Health Insurance Penalty
The deadline to enroll in health insurance through open enrollment is on February 15th, meaning you still have some time to sign up for a health insurance policy. If you do not sign up for health insurance during the open enrollment period, you will be left without coverage and will face much steeper fines than in past years.
The fine for not having health insurance in 2015 is either 2 percent of your total household income or $325 per adult and $162.50 per child in your household whichever amount is more expensive. If you have to pay the 2 percent of your income, only the amount of income that is above the tax-filing threshold will be used to determine the amount. If you have to pay per person in your household, the maximum penalty is $975.
You will pay the fee through your 2015 federal income tax return that you will file for the year that you do not have health coverage. Since most people file their federal income taxes the following year, you will most likely pay for the penalty in early 2016.
The only way that you can sign up for health insurance outside of the open enrollment period and avoid the penalty is if you have a qualifying life event. Some of the most common life events include:
- Getting married or divorced.
- Having a new baby, adopting a child, or putting a child up for adoption.
- Moving your permanent residence to a different state that does not offer the same health insurance policy that you currently have.
Contact the insurance professionals at Martplan Insurance Agency in La Habra, California for all of your health insurance questions or concerns. We will work with you to ensure that you have the right amount of coverage, all at the right price.