Can I Get Affordable Health Insurance if My Spouse Has Group Health Insurance? The Family Glitch Explained

Are you planning to start your own business or turn a side hustle into a full-time gig? If so, you may be wondering how you and your family will get health insurance. If your spouse has health benefits through their employer, you may be eligible for coverage under your spouse’s plan. However, there is a catch known as the “family glitch” that could prevent you from getting affordable health insurance.

The family glitch is a provision in the Affordable Care Act (ACA) that makes it difficult for some families to get affordable health insurance. The glitch occurs when an employee has access to employer-sponsored health insurance that is affordable for the employee but not affordable for the employee’s family members. In this case, the family is not eligible for premium tax credits to help pay for health insurance through the Marketplace.

You may be affected by the family glitch if you meet the following criteria:

Your spouse has access to employer-sponsored health insurance.
The employer-sponsored health insurance is affordable for your spouse but not affordable for your family.
Your family’s income is below 400% of the federal poverty level.

If you’re affected by the family glitch, there are a few things you can do.

Shop for health insurance on the Marketplace. You may be able to find a plan that is more affordable than your spouse’s employer-sponsored plan.
Consider COBRA. COBRA allows you to continue your spouse’s employer-sponsored health insurance for up to 18 months after you lose your job. However, COBRA can be expensive.
Explore other options. There may be other options available to you, such as Medicaid or CHIP.

The best way to avoid the family glitch is to make sure that your spouse’s employer-sponsored health insurance is affordable for your family. If it’s not, you can shop for health insurance on the Marketplace or explore other options.

If you are considering starting your own business, don’t let the family glitch stand in your way. By understanding your options and taking the right steps, you can get the health insurance coverage you need. With careful planning and research, you can find an affordable plan that meets your family’s needs.

The information provided in this blog is for general informational purposes only and does not constitute professional advice. It is essential to consult with a licensed insurance agent to discuss your specific health insurance needs and options.