Health Insurance: The Importance of Reporting a Life Change

There are many advantages to carrying health insurance through the Marketplace. If you purchase this affordable insurance and enroll in the Marketplace by the deadline of March 31, you will have coverage and avoid being fined for being uninsured next tax season.

While it is important to enroll before the cutoff date, it is possible to get health coverage outside of open enrollment when you have an eligible life change to report. In fact, you are required as part of the Marketplace to report life changes immediately to determine if you are eligible for additional savings or coverage.

What Life Changes Must Be Reported?

There are many different life events that must be reported to your insurer. You should report the following changes:

  • Marriage
  • Divorce
  • Birth of a child
  • Adopting a child
  • Get other coverage
  • Change residence
  • Change disability status
  • Pregnancy
  • Experience a change in income
  • Change in tax filing status or citizenship

Why It Is Important to Report Changes?

You may qualify for tax credits or special enrollment period eligibility because of the life changes that are reported. The special enrollment can be important if you need to add a dependent or spouse to your policy, or if you need to remove an individual who is no longer in the home. The tax credit may help you reduce your tax burden so that you can receive a larger refund. Changes in income and household size may even help you reduce your health insurance coverage costs.

Make sure to report life changes as soon as possible to your San Diego insurance agent to have your information updated. You will have up to 60 days from the date of a qualifying event to change plans either online or by phone. Once you report your change, you will receive a notice that explains if you can change plans or if you are eligible for lower cost coverage.

To see if you are eligible for lower insurance with American Tri-Star Insurance San Diego, contact one of our professional insurance experts at 619-272-2100. We are a leading provider of affordable insurance in San Diego and can help you determine the best options for health insurance, as well as other forms of insurance including home, auto and commercial.