How and when to report changes  of income, address, etc. to Covered CA and/or Medi Cal

You report must notify  Covered CA and/or Medi-Cal any changes, higher or lower in:

• your Estimated  * MAGI Modified Adjusted Gross income   for the-upcoming  taxable year,

  • note the penalties if you under pay your estimated tax under form 2210 – instructions.
• marriage or divorce
• the birth or adoption of a child — number of people in your household,
• starting a job with health insurance
• gaining or losing your eligibility for other health care coverage
• changing your residence  – Address  
• losing a job & income  FAQ’s
  • Suggestions on keeping health coverage when you lose a job FAQ
  • Affidavit – Attestation of Income for Covered CA
  • Proof of Unemployment?

• Reporting these changes will help you avoid large differences between the advance credit payments and the amount of the premium tax credit allowed on their tax return, which may affect their refund or balance due.
• Covered CA has asked agents not to give tax advice.  Here’s their suggestions.

Perjury Declaration - Signature - Agree to notify changes

and that the application is correct in the first place

Insurance Application Disclosures – Table of Contents only

• Disclosures – Application
  • Mistake? Deadline to Report?
• Rescission ACA prohibitions
  • Fioretti v Mass General Life
• Fudging the Income?
• No longer do coverage for competent adults through 3rd parties

Mandate to File Tax Return 

& Form 8962

Etc. Copied from Covered CA ONLINE application 11.26.2014 – Paper Application  Rights & Responsibilities Page 16

I agree to file a  tax return before (April 15, ) to claim the Premium Tax Credit. I understand that I am required to submit changes that affect my eligibility, including income, dependency changes, address, and incarceration. These changes could affect the plans I can be enrolled.

I cannot change plans unless I have a life triggering event. Life Events include lost or will soon lose my health insurance, permanently moved to/within California, had a baby or adopted a child, got married or entered into domestic partnership, returned from active duty military service, gained citizenship/lawful presence, Federally recognized American Indian/ Alaska Native, released from jail, and other qualifying life events.

Covered CA Consent for Verification – Income, etc. 

Review the Consent for Verification Notice that Covered California sent to consumers last week and the Consent for Verification Quick Guide for more information.

Also, watch the How to Update Consent VIDEO for instructions on updating consumer consent.

Consumers  are at risk of losing their Advanced Premium Tax Credit (APTC) and/or cost-sharing reductions for health insurance coverage if their consent form is out of date.

A consumer’s financial assistance may end because of one or more of the following reasons:

• The consumer’s consent to allow Covered California to use computer sources to check their income and family size, including information from tax returns, has expired.
• The consumer may not have filed afederal income tax return for their household to reconcile the Advanced Premium Tax Credit (APTC) used to lower plan premium costs
• The consumer’s household income may be too high.

#Lose a job?  How to keep coverage?

• Question  I have lost my job , and am unemployed for now.  What can I do regarding my health insurance?

  .

• Our Answer  Are you  independent contractor 1099 or  employee W 2?
  • An employee could apply for unemployment benefits.
  • The benefits are taxable, so that would raise your expected annual MAGI income.
  • If you want to go for broke you probably could qualify for Medi Cal under the monthly income rule. We don’t get paid to help you with Medi Cal, so you can either go into your Covered CA Account and change your annual income… If it’s less than 138%  Covered CA would get you into Medi Cal. Or, you can apply directly with Medi Cal.
    • One downside is, that you may have a difficult time getting out of Medi – Cal. 
  • Here’s our quote engine to calculate FPL and subsidies.
  • If you think things will get real tough, you could drop your estimated income lower… When this tragedy is over and you’re earning $$$ again, you have to report to Medi Cal within 10 days or Covered CA within 30.
    • I recently had someone tell me through their employer (hearsay) that Medi Cal may file criminal charges as they didn’t report the wife got a job. See more on that Q & A
  • Since you are getting subsidies, there is technically a 90 day grace period.
    • I am NOT in any way shape or form suggesting that you attempt to use it!!! If you get cancelled for non-pay, there is virtually NO way that you can get coverage till next January. I will NOT be responsible for anyone attempting to do that. IMHO Moses parting the Red Sea was easier than getting someone reinstated who has cancelled non pay.
    • Sure, I’ve had people claim they just called the Insurance Company and it was no problem, but I don’t listen to hearsay.
  • If you are not currently getting subsidies or don’t have insurance, check out all the new rules from Covered CA on special enrollment
  • If you prefer to listen rather than read, scroll to the top of the page and watch the video.
    • youtube.com
  • Here’s another top rated well known experienced agent and his explanation
    • youtu.be
  • If you had coverage on the job, you could check out california-cal-cobra  If you are Medicare Eligible check our main webpage on Employer vs Medicare and the sub – child pages underneath.