Covered California premiums go up in 2024. Here's why it may not impact you.
SACRAMENTO — When premiums for Covered California go up an average of 9.6 percent, it will be the biggest increase in five years.
"That's due a lot to underlying costs of care," said Rachel Linn Gish with Health Access California, a statewide consumer advocacy coalition. "We're talking inflation and things like that, higher utilization after COVID."
However, Linn Gish said most people need not worry.
"Headlines might look a little scary, but in reality, consumers will not face most of these increases," she said. "In fact, many will see their costs go down."
That's because of money from the Inflation Reduction Act and penalties from people who don't have coverage. State officials say that means more than one-third of people who buy coverage through Covered California would see no change in their monthly premiums as long as they stay with the same insurance company and don't move to another part of the state.
Covered California says 20% of consumers won't pay any premiums at all.
"Some of the people that might see small increases are those at the higher income brackets," Linn Gish said.
So some people may want to shop around. In fact, advocates say it's something everyone should do.
"The most important thing is to go online and shop and compare your options," Linn Gish said. "What might have worked for you last year might not work this year."
Open enrollment for Covered California begins in November and runs through January.