How NY State of Health Enrollees Benefit from the American Rescue Plan

Mar 25, 2021

 

The American Rescue Plan, which was signed into law on March 11, 2021, will lower health care costs by providing new and expanded financial assistance to New Yorkers enrolling in health insurance through NY State of Health.  This enhanced assistance is available to current enrollees and new enrollees, including to higher-income individuals for the first time.  Individuals with low and moderate incomes can access higher tax credits now.  Starting in June, NY State of Health will apply these higher tax credits to current enrollees without requiring any action by the enrollee.  Also in June, higher-income New Yorkers can access the new tax credits.   

The information on this page is organized into six sections.  Click the section from the following list to learn how the American Rescue Plan can help you:

 

 

You can also learn more by calling the NY State of Health Customer Service Center at 1-855-355-5777, or by speaking with an Enrollment Assistor.  To enroll now or update your information, click here.

 

Current NY State of Health Enrollees Who Receive Financial Assistance 

Existing enrollees can get larger tax credits. Low and moderate-income individuals (income up to $51,040 for an individual and $104,800 for a family of four) who were previously eligible for tax credits are now eligible for higher tax credits.  These individuals can update their tax credit amount online or through Customer Service.  Starting in June, NY State of Health will automatically apply the higher tax credit without the enrollee needing to take any action.  Enrollees will have the opportunity to make changes by logging into their NY State of Health Account, contacting an Enrollment Assistor, or calling NY State of Health at 1-855-355-5777.    

  • The amount of these tax credits depends on your income and where you live.  (For example, an individual with income of $35,000 per year in New York City was eligible for a tax credit of $359 per month, or $4,308 per year, but now is eligible for $478 per month, or $5,736 per year.) 
  • The law is designed so that no one will pay more than 8.5% of their income toward health insurance.

NY State of Health is working to make these increased tax credits available to you as soon as possible.  We will send you a letter with your new, larger tax credit amount in early April. 

Follow the instructions in the letter to tell us how much you want to apply to your monthly premium cost.  After you do this, your changes will start on the first day of the following month. 

If you have questions, you can get help: 

 

Individuals Who Previously Started an Application But Did Not Enroll  

The rules for financial assistance have changed to make more assistance available individuals at low, moderate and higher income levels.  This new federal financial help is available to people who purchase health coverage through NY State of Health to lower the cost of health insurance premiums.

If you were told you are already eligible for financial help, the new American Rescue Plan is providing more help to lower monthly premium costs and make health coverage more affordable than ever.

  • For example, an individual in Albany County earning $35,000 per year was previously eligible for a tax credit of $300 per month, or $3,600 per year.  Now, that person is eligible for a tax credit of $420 per month, or $5,040 per year.
  • This new financial assistance is available now.  Log back into your NY State of Health account and check if you are eligible for the new financial assistance.

If you were previously told that you were not eligible for financial help, you may be eligible for it starting in June.   

  • Before the American Rescue Plan, 2021 tax credits were not available to individuals earning more than $51,040 and a family of four earning more than $104,800.  Through the American Rescue Plan, higher income individuals and families are eligible for the tax credits.  The law is designed so that no one will pay more than 8.5% of their income toward health insurance. 
  • The amount of these tax credits depends on your income and where you live.  (For example, an individual in Kings County earning $55,000 per year who was not previously eligible for tax credits, will now receive over $230 per month, or $2,800 per year, to help pay for health insurance.)

There are three ways to shop for and select a plan:

 

New Yorkers Not Currently Enrolled through NY State of Health 

Higher-income individuals are eligible for new, expanded financial assistance through the American Rescue Plan for the first time.  Now is the time to shop for a NY State of Health plan and enroll in coverage.

More individuals and families now qualify for financial help.  Before the American Rescue Plan, tax credits were not available to individuals earning more than $51,040 and a family of four earning more than $104,800.  Through the American Rescue Plan, higher-income individuals and families are now eligible for the tax credits.  The law is designed so that no one will pay more than 8.5% of their income toward health insurance.

The enhanced federal tax credits are only available if you purchase coverage through NY State of Health.  This new financial assistance will be available starting in June 2021.  Apply as soon as possible to get covered.

There are three ways to shop for and select a plan:

 

Current NY State of Health Enrollees Not Receiving Financial Assistance 

The rules for financial assistance have changed to make help available to higher income levels and more federal financial assistance is now available for most enrollees.  If you were told you were not eligible for premium tax credits based on your income, you may be eligible now.   

More individuals and families now qualify for financial help.  Before the American Rescue Plan, 2021 tax credits were not available to individuals earning more than $51,040 and a family of four earning more than $104,800.  Through the American Rescue Plan, higher income individuals and families are eligible for the tax credits.  The law is designed so that no one will pay more than 8.5% of their income toward health insurance. 

  • The amount of these tax credits depends on your income and where you live.  (For example, an individual in Kings County earning $55,000 per year who was not previously eligible for tax credits, will now receive over $230 per month, or $2,800 per year, to help pay for health insurance.)

This new financial assistance will be available starting in June.  We will send you a letter stating your new tax credit amount.  Instructions on how to apply your tax credit will be posted here soon.

If you have questions, you can get help: 

 

2020 NY State of Health Enrollees Who Received Tax Credits

The American Rescue Plan also helps NY State of Health enrollees who received tax credits in 2020 to lower the cost they paid each month. 

  • Under the American Rescue Plan, for tax year 2020, individuals will not owe a repayment if their actual income was higher than what they estimated it would be when they enrolled in coverage.
  • The IRS has stated it will provide more information for 2020 tax filers on what to do when they file their 2020 taxes, and what to do if they have already filed their taxes.
  • Important: NY State of Health does not offer tax advice.  Please visit www.irs.gov for more information or talk to your tax advisor.

 

New Yorkers Who Are Eligible for Unemployment Insurance 

  • If you have been eligible for unemployment insurance for at least one week in 2021, the American Rescue Plan states you will be able to sign up for a nearly free health plan through NY State of Health for coverage that lasts for all of 2021.  To be eligible for this plan, you cannot be eligible for other health insurance such as Medicaid, Medicare, or employer-sponsored coverage. 
  • Instructions on how to apply will be added to this page when they are final. 

 

 

 

News Type: 
Updates