California is the most recent state to pass legislation that creates a state specific individual mandate requiring all of its residents to obtain qualified health insurance or face a tax penalty.
The new mandate, effective January 1, 2020, would require California residents, and any spouse or dependent, to enroll in qualified insurance coverage for each month of the year, with exemptions for individuals on the basis of financial hardship or religious beliefs as determined by the state’s healthcare exchange, Covered California.
The bill would impose an Individual Shared Responsibility Penalty on state residents who fail to maintain Minimum Essential Coverage, as determined and collected by the state’s Franchise Tax Board, in collaboration with Covered California.
We will continue to keep you posted on any additional updates to be aware of. If you have any questions, we are here to help!