aN asked in Business & FinanceInsurance · 6 years ago

Got offered coverage through employer, but already have insurance through marketplace...?

Last year my employer didn't have health insurance that met the minimum essential coverage, but this year they have a high deductible plan that meets the minimum essential coverage. Since my employer didn't have a plan last year that met the minimum coverage, I got a subsidy to pay for my premium on the marketplace website. I paid my premium last month for this month. I'm thinking of signing up for the insurance through my employer because it's cheaper. Also, I won't be getting a subsidy anymore because I'm offered adequate insurance now. I haven't notified the marketplace yet because I've been locked out and need to call them. If I notify them that I am offered insurance through my employer, will they cancel my current insurance right away?

If I'm paid for until the end of October with my insurance from the marketplace, can I still use it even after I enroll in the insurance offered through my employer? (I have until Oct 13 to enroll) I want to know because I would like to fill prescriptions with the insurance from the marketplace. Also I have unused rewards from them and I would like to use them if I can. Thank you in advance!

Update:

But wouldn't I be fined for not having insurance that meets minimum coverage in 2014? - $95 So when it was open enrollment (on Healthcare.gov) Oct2013-Mar 2014, how would I know that my employer would have insurance that meets the minimum coverage when open enrollment for this year is right now, in October? When I was filling out the application in March 2014 they asked if my employer's insurance-Oct2013 met the minimum essential and on the insurance pamphlet from my employer it said does not.

6 Answers

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  • 6 years ago
    Favorite Answer

    Your subsidy is good through the month that your employer didn't have coverage. Once your employer offered coverage, your subsidy would no longer be valid. So, while you wouldn't have known in March, if they offered coverage in August, then your subsidy would be good through July. You could keep the plan, but you should notify (or should HAVE notified) the Marketplace that you've had a change in status. When you file your taxes, you'll let them know when the employer started offering coverage, and they'll let you know how much you have to pay back.

    You could have also dropped the coverage and gone on the employer plan. You weren't locked into the plan. These would have all been really good questions for your insurance broker as these changes came about.

  • Zarnev
    Lv 7
    6 years ago

    Your subsidy and your policy will remain in effect until your employer covered starts. They will not take you off until then, so if you have until 10/13 to enroll that tells me your employer coverage will probably be effective 11/1.

    If on the off chance that your employer coverage starts before 11/1 you can still stay on your current plan if you want and they won't take back the subsidy. However, your employer plan would become the primary so the other plan may not pay anything.

  • 6 years ago

    Wait - the first year with a subsidy, is 2014. If the employer had a plan in 2014 that met the requirements, that subsidy will be RETROACTIVELY taken away from you. You do realize, don't you, that the subsidy up front, is re-calculated when you file your taxes, right? And then retroactively taken away?

    So yes. You most definately need to add in to your employer's plan.

  • 6 years ago

    Are you SURE that the coverage you sign up for by Oct 13th, is for 2014.

    Most companies that do open enrollment in the fall, the coverage is effective Jan 1, 2015.

    Something to definitely check on before you stop paying the bill.

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  • Biff
    Lv 7
    6 years ago

    it's probably a lot cheaper from your employer since they are most likely paying for most of it - you will have to cancel your insurance AFTER your coverage w/ employer is officially started

  • Bill
    Lv 7
    6 years ago

    Your new coverage will probably not be effective until January 1 but you need to verify start dates so your cancellation will co ordinate with out lapse of coverage.

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