New law lowers health plan costs for older adults

When the American Rescue Plan was passed earlier this year, many heard about stimulus checks, child tax credits and support for businesses. But the COVID-19 relief law also included provisions that drastically cut health plan costs for many older adults.

Most individuals who buy their own health coverage are now able to find plans on the ACA Marketplace with payments no more than 8.5% of their household income. This new provision can translate into substantial cost savings for older adults who do not yet qualify for Medicare.

Previously, when someone’s household income exceeded 400% of poverty level, which is around $70,000 for a couple, they did not qualify for any assistance lowering their monthly premium payments. But under the new law, those with higher incomes can still qualify for lowered monthly costs.

That means a Sarasota couple in their early 60s who was previously paying roughly $1900 a month for their health plan may now find a plan with the same level of benefits for less than $600 a month, based on their income. That could mean $1300 or more in savings each month.

2021 health plans still available

Because of the COVID-19 pandemic, enrollment for 2021 health plans was reopened to help ensure everyone had an opportunity to get coverage during the public health crisis. However, the window to enroll in a health plan to protect you and your family from unexpected medical bills for the rest of 2021 is closing on August 15.

If you’re uninsured or interested upgrading your health coverage with the savings you’re now eligible for, be sure to talk to a licensed health insurance agent before August 15.

In-person and virtual enrollment assistance

Our Florida Blue Center in Sarasota offers personalized support to help you understand your health coverage options. Our staff can provide inperson or virtual one-on-one consultations to explain what additional financial assistance you may be eligible for to lower your health coverage costs.

You can stop by our Florida Blue Center on Cattlemen Road across from The Mall at University Town Center (UTC) or make a virtual appointment online at FloridaBlueCenters.com.

Don’t forget that our Florida Blue Centers also offer nurses to help you understand a new diagnosis or upcoming procedure, free Facebook Live online fitness classes including Zumba, Tai Chi and yoga, and help navigating the complicated health care system.