Consumers in Virginia are finding coverage through the state’s insurance exchange
Information from the federal government shows that approximately 87,000 consumers living in Virginia have found health insurance coverage through the state’s exchange marketplace. The open enrollment period for the exchange began on November 1 of this year and will run through January 31, 2016. Once the enrollment period began, many consumers flocked to the exchange either to find new policies or acquire coverage for the first time. Many more were automatically enrolled in the exchange for having purchased coverage through the marketplace during the last open enrollment period.
Consumers without health insurance coverage may face tax penalties
Those without health insurance coverage by January 1 of 2016 may face penalties issued by the federal government. Per the Affordable Care Act, all U.S. citizens must have health insurance policies of some kind. Those without insurance face tax penalties, which are issued during the tax season by the Internal Revenue Service. The federal law called for the establishment of insurance exchanges, which were designed to make it easier for consumers to acquire the coverage that they need.
State exchange continues to overcome challenges of the past
Some 385,000 consumers in Virginia have enrolled for coverage through the state’s health insurance exchange. Notably, the exchange has been performing well this year as compared to previous years. Over the past several months, Virginia has been working to resolve the issues that the exchange has had in the past, with the most significant issue being consumers having trouble enrolling in the exchange. Virginia is one of 38 states whose insurance exchange is managed by the federal government, which has also been working to resolve issues concerning the health insurance marketplaces.
Cost of health insurance coverage is rising
While more people are enrolling in health insurance exchanges, coverage is becoming more expensive. Insurers have seen higher profits due to the larger number of people enrolling for coverage, but they have also seen higher claims payments for the same reason. In order to recover from financial losses, insurers have been raising premiums.