What New Mexico Residents Need to Know About Obamacare for 2024

 

Essential facts about the Affordable Care Act (ACA or Obamacare) in New Mexico, including whether you must get health insurance, how much it costs, and how you can save money.

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New Mexico open enrollment for 2024 health insurance plans runs from November 1, 2023 until January 15, 2024.

This website provides information about getting health insurance under the Affordable Care Act (ACA), including:

To begin, keep in mind these key points about health insurance in New Mexico:

1. Open enrollment for 2023 health insurance plans runs from Wednesday, November 1, 2023 through Sunday, January 15, 2024.

New Mexico residents can sign up for 2024 health coverage from November 1, 2023 to January 15, 2024. For most people, if you enroll by December 15, your coverage will begin on January 1, 2024. If you enroll after December 15, your coverage will start on February 1.

Once open enrollment has ended, you can get covered for the rest of the year only if you qualify for a special enrollment period, including job or income loss. 

To learn more, see What Happens If I Missed the New Mexico Obamacare Enrollment Deadline?

2. You won’t face a tax penalty for going without health insurance in 2024—but there are big downsides to being uninsured.

Obamacare’s tax penalty went away in 2019. That means that if you don’t have health insurance, you won’t have to pay a penalty when you file your federal income taxes. That said, think about whether it makes sense to forego health insurance. A medical crisis could knock the financial wind from your sails and do more damage than the penalty. (A study published in 2019 showed that a lapse in health insurance coverage can double a person's chances of ending up in bankruptcy.)

 3. You may qualify for new Affordable Care Act subsidies.

In 2021, President Biden signed the American Rescue Plan Act (ARPA). The law provided $1.9 trillion of federal aid to Americans struggling with the COVID-19 crisis, including additional premium subsidies for those who purchase health insurance through beWellnm. In 2022, the Inflation Reduction Act extended these more generous subsidies through 2025. Here’s a quick summary of the types of available subsidies.

Federal tax credits. Under ARPA, no one will have to pay more than 8.5% of their household income for a mid-level plan purchased from beWellnm. Technically, the subsidies are tax credits, but you can choose to have them automatically deducted from the cost of your monthly premiums.

Cost-sharing subsidies. More than half of the people who purchase coverage through beWellnm receive assistance through cost-sharing reductions (CSRs). CSRs automatically reduce your premiums and lower your costs when you use your insurance benefits—for example, when you go to the doctor, get lab work, or have to stay in the hospital.

CSRs are available to people who make between 100% and 250% of the federal poverty level. (For 2023 health plans, that means a family of four in New Mexico can't earn more than $75,000 and an individual not more than $36,450.) But these benefits are available only on silver plans. If you think you may qualify, look carefully at the costs for silver plans available at beWellnm while shopping for coverage.

Medicaid. You may qualify for free or low-cost coverage through Medicaid in New Mexico if your income is very low.

All subsidies will be automatically calculated when you apply for a plan through beWellnm.

For more information, see Ways to Save Money on Obamacare in New Mexico.

4. New Mexico now operates its own health care exchange.

In 2022, beWellnm separated from the federal platform, HealthCare.gov. Running its own exchange allows for more flexibility, including the ability to offer state-specific plans or subsidies and enrollment periods that differ from the federal schedule. 

5. No Insurers Sell Short-Term Health Insurance Plans in New Mexico.

In 2018, the Trump administration made it easier to purchase short-term insurance plans. These plans don't have to cover preexisting conditions or the essential health benefits provided by Obamacare plans. The federal rules say that short-term plans can last for as long as three years. However, states can make their own rules, and the federal changes have little effect in New Mexico. New Mexico limits short-term health plans to three months and prohibits renewals. It also disqualifies anyone who's had a short-term plan in the past 12 months from buying a new one. Because of these restrictions, no insurers sell short-term health insurance plans in New Mexico.

Remember, if your income is very low, you may qualify for free or low-cost coverage through Medicaid in New Mexico.

6. You can get help signing up if you need it.

The Biden administration has greatly increased enrollment assistance, making it much easier to get the information you need to get covered. To connect with local support resources, see How To Sign Up for Obamacare in New Mexico.


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Jurisdictional relevance: ST

There are versions of this article for each State.



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