Decline Medical Plan Coverage Offered Through EUTF
If you choose not to be covered by one of EUTF or HSTA VB’s medical plan options, remember that you must maintain medical plan coverage elsewhere or you can purchase health insurance through a Marketplace (www.healthcare.gov), typically at the Marketplace annual enrollment in the fall each year.
In December 2017, Congress passed a new law (the Tax Cuts and Jobs Act) that reduced the Individual Mandate penalty to zero starting in 2019. This means that starting in 2019, there will no longer be a federal Individual Mandate penalty for failure to maintain medical plan coverage.
Note that if you are a resident of certain states, such as Massachusetts, New Jersey, or Vermont, you may be subject to a state income tax penalty if you fail to maintain medical plan coverage that meets that state’s minimum coverage requirements. Consult with your own state’s insurance department for information on whether your state has adopted or will be adopting a state Individual Mandate penalty.
If you choose to not be covered by a medical plan at this enrollment time, your next opportunity to enroll for EUTF or HSTA VB’s medical plan coverage is at the next annual EUTF open enrollment time, unless you have change in status event during the plan year that allows you to add coverage during the plan year.