Types of Financial Help

Covered California offers two types of help to pay for coverage: premium assistance and cost-sharing reductions.

Premium assistance is a tax credit that reduces the cost of your monthly premium. It’s also called the Advanced Premium Tax Credit, or APTC.

Cost-sharing reductions are subsidies that reduce your out-of-pocket costs, such as copays, coinsurance and deductibles.

Covered California uses the federal poverty level (FPL) to determine your eligibility for tax credits, cost-sharing reductions, and programs such as Medi-Cal.

Premium Assistance

To be eligible for premium assistance, you must:

Cost-Sharing Reductions

Cost-sharing reductions are subsidies that lower your out-of-pocket costs when you get health care, including your copays, coinsurance, deductibles and out-of-pocket maximum. Cost-sharing reductions are available to those who are eligible for premium assistance and have an annual household income up to 250 percent of the FPL. If you qualify, all Silver-level plans displayed to you will include cost-sharing reductions. You must choose a Silver Level plan to receive reduced cost-sharing.