This is great news! Families who didn’t previously qualify for ACA tax credits due to their spouse having family coverage available through their employer - even if it wasn’t affordable - can now get help with their premiums.
On Tuesday, October 11, the Treasury Department announced new rules for determining the premium tax credits. Until now, if a family was eligible to be on their spouse’s employer insurance, they were NOT eligible for ACA tax credits. While employers help pay for their employee’s health insurance, the help doesn’t usually extend to the rest of the family. This meant many people stayed on an expensive employer health plan or went without coverage. This new rule will result in more families qualifying for the tax breaks offered through the ACA.
"Now, the Treasury Department is finalizing that fix so that the law works the way Congress intended and the cost of coverage comes down for families all over the country. Starting next month, Americans can sign up to take advantage of this change," President Joe Biden said in a White House statement.
"About 1 million Americans will either gain coverage or see their insurance become more affordable as a result of the new rule," he added.
The open enrollment period for health insurance plans under the Affordable Care Act starts on Nov. 1, and the fix will bring down healthcare costs and expand access to affordable coverage to more Americans. Even though the number of uninsured Americans has dipped to a historic low of 8% this year, there is still an estimated 26 million people in the U.S. who don’t have health insurance.