On July 31st, 2020 Governor Phil Murphy signed into law legislation restoring a key funding source of the Affordable Care Act that will be used to make health coverage more affordable.
For the first time this year, New Jerseyans will have access to a state subsidy – called New Jersey Health Plan Savings (NJHPS) – that will lower the cost of health insurance. These new savings are only possible because New Jersey is now operating the Health Insurance Marketplace through GetCovered.NJ.Gov.
The NJ Health Plan Savings (NJHPS) will decrease the costs of premiums for current Marketplace enrollees and for new enrollees. NJHPS will start lowering premiums for coverage that starts January 1, 2021 or after.
Starting May 1, 2021, the State of New Jersey is providing new and expanded NJ Health Plan Savings premium reductions for individuals who enroll through Get Covered New Jersey.
Similar to the Advance Premium Tax Credit (APTC), New Jersey residents will qualify for these new savings based on income. Households with annual incomes up to 600% of the FPL will receive the new and expanded NJHPS. An individual with an income of up to $76,560 and a family of four who makes up to $157,200 can receive state subsidies to lower the costs of health coverage. Anyone who qualifies will be able to see a lower premium when using our plan comparison tool or after filling out an application.
How do I know if I qualify to receive these subsidies?
Apply for coverage through GetCovered.NJ.Gov and you will find out if you qualify. You can use the GetCoveredNJ Shop and Compare Tool to get an estimate of how much financial help you may get to lower premiums. Generally, if your yearly income is up to $76,560 for an individual or under $157,200 for a family of four, you may qualify for this new financial help from New Jersey.
Will this affect my current Federal Subsidies (APTC)?
The New Jersey Health Plan Savings will be financial help in addition to the federal APTC. It will not affect how much APTC you receive. NJHPS is designed to ensure that residents of the State of New Jersey are eligible for the most affordable healthcare coverage.
How can I figure out how much of the subsidy I would be qualified for?
Consumers can get estimates of financial help and health plan costs by using the GetCoveredNJ Shop and Compare Tool.
What does this mean for NJ?
New Jersey Health Plan Savings will make health coverage more affordable and improve the health plan options that consumers have available. This will make sure that more people throughout the state have opportunities to purchase affordable coverage to protect themselves and their families. Overall, this new policy ensures that coverage is affordable and accessible to both new enrollees as well as existing consumers of the Marketplace.