Frequently Asked Questions about the American Rescue Plan and the ACA Marketplace
The American Rescue Plan offers increased savings and lower costs for many people who buy health insurance directly through the ACA Marketplace.
Consumers enrolling in ACA Marketplace coverage through getcoveredillinois.gov and HealthCare.gov are eligible to receive increased tax credits to reduce their insurance premiums. These increased tax credits will continue through the end of 2022.
President Biden signed the American Rescue Plan Act of 2021 (ARP) into law on March 11, 2021. The $1.9 trillion economic stimulus bill builds upon many of the measures of the CARES Act and gives more people access to affordable health insurance through the ACA Marketplace by increasing eligibility for financial assistance to help pay for coverage.
The ARP lowered premiums for many people who have an ACA Marketplace plan and expanded access to financial assistance for more people. Under the ARP, you may be eligible for a temporary increase in premium tax credits (PTC) for this year, with no one paying more than 8.5% of their household income towards the cost of a benchmark plan.
Consumers enrolling in the ACA Marketplace through getcoveredillinois.gov and Healthcare.gov can take advantage of the increased savings and lower costs from premium tax credits. If you already have an ACA Marketplace, you’re also eligible to receive the increased tax credits to reduce your premiums. The premium tax credits will continue through the end of 2022.
The tax credit calculation uses a percentage of a household’s income that needs to be contributed on a monthly health insurance premium. This amount is limited based on how their household income compares to federal poverty levels (FPL). Under the American Rescue Plan, individuals and families may be eligible for a temporary increase in premium tax credits (PTC), with no one paying more than 8.5% of their household income towards the cost of a benchmark plan.
The ARP provisions for Illinoisans who received unemployment compensation will end December 31, 2021.
You should apply during the Open Enrolment Period from November 1, 2021 through January 15, 2022. Coverage will begin the first of the month afteer you've applied and selected a plan.
Consumers who are already paying low or no premiums may find plans with more generous cost-sharing and lower out-of-pocket costs.
Increased affordability and health insurance coverage expansion will allow historically uninsured communities – especially those who have faced significant health disparities – to access coverage, thereby improving opportunities for health care during and beyond the COVID-19 pandemic.
For more information about the American Rescue Plan and the ACA Marketplace, visit