Reasons why someone might cancel marketplace coverage vary: you could have secured new job-based health coverage, qualified for Medicaid/Medicare benefits or found more cost-effective coverage elsewhere.
Stopping Marketplace coverage can be as easy as calling your plan provider and following their instructions. You can even schedule it to end on a specific date in the future.
1. Go to Healthcare.gov
If you are uncertain if you canceled your Marketplace plan correctly, contact your insurance provider and confirm they processed it. They should send you a payment confirmation or enrollment summary as proof of coverage for when care is needed. If that fails, call the Marketplace Call Center directly for help.
The Marketplace website serves as the official health insurance exchange for states who have not chosen to establish their own exchange. Established under the Affordable Care Act – commonly referred to as Obamacare – and administered by the federal government, The Marketplace website serves as an essential health care resource.
At any point during a year’s enrollment period, the Marketplace also allows access to their services during a Special Enrollment Period (SEP). An SEP typically occurs due to life changes such as shifting household income, losing employer-provided coverage or welcoming a child into your family; during an SEP there is typically a 60-day window from when this event occurred in which people can shop and enroll for Marketplace insurance policies and make monthly premium payments to insurance providers for coverage to begin.
2. Click on “Terminate Coverage”
Individual Marketplace Coverage Cancel It Any TimeIf you have individual marketplace coverage, cancelling it is simple and can be done at any time through your health insurance exchange account. In most cases, selecting a cancellation date and/or contacting them to request further directions is required to take effect. It is a good idea to check bank statements regularly prior to cancelling as this will ensure no longer being charged; also speak with any insurer providing private policies about their protocols for ending coverage; many provide instructions online or on the back of cards for this process.
As soon as your current health insurance plan lapses, it is crucial that you cancel it to prevent any gaps in coverage. Failing to do so before the close of open enrollment means waiting up to 12 months until reenrollment becomes available and may mean going without coverage altogether unless a Special Enrollment Period applies – potentially leaving several months without coverage!
Terminating marketplace coverage has an immediate effect on any applicant who currently has selections. You can either cancel all your plans on one day, such as immediately upon canceling or at a later date such as the first of each month.
If you are canceling coverage for some individuals on your application, they may still qualify to enroll in a marketplace plan during a Special Enrollment Period. Qualifying life events include birth, adoption, marriage, loss of employment or changes in income status.
3. Select the application you want to cancel
All health insurance providers have specific cancellation protocols you must abide by when cancelling their policy, so it is a good idea to speak to an agent about how best to do it. They will also assist with selecting an end date so there won’t be any gaps between plans; the date can either be immediate (i.e. the day you cancel it) or set at some future point (such as knowing your new plan starts on 1/1/19).
If you need to cancel your Marketplace plan due to other coverage or any other reason, it is wise to speak with an agent regarding the steps. They’ll explain how long your cancellation period lasts and whether there will be a refund for remaining months of coverage.
Remember to update your application accordingly in case there are changes to your income or household size; cancelling before Medicare Part A coverage begins could prevent eligibility for premium tax credits or savings in the Marketplace for that year. When changing plans annually, be sure to update any expected income or household changes and apply with updated applications as necessary.
Individual health insurance plans may be cancelled at any time, though new self-only and family coverage won’t become available until the next open enrollment period. You can switch employer plans at any point during the year if eligible for special enrollment periods.
4. Select an end date for your coverage
Enrollees who wish to cancel their coverage can select a cancellation date that takes effect either immediately after cancelling or on another specified date in the future. Setting an exact cancellation date can be helpful if enrollee knows they will soon obtain other health coverage outside the Marketplace plan, while otherwise their cancellation date will coincide with the conclusion of their Open Enrollment Period.
For enrollees looking to cancel their Marketplace health plan, the process begins by contacting their Marketplace center and requesting change. At that point, an enrollment center representative must verify who they are as well as why they are cancelling coverage – this typically takes at least 14 days, so early cancellation is recommended for best results.
Once an FEHB enrollee cancels their coverage, they are limited to enrolling again during an annual Open Enrollment Period or qualifying for a Special Enrollment Period due to certain life events, such as marriage or death.
If an individual loses their job and no longer qualifies for COBRA coverage, they can make use of the Special Enrollment Period by providing proof of coverage loss.
Understand when and how to cancel a Marketplace plan to avoid any gaps in coverage. In particular, cancellation may be necessary if you plan on enrolling in Medicare or private health insurance plans; or if you move, have a baby, or adopt an infant.
5. Click “Cancel Coverage”
Maintaining health insurance is vitally important because medical care can be expensive and nobody anticipates getting sick or injured, yet having health coverage is an excellent way to safeguard both yourself and your financial assets in case something arises that requires attention. The Marketplace provides access to affordable, high-quality health coverage through various plans; certain events trigger Special Enrollment Periods for Marketplace coverage like marriage, moving, losing your job, welcoming a child into the family etc. Just note that enrolling in Medicare won’t qualify you for premium tax credits or savings on Marketplace plans offered through Marketplace plans!