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Feds Outline Proposed Fines Under Affordable Care Act

— Federal officials have issued proposed rules for how fines will be levied under the affordable care act. Under the law, people who refuse to get health insurance could face a penalty next year.

Aired 2/1/13 on KPBS News.

Starting next year, everyone will be required to have health insurance, or pay a fine.

The proposed rules exempt people who can't buy coverage for under nine percent of their household income.

For others, the penalties for non-compliance in 2014 will be $95 per adult, or one percent of family income, whichever is greater. In 2016, the fines will rise to $695 per adult, or up to 2.5 percent of family income.

Anthony Wright, executive director of the non-profit group Health Access California, said some people will undoubtedly just pay the fine.

"But I think most people will want to have coverage, and the trick in the affordable care act is it will offer much more affordable plans, in many cases that will be subsidized, so that people don't have to pay more than a certain percentage of their income," Wright said.

Subsidies will be available to Individuals who make up to $45,000 per year, and families of four who earn $90,000 annually.

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