With the Affordable Care Act, the health exchanges, or Marketplace, will go into effect on January 1...

1. Should You Continue with Your Employer’s Health
Insurance or Get Coverage Through an Exchange? - Yahoo
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With the Affordable Care Act, the health exchanges, or Marketplace, will go into effect on January 1,
2014 and applications on the exchanges will open on October 1, 2013. If you currently have health
coverage through your employer, you can continue with that coverage. You could also choose not to
participate in your employer's health plan and get your own health coverage through an exchange.
There are important factors to take into consideration in making your decision.
If you are satisfied with the cost and benefits provided by your employer's health insurance plan, you
can continue with that coverage and will have met the requirements for carrying health insurance
under the Affordable Care Act.
If you prefer to opt out of your employer's plan and get health insurance coverage through an
exchange, you may qualify for a federal premium credit that will help you pay for the coverage. But
you must meet certain requirements to qualify for the credit. Your household income must not be
more than 400% of the federal poverty line for your family. And the amount you pay for your share of
your employer's health care plan must be more than an amount that is considered affordable.
According to HealthCare.gov, an employer health plan is considered affordable if the amount you
pay for self-only coverage is not more than 9.5% of your annual household income. The employer
plan must also meet the minimum value standard, which means that it must pay at least 60% of the
medical costs for a standard population. If the plan meets the minimum value standard and is
considered affordable, and you choose to obtain health coverage on an exchange you would not be
eligible for the premium credit, regardless of the level of your income. As indicated on
HealthCare.gov, your employer can tell you whether its health care plan meets the minimum value
and can provide information to help you determine if it is considered affordable to you.
If your household income is more than 400% of the federal poverty line for your family size, you
would not be eligible for the premium credit if you choose to go to the exchange. And if you choose
to get health coverage on an exchange, your employer does not need to make a contribution to your
premiums.
These same considerations would also apply if you work for a small business that offers coverage in
2014 through the Small Business Health Options Program (SHOP). In this case, you could enroll in
the insurance offered by your employer, or you could obtain your own coverage elsewhere, but with
the same cost implications, depending on your income and whether the plan offered by your
employer meets the coverage and cost standards.
The Journal of the American Medical Association website has a useful flowchart from the Kaiser
Family Foundation on how to get coverage beginning in 2014. The flowchart includes your options
when employer coverage is available.
As indicated by Rick Newman on The Exchange, if you are a part-time worker, your employer may
offer you the same health care coverage it offers full-time employees, or a different type of plan,

2. perhaps with limited benefits, or may not offer any insurance. If you aren't covered as a part-time
worker, you can use the exchanges to obtain health care coverage and depending on your income
level, you may qualify for the premium credit, providing you with subsidized coverage.
In an article on CNN Money, Tami Luhby points out the option of not using the exchanges and
obtaining your own insurance coverage directly from an insurance company or through a broker. If
your income is over the limit and you do not qualify for a subsidy if you were to use the exchanges,
and you can obtain better coverage than your employer plan provides, this could be an alternative.
Sources:
Health Coverage Under the Affordable Care Act, The Journal of the American Medical Association
If You Have Health Insurance, HealthCare.gov
Rick Newman, Part-Timers Losing Healthcare Insurance May Want To Thank Their Companies, The
Exchange
Tami Luhby, Avoiding Obamacare Exchanges, CNN Money
What do I do if my employer offers health insurance through the SHOP Marketplace?
HealthCare.gov