Massachusetts Health Insurance

The Massachusetts health insurance system is one of the most unique in the nation. Since legislation passed in 2006, as of July 1, 2007 every resident in the state must carry a Massachusetts health insurance plan. Although this law was highly criticized, it has helped cover thousands of residents who previously had no health care coverage.

Massachusetts Health Insurance Law

This law was enacted because almost half a million people did not have health insurance and were taking advantage of emergency rooms, clogging them with non-emergency situations. Because hospitals in Massachusetts are required to provide care, even if the patient cannot pay, they were sinking in debt.

Today, that is not the case, as most residents are covered or required to pay fines for not carrying coverage.

Massachusetts Health Care Reform

One of the entities created in 2006 as part of the Massachusetts health insurance reform was the Commonwealth Health Insurance Connector Authority. This department runs Commonwealth Care, a health insurance program for people making no more than 300% of the poverty level. They also run a program that provides health insurance for individuals who are unemployed, self-employed, or working for small businesses that do not offer group health plans to employees.

With Commonwealth Care, residents can choose from one of four health plans. There are no deductibles and a sliding scale for premiums based on income. For many, this means coverage without any monthly premium at all – all you have to do is apply!

In Massachusetts, there is also better coverage today for young adults. The state realized that today’s youth are going to school longer, and without full-time jobs it can be hard to pay for health insurance. Even those who found jobs right out of college or high school often work for lower salaries and with no benefits. Today, young adults are covered under their parents’ plans up until age 25 or until two years after they are no longer claimed as a dependent, whichever comes first.

Beginning on January 1, 2008, strict rules were placed in effect to assure that all residents had health insurance. The check was (and is) part of each resident’s taxes, with the only exceptions to the rule being waivers. You can only get a waiver for health insurance for religious reasons (some religious groups do not believe in insurance of any kind) or if the Connector Authority gives you a waiver after deeming that there are no affordable health care plans available for you.

If you do not carry Massachusetts health insurance from that point forward, you’ll be forced to pay a penalty of up to half of the cost of health insurance in your location (so, those in cities like Boston may be charged more). For most, it is simply better to pay the full premium and have health insurance when you need it rather than pay the fine and have nothing to show for it.

Mass Health Insurance Resources

Since MA is pioneering new health insurance laws it’s important that you’re informed about the requirements and that you fully understand what is expected of you. The best thing to do is to check the official government websites.