By the GWAAR Legal Services Team
Are you enrolled in a Qualified Health Plan (QHP) through the Marketplace? If so, have you experienced any life changes like getting a raise or gaining another member in your household? These are examples of the types of life changes that you have to report to the Marketplace when you are enrolled in a QHP.
When you experience a life change, you must report that change to the Marketplace no later than 30 days after the change occurs. You can report these changes online or by calling the Marketplace.
Reporting changes is important because those changes may affect your coverage or your financial assistance, meaning you may qualify for more (or less) financial assistance through the Marketplace. If you fail to report these changes, you could owe the IRS more money at the end of the year for using more financial assistance than you were entitled to, or you could miss out on increased assistance and pay more in premiums than you should.
Sometimes you experience changes that may make it necessary for you to cancel your plan. Changes like qualifying for Medicaid or gaining employer coverage are changes that make you no longer qualify for a Marketplace plan. If you now have Medicaid or health insurance through your employer, you should cancel your Marketplace plan. If you know that you are starting a new job soon where you will have health coverage through your employer, be sure to cancel your Marketplace plan at least 14 days in advance.
Whether you experience life changes that require you to update your information with your Marketplace plan or cancel your Marketplace plan, it is important to act as soon as possible to ensure that you have the correct coverage and financial assistance. You can call the Marketplace or go online within 30 days of the life change to update your information with the Marketplace. If you need to cancel your plan because you will get other coverage, just remember that your cancellation takes 14 days to go into effect.