The Washington Health Benefit Exchange today announced that Qualified Health Plan customers accessed $334 million in health insurance tax credits through Washington Healthplanfinder to lower their premiums in 2014.
The average monthly tax credit per family was $390 a month, or more than $3,100 annually to help lower the costs of health insurance.
“Thousands of Washingtonians were able to access affordable health insurance last year through Washington Healthplanfinder,” said Richard Onizuka, CEO for the Washington Health Benefit Exchange. “With annual savings of more than $3,100 per family, the premium tax credit was a game-changer for those who were previously unable to find low-cost options.”
Customers who enrolled in 2014 coverage provided their estimated annual income to Washington Healthplanfinder to determine their eligibility for financial help. The federal tax credit can be taken on a monthly basis to lower health plan costs, or at the end of the year on an annual tax return.
Starting early next week, customers who enrolled in a Qualified Health Plan in 2014 will receive an important new Internal Revenue Service tax form from the Exchange called the 1095-A. The form provides information regarding the amount of tax credit customers utilized on a monthly basis in 2014 and will assist them in completing their tax return to ensure the subsidy amount they received was appropriate.
“Since the majority of customers chose to take the health insurance premium tax credit on a monthly basis to lower their health insurance costs, they may see adjustments on their annual tax return,” said Onizuka. “Customers may see their tax credit either increase or decrease based on their total 2014 income.”
Several resources are available to assist customers in the tax filing process. Help is available through Free File, an online tax preparation software, or through free, in-person tax preparation help across the State. More information about the form is available on the Washington Health Benefit Exchange and IRS websites. Customers who have questions about the amounts listed on their 1095-A forms may also contact the toll-free Customer Support Center at 1-855-923-4633.
As of Jan. 25, more than 127,000 residents have enrolled in Qualified Health Plans for 2015 coverage, with approximately 40,000 of those customers signing up for the first time through Washington Healthplanfinder. Those enrolled in Washington Apple Health (Medicaid) will not receive a 1095-A form from the Exchange.
“Washington residents who have not yet taken action to sign up for health coverage should remember that more than 85 percent of customers were able to receive financial help to pay for their coverage last year,” said Onizuka. “The penalty is also increasing this year to $325 per individual or up to 2 percent of your income, so it’s worth taking another look at your health plan options on wahealthplanfinder.org.”
Open enrollment for Qualified Health Plans ends on Feb. 15. The deadline for new and renewing customers to select and pay for a Qualified Health Plan through Washington Healthplanfinder is 9:59 p.m. on Feb. 15 for coverage that begins on March 1, 2015. Due to federal services maintenance, Washington Healthplanfinder will be unavailable starting 10 p.m. on Sunday, Feb. 15.
Reminders: Enrollment in Washington Healthplanfinder Business and Washington Apple Health (Medicaid) is year-round. Apple Health customers will receive a notice 60 days before the month they enrolled in or renewed their coverage last year.
Residents who would like to enroll in health coverage may visit www.wahealthplanfinder.org.
