Under 65
Health insurance is normally grouped into two different general categories based on the consumer that is looking to obtain the insurance plan. The first group is referred to as the “Under 65” group of consumers, which essentially is comprised of all individuals aged 64 and younger and are currently not eligible for coverage under Medicare or Medicaid.
There are various types of insurance plans for the “Under 65” group of consumers. Most consumers will opt for an Affordable Care Act (ACA) plan because of the advanced premium tax credits that are applied towards the monthly premium, thus drastically reducing the monthly premium amount the insured individual is responsible for.
Short-term medical plans are another option for individuals looking for a temporary coverage option, usually while waiting for the next ACA open enrollment period to begin or students looking for coverage for only a limited number of months, that coincides with a school semester.
Affordable Care Act Plans (ACA)
The Affordable Care Act of 2010 is the official name of the federal statute that was signed into law in 2010 and came into force in 2014. The statute is commonly known as Obamacare, though many people have confused that term with the actual insurance plans that are available on the Federal Marketplace. ACA plans are provided by independent insurance carriers and not the government itself. However, the term Obamacare for the general public has eventually become synonymous with the insurance plans available on the Marketplace.
| Plan Category | Insurance Company Pays | You Pay |
|---|---|---|
| Bronze | 60% | 40% |
| Silver | 70% | 30% |
| Gold | 80% | 20% |
| Platinum | 90% | 10% |
Short-Term Medical Plans
Short-term medical plans are essentially what their name indicates. They are medical plans for a limited-term usually ranging from 1 month to 12 months, though most plans can be renewed up to three times bringing the coverage term equivalent of up to 3 years. There is no enrollment period for short-term plans, so they can be purchased at any time of year and coverage can begin as soon as the next day.