The American Rescue Plan Act of 2021, also called the COVID-19 Stimulus Package, allows for many Arkansans who are not on Medicare or who don’t have employer-sponsored health insurance to qualify for health insurance through the Health Insurance Marketplace. Those who do not have a marketplace policy will have until August 15th to take advantage of this special enrollment period.
The American Rescue Plan’s purpose is to speed up the United States’ recovery from the economic and health effects of the COVID-19 pandemic. The $1.9 trillion economic stimulus bill, which was passed by the federal government in March, lowers or eliminates health insurance premiums for many lower- and middle-income families enrolled in the Health Insurance Marketplace.
The percentage of income a person pays toward their Affordable Care Act plan premium will be reduced for everyone with income below 400% of the federal poverty limit. People with income equal to or higher than 400% of the federal poverty limit will be eligible for advance premium tax credits (APTC). The maximum anyone will pay for a benchmark plan will be 8.5% of their income. The federal marketplace will automatically increase advanced premium assistance September 1st for Arkansas Blue Cross marketplace policyholders who have not updated their policy since April 1st.