Record Numbers Enroll in Affordable Care Act Individual Marketplace Plans
The Centers for Medicare and Medicaid Services (CMS) has announced record enrollments in Affordable Care Act (ACA) individual marketplace plans for the second year in a row. Last year, a new record was set with 16.3 million individuals signing up for individual market health insurance coverage through the Marketplaces and there was a 30% increase from that record to 21.3 million individuals signing up for 2024. Those figures do not include data from four states and the District of Columbia, which keep enrollment open until January 31, 2024. The total includes 5 million consumers who are new to Marketplaces for 2024 and 16.3 million individuals who had active 2023 coverage and returned to their Marketplaces to renew their plan or select a new one for 2024.
There are several factors that have helped drive the increase in people signing up for coverage. Lower premiums and higher tax credits have helped make coverage more affordable for many individuals, the “family glitch” has been fixed, which has made coverage more affordable for families, and investment funding has continued to be increased for navigators who help consumers about their options and help them find and enroll in plans.
CMS data shows that as of December 31, 2023, there were 2.4 million plan selections within states using HealthCare.gov – 15% of the total – who were previously enrolled in Medicaid or CHIP coverage. During the pandemic, the number of individuals with no insurance fell to a record low as states were able to maintain continuous eligibility for millions of individuals under Medicaid. With states unwinding those programs, the number of individuals being terminated from coverage has been increasing. According to the CMS, by the end of the Open Enrollment Period on January 16, 2024, almost 4.2 million more individuals with household incomes under 250% of the federal poverty level enrolled in coverage compared to last year. The figures show that lower-income individuals and families are increasingly enrolling in quality Marketplace coverage as states continue their post-COVID redeterminations of Medicaid and CHIP eligibilities.
