At what percentage of income are enhanced subsidies capped?

Question

Accepted Answer

Enhanced subsidies cap premiums at 8.5% of household income for all income levels, eliminating the 400% FPL ceiling. Before the American Rescue Plan, premiums could consume far more than 8.5% of income for people above 400% FPL, often exceeding $1,000 monthly for older enrollees. The 8.5% cap made coverage affordable for middle-income families who earn too much for traditional subsidies but not enough to easily afford full premiums. Without this cap, affordability disappears for millions.

At what percentage of income are enhanced subsidies capped?

Explanation

Sources

Related Questions