Health Payer Intelligence April 12, 2021
The ACA family glitch affects millions of individuals, most of whom are children or women, and the vast majority of whom report being in good health.
Approximately 5.1 million individuals are caught in the Affordable Care Act’s “family glitch,” according to a recent Kaiser Family Foundation (KFF) analysis.
Under the Affordable Care Act, an employee may qualify for subsidized marketplace coverage if their employer-sponsored health plan’s premium costs more than 9.83 percent of their household income.
However, only the cost of the individual employee’s coverage is taken into account. Dependents are excluded from the calculation.
Thus, if an employee’s premium falls below 9.83 percent of their household income but the cost of adding their dependents puts them above that threshold,...
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