It’s no coincidence that a record 375,000 Pennsylvania citizens took out health insurance through a penny during the 2022 general enrollment period. 111,000 of them are new to Penny. Penny is a state-based health insurance market in Pennsylvania, created unanimously by Governor Wolf and the Pennsylvania Parliament in 2019.
Last March, President Biden and Congress passed the American Rescue Plan (ARP). This has created significant new subsidies that dramatically reduce the cost of health insurance and expand the eligibility of subsidies for almost all purchase insurance through the market. This has been the most important federal action to reduce costs and increase access to health care since the enactment of the Affordable Care Act. As a result, nine out of ten penny customers receive an average of $ 500 a month in grants.
We are proud of our efforts to make health insurance affordable and available to hundreds of thousands of Pennsylvania residents. We connect individuals and families with high quality insurance and provide the long-awaited affordable option for employers and those who do not have health insurance elsewhere. This includes restaurants, preschool teachers, small business owners, retail workers, students, and many other servers.
Penny subscribers are in line with national trends, with 14.5 million Americans purchasing insurance through the national health insurance market during the 2022 general enrollment period.
The main reason for this record high registration is clear. ARP subsidies are key to increasing the number of Pennsylvania and Americans enrolling in quality and affordable coverage. Unfortunately, these grants are due to expire later this year, and without parliamentary action, hundreds of thousands of Pennsylvania residents and their families will increase their coverage costs. Many may not be able to get care because they will not be able to plan, while others will only be able to plan more comprehensively, resulting in out-of-pocket costs. It will be higher.
The Pennsylvania Health Access Network team works 24 hours a day, calling tens of thousands of Pennsylvania residents each year for answers on how to get health insurance that fits their budget. This year, the message from our customers is clear. The cost savings created by ARP are groundbreaking for families. Families aren’t just saving money on health insurance. They can use those savings to buy higher quality coverage. This means that if a family member gets sick or injured, they don’t have to worry about the cost of their care, they can be more worried about getting well.
What do these savings mean for Pennsylvania? Meet Emiline Sdolfer, a Philadelphia mental health therapist and penny customer. Emily is one of many Pennsylvanian citizens who are benefiting from ARP cost savings. As a person with chronic health who requires regular care by her professionals, an affordable health plan with minimal out-of-pocket costs is very important for maintaining her health. .. She recently changed jobs and is grateful that she was able to maintain her affordable coverage as her income fluctuated. Thanks to her new grant, she saves about $ 1,000 a year in her plans.
Without ARP subsidies, earning just over $ 19,000 a year at the age of 40 could increase your monthly premium by $ 66, or nearly $ 800 a year. A family of four who earns just over $ 52,000 a year could experience a premium increase of about $ 200 per month. In addition, couples who are about to retire with a household income of nearly $ 78,000 may have a monthly premium of $ 1,900.
It would be a mistake to allow the subsidy to expire. The good news is that there is a way forward. Congress can make these lower premiums permanent. The US House of Representatives has already passed the bill – the Buildback Better Act – which will do just that. Parliamentarians need to act swiftly to pass Build Back Better or independent legislation to permanently reduce health insurance costs and increase access to quality medical care in Pennsylvania and across the country. .. Emily and nearly 375,000 Pennsylvanians rely on it.
Zachary W. Sherman is Executive Director of Pennie, a state-based health insurance market in Pennsylvania. Antoinette Kraus is Managing Director of the Pennsylvania Health Access Network (PHAN), a state-wide organization that connects Pennsylvania citizens to health insurance and works to expand and protect access to high-quality, equitable and affordable health care. I am a director. She is also a member of the Penny Board of Directors.
..
