The critical importance of health insurance in protecting you from unforeseen and costly medical expenses cannot be emphasized enough. When selecting a suitable policy, prioritize affordability, considering factors such as lower out-of-pocket expenses, including copays, coinsurance, and other associated costs. If you're seeking affordable health insurance options in Arizona, continue reading for a detailed discussion of available choices.

Top Affordable Health Insurance Plans in Arizona

Here are the top affordable health insurance options available in Arizona:

ACA Health Insurance Plans

You can enroll for ACA (Affordable Care Act) health insurance plans. These are posted on 'The Health Insurance Marketplace' set up by federal and Arizona state governments. The federally affiliated health insurance companies in Arizona put up their subsidized plans during the 'Open Enrollment Period' from November 1 to December 15 of every year.

Coverage Plans

There are four 'metal' coverage options: bronze, gold, and platinum. The levels are decided by a cost-sharing mechanism between you and the plan provider. If you opt for a higher metal level plan, the premium will be higher, but your out-of-pocket expenditures for copays, deductibles, and coinsurance will be lower.

Health Sharing Plans

Health sharing plans are offered by religious or non-profit organizations where members share healthcare costs. These plans usually have lower monthly costs compared to traditional health insurance, but coverage and benefits can vary widely. It's important to carefully review the terms and conditions before enrolling.

How to Qualify For ACA's Subsidized Plans?

The cost of health insurance in Arizona is significantly reduced by ACA Marketplace plans. To qualify for subsidized health insurance plans under the Affordable Care Act (ACA) in Arizona:

• You must be unemployed or a part-time worker without access to employer-sponsored health insurance.
• Eligible individuals include gig workers, freelancers, consultants, or retirees waiting for Medicare enrollment.

Further, when you buy a 'Silver' plan, you can further reduce your out-of-pocket expenses by qualifying for cost-sharing reductions. These are available when your household income is in the lower range of the specified income group. All subsidized Arizona health insurance plans offer ten essential health benefits. These include coverage for newborn care, pregnancy, prescription drugs, hospital services, lab tests, vaccination, preventive services, pediatric care, etc.

Availing Premium Tax Credits

You can reduce the premium payable for purchasing a marketplace policy with a premium tax credit. The credit receivable is calculated by factoring in your income and the marketplace policy's cost. The marketplace will decide your contribution towards the policy's premium based on a Silver benchmark plan's premium. Your contribution will be $0 if your income is less than 100% of Arizona's poverty level. When your income is around 400% of it, you are expected to contribute 8.5% of your income towards the plan's premium. The tax credit is equivalent to the difference between the plan's premium value and your contribution.

You can opt for an advanced premium tax credit by estimating your income for the next year. In that case, 1/12th of the credit will be paid by the government to your chosen insurer every month. The remaining premium will be billed to you. The IRS will calculate the excess or deficit credit based on your actual payment during income tax return filing. Accordingly, you will have to refund the extra credit or get reimbursement for the lesser credit.

Conclusion

The cost of health insurance in Arizona is determined by several factors. However, affordability should not be the only consideration when selecting a plan. You can look for various value-added services over and above the essential health benefits of plans. This way, you can access more network hospitals, virtual primary care, wellness, health products, etc., in a cost-efficient manner. Carry out your research and compare the different marketplace health insurance plans in Arizona to finalize the coverage that fulfills all your medical needs at the optimum premium.