What happens if I choose not to purchase health insurance?
If you do not purchase insurance, you may be required to pay an annual penalty if you are uninsured for 3 months or more in a given year. In 2014, the total amount of the penalty is $95 per adult and $47.50 per child, with a maximum penalty of $285 per family, OR one percent of family income, whichever is greater.
In 2015, the penalty is $325 per adult and $162.50 per child, with a maximum penalty of $975 per family, OR two percent of family income, whichever is greater.
In 2016 and beyond, the penalty is $695 per adult and $347.50 per child, with a maximum penalty of $2,085 per family, OR 2.5 percent of family income, whichever is greater.
You are not required to pay the penalty even if you are uninsured if:
• you are not required to file a tax return because your income is too low ($10,00 for an individual, $20,000 for a family in 2013);
• you have to pay more than 8 percent of your annual income to obtain health insurance, after taking in account any employer contributions or tax credits;
• you would qualify under the new income limits for Medicaid, but your state has chosen not to expand Medicaid eligibility;
• you are a member of a federally recognized Indian tribe;
• you are a member of a recognized religious sect with religious objections to health insurance; or
• you are incarcerated.