The adoption of the Affordable Care Act brought about great changes in the life and health insurance penalty demands.

This penalty has been evolving ever since it was first introduced, and 2019 is not an exception.

This year, no federal penalty has been established.

Over previous years, the size of a penalty was evaluated every month with respect to those individuals who did not get health insurance timely.

The amount of this penalty grew year after year, and at times, penalties were a lot higher than incomes of the US nationals.

The penalty was also higher if adults failed to insure their underage children.

Be that as it may, state-level insurance penalties may still be activated.

The fees for 2019 insurance plans can be charged if the following applies to your case:

  • If you didn’t get insured during 2019, the fee is not applicable.You will not require any exemption in order to inactivate the penalty;
  • If you are 30 or older and wish to apply for “Catastrophic” insurance plan, you may need to also apply for an exemption to avoid the penalty.

Even though the federal-level penalties are not applicable anymore, certain states have their own requirements.

For example, in such states as New Jersey, Massachusetts, Vermont, District of Columbia and a few others, the authorities have set up their individual restrictions which should be taken into account if you do not have insurance.

The penalty is commonly calculated using two different methods:

  • It can be a percentage of your yearly income;
  • It can be a flat-fee penalty estimated for each person in particular with adult applicants being required to pay much greater fees than their kids.

It is still not known whether the new penalty laws will bring positive results, but hopefully, they will not cause any damage to the current insurance system.

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