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American Rescue Plan Health Insurance Subsidies in California

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Higher Health Insurance Premium Subsidies for Individuals Purchasing Health Insurance

California residents who do not receive health care coverage through their employers or from government programs can purchase individual coverage through a centralized health insurance marketplace known in California as the California Health Benefit Exchange (Covered California).

Since 2014, under the Patient Protection and Affordable Care Act (ACA), the federal government has provided subsidies to individuals who purchase coverage through the health benefit exchanges provided they meet income-eligibility rules. In 2020, around $7 billion in federal health insurance subsidies were provided through Covered California.

To further improve the affordability of individual health insurance coverage, in 2020, the state began funding additional state subsidies on top of those from the federal government.

The administration projects $355 million General Fund in 2020‑21 and $406 million General Fund in 2021‑22 will be used for subsidies (this funding, respectively, funds the state subsidies for the 2021 and 2022 calendar years).

Both the federal and California governments set subsidies at levels that ensure state residents only need spend a given percentage of their income (8.5% maximum) on health insurance premiums purchased through Covered California.

“The American Rescue Plan will help California roar back from this pandemic. With this infusion of federal stimulus, California can make faster progress on responding to COVID, supporting small businesses, putting money in people’s pockets, and bolstering K-12 and higher education. All of these pandemic responses add up to a brighter future for California."
Gov. Gavin Newsom

$3 Billion in subsidies for California residents!

The ARP Act temporarily increases federal support for health insurance coverage purchased through the ACA health benefit exchanges. Across calendar years 2021 and 2022, Covered California projects the ARP Act will provide an additional $3 billion in federal support for health insurance subsidies.

Get your maximum health insurance subsidy.

  • 90% of applicants are entitled to additional subsidies

  • Less than 5 minutes to see how much you will save.

  • Our average client is getting $4,127 in new healthcare subsidies over the next 24 months.  

  • Licensed benefits brokers standing by to assist by phone if you have any questions.

Call Now (877) THE HALO

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