Non Compliance Penalty under Affordable Care Act

What is the penalty for noncompliance?

If you do not have health insurance, the penalty is the greater of:

For 2014, $95 per uninsured person or 1 percent of household income over the filing threshold;

For 2015, $325 per uninsured person or 2 percent of household income over the filing threshold, and

For 2016 and beyond, $695 per uninsured person or 2.5 percent of household income over the filing threshold.

There is a family cap on the flat dollar amount (but not the percentage of income test) of 300%, and the overall penalty is capped at the national average premium of a bronze level plan purchases through an exchange.

For individuals under 18 years old, the applicable per person penalty is one-half of the amounts listed above. Beginning in 2017, the penalties will be increased by the cost-of-living adjustment. Who will be exempt from the mandate?  Individuals who have a religious exemption, those not lawfully present in the United States, and incarcerated individuals are exempt from the minimum essential coverage requirement.

Are there other exceptions when the penalty may apply?

Yes. A penalty will not be assessed on individuals who cannot afford health coverage based on formulas contained in the law, anyone who has income below the federal income tax filing threshold, any members of Indian tribes, anyone who were uninsured for short coverage gaps of less than three months; or if they have received a hardship waiver from the Secretary, or are residing outside of the United States, or are bona fide residents of any possession of the United States.

For more information on health insurance coverage in North Carolina, please visit our website at www.nchealthplans.com or call our toll free number 888-765-5400 and speak with one of our professional agents. Our agency provides coverage for health insurance in North Carolina through Blue Cross Blue Shield of North Carolina (BCBSNC). You may qualify for a 15% healthy lifestyle discount if you are in excellent health. Call us for details.

This entry was posted on Tuesday, June 4th, 2013 at 11:00 am and is filed under BCBSNC Insurance. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.