicaid. Medicaid is government sponsored, and offers coverage for low-income individuals and people with disabilities. States look at your current income when deciding if you qualify for assistance from the program. Eligibility varies by state, but the monthly income limits are about $1,470 for an individual, and $3,000 for a family of four. You can apply online, or call your state’s Medicaid office, and will usually receive a response within 24 hours.

If you have recently lost your job due to the coronavirus pandemic, EZ will help you find an affordable plan to cover your health needs. We will provide you with a personal agent who will compare all the available plans in your area, and find one that fits your needs. To get started, enter your zip code in the bar above, or to speak with an agent, call 888-350-1890. Our promise to you is to help you find a plan, so you can remain healthy and safe during these hard times. EZ’s services are free of charge, because our service is focused on making sure that you feel supported throughout your health plan shopping journey, not on making money off of you.

Peace of Mind: Offering Your Employees Cancer Insurance

It is one of the most dreaded words that someone can hear at the doctor’s office: cancer. When facing a diagnosis of this disease, a lot of people’s minds will race as they begin to worry about treatments, prognosis, and their family. But they will also, unfortunately, have to think very seriously about the financial impact of their illness. Since 1 in 2 men and 1 in 3 women will find themselves in this situation, it may make sense for you to offer cancer insurance to your employees.

The Cost of Care

While it’s hard to accurately estimate the average cost of cancer treatment, AARP puts the average cost at $150,000. Chemotherapy can run anywhere from $1,000 to $12,000 per month, radiation can cost upwards of $9,000 per month, and other treatments like immunotherapy can add $10,000 – $12,500 per month. 

calculator on a table with papers with a lot of numbers and coins being pinched with wrench
Chemotherapy can run anywhere from $1,000 to $12,000 per month, which no one can really afford.

Eleven out of the twelve cancer drugs approved by the FDA are priced at at least $10,000 per month. Even with the typical group health insurance plan, an employee with 25% coinsurance would have to pay $2,500 for a cancer drug that costs $10,000 a month. According to the U.S. Bureau of Labor Statistics, the average monthly salary for U.S. workers is $3,600. If this is the case, then employees hit with a cancer diagnosis could be facing bills that are 70% of their monthly income. 

AARP puts the estimated yearly out-of-pocket costs of cancer at around $4,000, and some groups put that number at upwards of $20,000. Unfortunately, these aren’t the only costs that those battling the disease will face. Surveys have shown that 50% of cancer patients were financially impacted by travel costs related to their disease, while a quarter cited hardships due to lost wages. All of this can lead to patients skimping on drugs, falling behind on bills, and struggling to feed their families. 

How Employers Can Help: Offer Cancer Insurance

There is a way employers can offer some peace of mind to employees worried that a cancer diagnosis could upend their lives. Cancer insurance is a supplemental policy that helps cover additional expenses that aren’t covered by a typical group health insurance plan. Costs to the employee will vary by age, location, etc but on average they will pay from $8 – $100 a month on top of their normal premiums. 

Types of Cancer Insurance Policies

caucasian hand holding a bubble with a stethoscope in it
There are various cancer insurance options that you and your employees can choose from.

There are various options that you and your employees can choose from. The main types of cancer insurance policies are: 

  • Expense-incurred policy: a policy that pays a percentage of all covered treatments. These plans usually have a maximum dollar limit. Most of these plans require you to pay out of pocket, and will reimburse you.
  • Indemnity policy: similar to expense-incurred policies, except each treatment has fixed payout limits.
  • Lump-sum cash: with this policy, insurers will pay out a predetermined amount of cash, which can be used by the beneficiary in any way they choose. 

While the first two types of policies can be helpful in mitigating the overwhelming cost of cancer treatment, a lump-sum cash policy is the most flexible, as the money can be used for anything. Other plans will cover, to varying degrees, such cancer-related costs as: 

  • Copays and deductibles
  • Procedures and treatments
  • Doctor and hospital care
  • Travel and lodging
  • Everyday expenses (mortgage/rent, childcare, groceries, utilities)

As an employer, you may want to consider offering cancer insurance to your employees as an add-on benefit. Employees who feel they are at higher risk of being diagnosed with the disease, or have families dependent on their salaries, will appreciate being given the choice to expand their coverage. 

It is also important to remember that cancer costs working age adults $94 billion a year in lost wages, and cancer patients are 2.5 times more likely to declare bankruptcy as healthy people. It makes sense to offer protection to your workforce, especially since cancer insurance is relatively affordable as compared to other types of benefits.

If you need help with any aspect of offering health insurance benefits to your employees, EZ.Insure can help. Whether it be questions on what plan will work for your company, how much plans are in your area, or how to compare plans, we can do it all for you . Call 888-998-2027 to speak directly with one of our agents, or enter your zip code in the bar above to get free instant quotes. We will never sell your information to telemarketers as others do.

Losing Your Job Sucks, But You Can Still Get Affordable Insurance

Losing a job is not easy. You lose the money that paid your bills, and you lose the health insurance that protected you and your family’s health. But you do not have to go without insurance just because you lost your employer’s group plan. EZ will find you an affordable short-term health insurance plan that keeps you insured until you get another job. All of our services are free, so no need to worry about paying for anything other than the plan you sign up for. There are various different plan options but when looking for something between jobs, you may find that the perfect plan is a short-term plan.

person drawing a cross with short term words over long term.
You can find affordable health insurance, such as short-term plans. They offer coverage and cheaper than long-term plans.

Short-Term Health Plans

Short-term insurance is insurance anyone can get if they missed the open enrollment period, or need insurance while in between coverage (for example, if they have lost their job and no longer have insurance). It is best  for those who are healthy and only need a policy temporarily in case of an unexpected sickness or injury. These plans are cheaper than ACA plans, but provide limited coverage: they are not required to cover the 10 essential benefits that ACA plans are required to cover.

What Short-Term Plans Provide

caucasian woman in business attire sitting under a black open umbrella with dollar signs coming down like rain.
Short-term health insurance provides fast, flexible insurance with many benefits. It provides coverage with low premiums to help weather the storm.

Short-term health insurance provides fast, flexible insurance with many benefits. You are able to pick your deductible amount from many options. You are also able to drop coverage without a penalty for a long term insurance option. Premiums are lower than ACA health insurance plans, and you get coverage as soon as a day after applying.

The catch is that these plans are less expensive because they cover less. They are ideal for those who are relatively healthy and do not need a lot of coverage. They are considered more of an in-between (gap) plan, or a plan for healthy people who need the basics covered. 

If you do need to keep short-term for longer than expected, then you can. Insurance companies now have the ability to sell short-term health insurance plans that cover you for up to 3 years (36 months). These plans may offer less coverage, but will be there for those who can not afford, or do not feel that they need, extensive coverage.

If you are interested in obtaining more information on short-term insurance, contact EZ.Insure and connect with a highly trained agent. EZ.Insure will weigh the benefits and downsides of a short-term plan. We will go over everything with you and help you decide if one of these plans best suits your needs. If it does not, then we will direct you to other plans. Enter your zip code in the bar above to get instant quotes. Or to speak with your own personal advisor call  888-350-1890.

We take pride in servicing our customers, and strive to get you the best plan for the best deal. Do not go another day stressed due to lack of insurance, call EZ.Insure and get started with the right insurance plan for you.

Don’t Struggle Choosing An Insurance Plan, Let An EZ.Insure Agent Help

Insurance is a complex thing. When the time comes to pick the best plan, you want to make sure you know that you chose the one that meets your needs and budget. Doing this alone can lead to misinformation. If you choose to use an agent’s help, it is important to make sure that you have one that is honest, and has your best interests at heart. Some agents will deceive you just to make a sale, but not our agents. EZ.Insure agents want what you want, we are here to serve you. 

black and white picture of two hands shaking
With EZ, you will recieve you own personal agent who will compare plans and provide you with the best.

Custom Service

As soon as you submit a form and reach out to us you will see a photograph of the agent we have chosen for you based on your needs, and you will have the ability to see online quotes that they offer instantly. Before you even speak to an agent you will know who they are, some of the companies they work directly with, and what some of the plan prices they offer are.

What Our Agents Provide

Gone are the days of dealing with multiple agents. EZ will provide you your own personal agent that is specialized and licensed in your area. You personal agent will:

  • Compare plans to find the one that fits your needs.
  • Help you get insurance companies to lower their prices to get your business.
  • Assist you through the Health Plan enrollment process.

    cartoon hand pointing at a priority list number 1-3
    Our agents put you first and prioritize your needs.
  • Offer you support in the future with any Health Care issues you might encounter.

Aside from all of these things your agent will provide, you will also receive honesty and integrity. It is all about helping you and making sure you have a positive experience, not making money off you. 

No More False Information

Because our agents will compare all the available plans in your area, you will not have to worry about getting the wrong information. The agent we provide you will give you instant, accurate quotes, for free. The goal is to provide you with these quotes, and make sure you find the best plan for your exact needs and budget. No deception, or trying to get you to sign up for something you do not need just to make a profit. That is what separates us from the other companies.

Think You’re Safe From The Health Insurance Tax? Think Again!

Previously, if Americans did not have health insurance, they would face a penalty, or tax, called the individual mandate penalty. Thanks to the Tax Cuts and Jobs Act, the penalty no longer exists. However, some states still have the ability to penalize people for not having health insurance. 

womans hands with a calculator on top of an open laptop.
Although the individual mandate is gone, some states will tax you for not having health insurance.

Massachusetts, New Jersey, and Washington D.C. will hit you with a penalty for not having health insurance. Other states (California, Rhode Island, and Vermont) are joining the bandwagon and creating a health insurance coverage mandate for 2020. So if residents do not have health insurance in 2020, then they will pay a penalty in 2021.

Exemptions

States will allow exemptions, thankfully, to help certain people avoid the penalty. The circumstances include low income that falls below the state tax filing threshold. 

How Much Is The Penalty?

The penalty ranges in different states. They are:

silhouette of a man shaking another man upside down with money falling out.
If you live in one of the states that impose a health insurance tax, be prepared for the penalty if you do not have health insurance.
  • California- A flat amount of $695 per adult or $347.50 for each child. California can charge you 2.5% of gross income in excess of the state’s filing threshold, whichever is higher.
  • Massachusetts- The penalty is based on the household income, and can range from $264 per year to $1.524 per year. Individuals with income at or below $18,210 ($37,650 for a family of four) aren’t penalized
  • Washington D.C.- The penalty is $695 per adult, or $347.50 per child. Washington can also assess a penalty of 2.5% of household income, whichever is higher.
  • New Jersey- The penalty is based on household income as well. Individual taxpayers without coverage could be on the hook for at least $695, and up to a maximum of $3,012.
  • Vermont– Vermont is one of the states jumping on the bandwagon, so they have not determined the penalties yet.
  • Rhode Island- The penalty is a flat tax of $695 per adult and $347.50 per child, or 2.5% of income above state filing threshold, whichever is greater.

Getting Ready

When the time comes to file your tax paperwork, make sure you have all the appropriate forms handy that prove you had health insurance coverage. There should be a number of forms in the mail coming to taxpayers (Forms 1095-A, 1095-B and 1095-C) that detail whether you and your family members had coverage throughout the year.

Luckily only a few states are imposing the tax penalty for not having health insurance, but for those who do live in these states, be prepared. Know that there is a penalty so you are not blindsided, and if you opt out of insurance, then be prepared financially to pay the penalties.

Do You Qualify For The Small Business Health Care Tax Credit?

If you offer health insurance to your employees, it can be costly, but luckily there is a silver lining- the small business health care tax credit! One of the provisions of the Affordable Care Act, ACA, is the Small Employer Health Care Tax Credit which allows certain businesses to save money while offering health insurance to their employees. While it is a great financial saver for businesses, not all businesses can get the tax credit. There are some qualifications that a small business must meet in order to get the health care tax credit.

a list with 3 checkmarks and a pencil next to it insude a blue circle.
You must meet certain qualifications in order to receive a tax credit.

 

The Small Business Health Care Tax Credit

This credit allows small businesses to receive a tax credit for paying at least half of their employees health insurance premiums. In the beginning, the small business health care tax credit was not much, ranging only 35% of eligible health insurance premiums. But luckily, over the years it has changed. The tax credit now equates to up to 50% of employer-paid health insurance premiums. 

cartoon figure sitting on top of "50%" numbers
The tax credit now equates to up to 50% of employer-paid health insurance premiums. 

Small business owners cannot take the tax credit for insurance premiums paid on their own behalf. This includes partnerships, and sole proprietors. 

Qualifications

In order to qualify for the health care tax, a business must meet the following criteria:

  1. Have fewer than 25 full-time employees.
  2. Your average employee salary must be less than $54,000 as of the 2019 tax year. 
  3. You pay at least 50% of your full-time employees health insurance premiums, also known as a “qualifying arrangement.”

Flexible Credit

An advantage of having this kind of credit is that it is flexible. It can be carried toward the next year, or back to other tax years. So, if your business does not owe tax in a certain year, then claiming the tax credit will not do you any good. However, if you owe tax for a prior year, you can apply your credit to that. Or you can choose to keep the tax credit and save it for next year.

Claiming the Tax Credit

The health care tax credit can be calculated and claimed using the Form 8941. The form must be attached to the business’s tax return, and then after it is processed, the credit reduces any income tax the business owes.

Tax-exempt organizations should file Form 990-T. This tax credit is non-refundable, although it can be carried towards either the following or prior tax years. Also, tax-exempt organizations that have no taxable income can qualify for a refund of the credit, as long as it doesn’t exceed their Medicare tax liability and income tax withholding.

calculator and pen on top of a sheet with numbers on it.
If your business does not qualify for the tax credit, there is still hope on saving money with tax deductions.

Small Business Tax Deductions

If your business does not qualify for the tax credit, there is still hope on saving money. There is a deduction for employee premium payments. Some businesses may be able to get both the deductions and tax credit!

The small business health care tax can help a small business offer their employees health insurance without fearing the great costs. As long as you meet the qualifications to receive the tax credit, then you will be eligible. The fewer employees you have, for example, less than 10 full-time employees who are paid an average of $25.000 or less will get you a bigger credit. And if you do not qualify for the tax credit, at least you can get deductions!

If you are looking to provide health insurance to your employees and want to save money, EZ.Insure can help. We will find a plan that meets your needs financially. We will find the plan that gives you deductions and notify you on whether you qualify for both deductions and the tax credit. Our goal is to save you as much money, while providing you with the best plan. Call 888-350-1890, or email us at [email protected] to speak directly with one of our agents, or enter your zip code in the bar above to get free instant quotes. We will never sell your information to telemarketers as others do.

Speak with an agent today!
Get Quotes