Is It Illegal To Not Have Health Insurance In 2020 ?

In 2018, and according to the US Census, many Individuals were not covered under any health insurance plan. Needless to say, if you did not enroll in minimum essential coverage back then, and were not exempt from the Mandate, you could have been facing a federal tax penalty known as the Shared Responsibility Payment.

However, Since the year 2018 there is no longer any tax penalty or penalty at all for not having health insurance. Now, within the year of 2020 it is no longer illegal to be without health insurance.

There are multiple avenues to secure coverage for those who cannot afford it, through the ACA (Obamacare) which is still in effect regardless of Obama’s end of term in presidency.

What is the Individual Mandate?

The Individual Mandate is a requirement by law for certain persons to purchase or otherwise obtain a good or service; it’s known as the Health insurance mandate or Individual shared responsibility provision.

What was the purpose of the Individual Mandate?

The purpose of the Individual Mandate is to expand access to health insurance for sick people who rejected coverage. Moreover, it covers various health care services and treatment, such as substance abuse treatment and maternity services.

Is the individual mandate penalty still in effect?

The Individual Mandate is still in effect in some states; they have implemented their mandates and penalties. For instance, Massachusetts has a mandate and penalty, which has been in place since 2006. New Jersey also implemented an individual mandate and an associated penalty in 2019. Moreover, the district of Columbia also has an individual mandate and associated penalty as of 2019. California has an individual mandate and associated penalty as of 2020. And finally, Maryland has created a program under which the state tax return asks about health insurance coverage, but instead of penalizing uninsured residents, the state uses the data to get these individuals enrolled in health coverage.

What happens if I do not enroll in health insurance 2020?

When the ACA “Affordable Care Act” went into effect, it was set up to make it easier for people who cannot afford health insurance to get one. It attempts to make healthcare more uncomplicated for everyone by reducing the number of people who cannot pay their medical bills.
However, if you chose not to have health insurance, you will be facing a fine known as “the Shared Responsibility Payment.”

If you live one of the following states: “New Jersey, Colombia, Rhode Island, and California ” decide not to enroll in coverage, you may owe a penalty fee when you file your taxes for the 2019 plan year.

Is There An Individual Mandate For 2020?

Certain states may have implemented a mandate in the year of 2020 to ensure its residents have minimal coverage at least. However, a method to insure will also be offered through the state, and there will not be any penalty for not having it.

2019 was the last year that the federal government or individual states were allowed to penalize individuals for their lack of health coverage through their taxes. Now there is no federal tax penalty.

Due to the Emergency Medical and Treatment Labor Act, no hospital is allowed to legally deny treatment to individuals or anyone for an actual medical emergency due to their lack of insurance or inability to pay.

What is “minimum essential coverage?

Starting January 1, 2014, The Federal Government decided to improve the availability of health insurance coverage in the United States. The individual shared responsibility provision called for each individual should have minimum essential health coverage.

Minimum Essential Coverage “MEC” is any assurance plan that meets the affordable care act requirement for having health coverage to avoid the penalty. It is also a plan to help you pay certain medical services, despite your health status and current plan.

What does the minimum essential coverage cover?

Minimum Essential Coverage covers ten essential health benefits; these include hospital care, pregnancy and childbirth, Laboratory services, Emergency services, Prescription drugs, Mental health/substance abuse, Pediatrics services, oral and vision care, Ambulatory patient, and services Hospitalization.