ARPA drops cost of health insurance for many residents; deadline is Aug. 15
U.S. Rep. Sharice Davids, D-3rd Dist., has released a new report detailing the impact of the American Rescue Plan on health care access and affordability in the 3rd District of Kansas.
Rep. Davids voted to pass the American Rescue Plan, which lowered health care costs for millions of Americans by reducing premium contributions and expanding access to health insurance tax credits.
Key findings from the report, prepared by the staff of the Committee on Oversight and Reform, include:
• 40,000 uninsured people in the 3rd District of Kansas are eligible for tax credits under the American Rescue Plan.
• 33,000 of those uninsured people can enroll in a zero-cost plan through the federal marketplace. If they all enrolled, the uninsured rate in the 3rd District would drop to just 5%.
• The average household in the 3rd District of Kansas could save $3,800 on health insurance premiums annually thanks to the American Rescue Plan’s expanded tax credits.
• 40,000 people in the 3rd District who currently purchase their own insurance are eligible for lower premiums, but only 17% have taken full advantage of these savings.
In a press conference earlier Wednesday announcing the report, Rep. Davids was joined by Molly Gotobed of the Kansas Assistance Network and McClain Bryant Macklin from Health Forward.
Speakers discussed the significant financial assistance provided by the American Rescue Plan, which lowered premiums by an average of 40% for individuals who purchase their own insurance, putting more money back in people’s pockets each month.
“As we continue to grapple with this public health crisis, access to affordable health insurance is more important than ever,” Rep. Davids said. “The American Rescue Plan is delivering for hardworking Kansans by lowering health insurance premiums and expanding zero-cost coverage to tens of thousands of people in the 3rd District. I encourage folks to visit HealthCare.gov before the special enrollment period closes on Aug. 15 to take advantage of this crucial financial assistance.”
“The American Rescue Plan has helped countless Kansans gain access to more affordable health coverage, especially those who received unemployment or who were previously above the income threshold to qualify for premium assistance,” said Molly Gotobed, program director, Kansas Assistance Network. “The extra financial assistance made it possible for our clients to pay other bills and gave them peace of mind during a very stressful time.”
“Health Forward knows that our communities are strongest when people have access to quality, affordable health care,” said McClain Bryant Macklin, director of policy and strategic initiatives at Health Forward. “We’re encouraged that the American Rescue Plan has successfully expanded care to many people in the Kansas City region. Now it’s time to spread the word and enroll as many eligible people as we can before the Aug. 15 deadline.”
Rep. Davids encouraged households in the 3rd District to sign up for insurance or update their information on HealthCare.gov by Aug. 15, 2021, to take full advantage of the American Rescue Plan’s savings. Residents of the 3rd District can call 211 to find assistance navigating and enrolling in a health insurance plan or reach out to the Kansas Assistance Network.
For more information on Rep. Davids’ new report on the American Rescue Plan’s impact on health care affordability in the 3rd District, visit https://davids.house.gov/sites/davids.house.gov/files/ARP%20Health%20Care%20Affordability%20One-pager.pdf. To see the full report, visit https://davids.house.gov/sites/davids.house.gov/files/ARP%20Health%20Care%20Affordability%20Report%20Davids%20%28KS-3%29_compressed.pdf.
More information on the American Rescue Plan’s health care savings:
The American Rescue Plan provides critical relief to families by reducing the cost of health insurance in these ways:
• For most people with a household income between 100% to 400% of the federal poverty level (FPL), the American Rescue Plan reduces the expected premium contribution for plans purchased through the federal marketplace.
o For households between 100% and 150% of the FPL, the American Rescue Plan lowered the household contribution to zero.
o It also removed the household income eligibility limit of 400% of the FPL for certain households, allowing them to receive premium tax credits for the first time.
• Under the American Rescue Plan, people who already purchase their own insurance will have the opportunity to choose between multiple plans with yearly premiums of no more than 8.5% of their household income.
o Four out of five enrollees will be able to purchase a plan for $10 or less per month.
o Over half of enrollees will be able to purchase a silver plan for $10 or less per month.
• As a result of the American Rescue Plan, approximately 14.9 million uninsured Americans will be able to access financial assistance to purchase health care coverage. Of those:
o An estimated 3.6 million people will be newly eligible for financial assistance.
o Approximately 1.8 million uninsured people with incomes below 150% of the FPL will be eligible for zero-cost coverage.
o The remaining 9.5 million uninsured people could qualify for more generous financial assistance under the American Rescue Plan.
• To take full advantage of the American Rescue Plan’s savings, households should visit HealthCare.gov or call 800-318-2596 by Aug. 15, 2021, to enroll in a new insurance plan or update their information.
o Effective Sept. 1, 2021, households already receiving health insurance tax credits will start automatically receiving enhanced tax credits under the American Rescue Plan.
o Uninsured households and households that previously earned too much to receive tax credits will not automatically receive the enhanced tax credits if they do not act by Aug. 15.