Congress eliminated the federal tax penalty for not having health insurance, effective January 1, 2019. While there is no longer a federal tax penalty for being uninsured, some states (CA, MA, NJ, and RI) and DC have enacted individual mandates and may apply a state tax penalty if you lack health coverage for the year. Regardless of any tax penalty, it is still important to have insurance coverage to help reduce the risk of large medical bills if you get sick, pay for medications, and keep you healthy by paying for check-ups and preventive care.

Open Enrollment for the coming year still takes place every fall. Uninsured individuals who need coverage can apply for health plans and financial help during Open Enrollment. People already enrolled in a Marketplace plan should review their plan choices, renew or change coverage, and update their application for financial assistance. Medicaid and the Children’s Health Insurance Program (CHIP) remain open for enrollment year-round for eligible individuals with lower incomes.