Tennesseans claimed $124 million in health care subsidies, yet most eligible for tax credits didn’t sign up
By Kate Harrison, Chattanooga Times Free Press, Tenn. | |
McClatchy-Tribune Information Services |
The majority of Tennesseans who enrolled in one of the Obamacare plans qualified for federal payment assistance, and together those shoppers took in
But overall, just 16 percent of Tennesseans eligible for such assistance had taken advantage of it by the end of February, a study released last week by the
In both
All of those numbers will grow, perhaps substantially, because of sign-ups that soared as the
The Kaiser analysis provides state-by-state breakdowns for the dollar estimate of tax credits shoppers qualified for through Affordable Care Act marketplace plans as of
In
The Affordable Care Act allows the federal government to provide subsidies to low- and middle-income people who buy insurance on the exchanges based on how much they make and their family size.
Such subsidies are generally available to people with incomes that range from one to four times the poverty level --
Those credits are given in advance, based on estimated annual income -- meaning some people may need to pay part of the subsidy back if their tax return shows that their income is higher than what was on their application.
Nationally, 3.5 million people have qualified for a total of
The overall totals of subsidies are expected to increase after March's enrollment figures are tallied.
The
The five states with the most robust "take-up rates" through the end of February --
"If all states were enrolling people at the rate of the five most successful, an additional 3.1 million people would have qualified, with an additional
"Most of those higher-activity states were actively advertising or trying to reach out to those demographics they knew would benefit the most," Yoder said.
"That didn't happen in
Another key factor, Yoder says, is consumer awareness. Less than 5 percent of American Exchange callers from across the country were aware that subsidies were even available when they called to enroll in a plan, he said.
"It's extremely rare for us to talk with someone who is aware they're going to get some sort of assistance," Yoder said.
At the beginning of enrollment, people were calling because they were eager to get coverage. Toward the end, people were calling to avoid the penalty. Most were "surprised and excited" when they heard subsidies were actually available, Yoder said.
"The fact that a mere 16 percent of eligible Tennesseans are signing up for Obamacare through the exchanges shows just how unpopular this law is in our state," he said. "They can't even pay people to sign up for a plan."
The money for the subsidies is drawn from a variety of sources, including a
Federal officials also say that the costs are offset by projected savings in
While enrollment in the federal marketplace officially closed Monday, the deadline has been extended to
While the Kaiser report is based on enrollment as reported by the federal government as of
Contact staff writer
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